Bhopal Real Estate – Land of Investment Opportunities
Bhopal, the capital of Madhya Pradesh, is popularly known as the ‘City of Lakes’. This is because it is situated amid serene lakes and picturesque surroundings. It is one of the greenest cities in India and is famous for its landscape and scenic beauty. Bhopal is widely known for its silver jewellery, beadwork, handbags and sequined and embroidered velvet cushions.
In recent times, Bhopal has emerged as a potential real estate destination after Indore, the capital, in Madhya Pradesh. It offers various investment opportunities for both real estate developers and real estate investors. Bhopal’s economy consists mainly of the main sectors BHEL Electricity, Services and Administration. Property development in Bhopal appears to be following a healthy approach as all sectors, be it residential, commercial or retail, are growing rapidly.
Bhopal’s strategic location has been instrumental in attracting investment from various governmental and semi-governmental organizations. Major commercial areas of Bhopal include TT Nagar, Bairagarh, MP Nagar, New Market, Vitthal Market, Center Point, Mantralaya and others. Since there has not been much growth in the IT and IT sector in Bhopal, the uptake rate of business developments has been limited to 30-40%. Various commercial projects from leading property developers such as DLF, Unitech, Ruchi Group, etc. approach in Bhopal.
Bhopal’s residential sector is broadly classified into two parts:
(a) Congested old residential neighborhoods in the main city and
(b) Planned development in newly developed areas.
Popular residential areas in Bhopal include Tulsi Nagar, Sonagiri, Shahpura, Shakti Nagar, Saket Nagar, Rachna Nagar, Shivaji Nagar, Area Colony, and Kasturba Nagar. Independent houses made up of bungalows and duplexes make up almost 90% of the residential segment. The ‘triplex’ concept is quickly taking shape with a high absorption rate of over 70%. Housing projects from Kanchal Group, Sahara Housing, Maxworth, Ansals and many more have also been launched.
Bhopal’s retail sector is of the high street type, but its development potential has yet to be fully exploited. Land for retail sale is readily available in the ‘Lake City’, but real estate developers are in a hurry to occupy it before rates rise. The shopping and entertainment sector is poised for a boom with the entry of private players like Aakriti Group, Zee Group etc. The trend of multiplexes with shopping malls, Fun City, the development of multiplexes, shopping malls, star hotels and corporate offices has already entered the city with the growing consumerism.
Parsvnath, DLF and Unitech have big plans to invest big money in real estate development in Bhopal and even Madhya Pradesh in general.
DLF plans to invest Rs 8,000 crores in Madhya Pradesh real estate over the next five years. This will include the development of housing, commercial and residential integrated spaces, EEZs, IT parks, hotels and convention centers in Bhopal.
Unitech, India’s second largest property developer, is also investing Rs 6 billion to develop affordable housing in seven cities, Bhopal being one of them.
The increasing development in all sectors of real estate has resulted in a considerable increase in property rates. Prices in major development areas or prime locations have skyrocketed significantly in the wake of the growth of real estate in Bhopal. The residential sector has witnessed the development of both luxury villas and cheap or affordable housing, diversifying the housing scenario.
The Bhopal real estate market scene is heating up like never before as even major domestic builders are interested in developing properties in the city. It is considered a ‘virgin land’ known for its ‘nawabi’ culture like Hyderabad and Lucknow and has been going through a dynamic phase of real estate development.