Metro puts Dwarka on a high

Vidya Menon / TNN / Dec 30, 2005, 00:15 IST

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From being a sub-city hounded by civic problems, bad roads and poor connectivity Dwarka has emerged as an address to vie for.

NEW DELHI: It's being called the Metro effect. And, it has put Dwarka truly in the loop. From being a sub-city at an obscure corner of southwest Delhi �� hounded by civic problems, bad roads and poor connectivity �� Dwarka has emerged as an address to vie for.
With Metro now all set to enter the area, realty rates in Dwarka �� which have seen a steady increase these two years �� are only going higher.
"During the past three to four months, property rates have gone up by around Rs 7 to 8 lakh. A three-bedroom DDA flat now costs anything between Rs 32 and 40 lakh (earlier this was Rs 27 lakh) while the rates of private housing society flats have gone up from Rs 30 lakh to Rs 37 to 50 lakh," said a property dealer not wishing to be named.
"And this change is visible in all sectors across Dwarka. While Metro has played a huge role in this boom, easy availability of loans have also made it possible for people to invest so much," he added.

However, real estate agents feel Metro hasn't boosted the market value of commercial property. "There is no steady rise in the rates of commercial properties because of the Metro.
There has been a slight difference, but that cannot be attributed entirely to Metro," said Mukesh Gulati of Dwarka-based Gulati Properties.
But residential properties are a different story. "The past three to four months have seen residential rates going up. The value of properties near Metro stations have gone up by an average of Rs 5 lakh while elsewhere the hike is around Rs 3.5 lakh.

The upward trend, though, has been continuing over the past two years," he added. Agreed Bhuvan Pandey of Jwala Estate, another sub-city agent: "A major attraction of Dwarka has always been the fact that it's going to get Metro connectivity, so there's nothing new about the hype.
The boom happened long back. But with Metro all set to enter the Dwarka, a lot of property owners will be looking to sell flats at optimum rates."
While many sellers hope to get high returns on their property investment in Dwarka post-Metro connectivity, others plan to move in for very same reason.
Said P Sukumar, who owns a flat in Sector 10: "I am now staying in south Delhi and will move to Dwarka by June. Poor connectivity was the reason I never stayed in Dwarka. But with the Metro, that will no more be a problem."
Though realty rates are on the rise, rents haven't seen a commensurate jump. Most real estate agents felt the increase in rents has been marginal. Said Haimanti Mukherjee, a media professional looking for rental property in Dwarka.
"As of now, two-bedroom flats are being offered for Rs 4,500-5,000. That is very reasonable. You'll not get a two-bedroom flat for that rent in other good localities. And with Metro just there, I'll be able to cut my conveyance costs substantially. It's a good bargain."
The pep in Dwarka's realty rates obviously hasn't made prospective buyers happy. Said Anil Chauhan who has been looking for a "reasonably priced" property in the sub-city.
"I have decided to forget my dream of owning a property here. It's illogical the way rates are shooting up.
There are so many flats in Dwarka, they'll not get as many buyers. The rates will have to come down." Going by the present trends, that may take some time coming.

About the Author

Vidya Menon

A deskie, she finds copy errors particularly pesky. Hobbies include reading and making grand plans that are never executed. Hates physics, but loves metaphysics.

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