Kolkata North & South the Rise Of the Peripheral Markets
The burgeoning city of Kolkata has grown by leaps and bounds on the organised real estate front in the past one and a half decade. Several micro markets, which hitherto had been sleepy neighbor hoods, have come to the fore, attracting not only the local populace but also investors from beyond the state. While Rajar hat became the star attraction amongst the new residential markets that emerged as a result of the new real estate order set up in the city, of late, the peripheral locations towards the north and the south have begun shining forth as well.North Kolkata, recognised primarily as an industrial area till recently, has today emerged as a preferred residential location among the city's dwellers, almost relieved of its industrial tag. The region has typically been a bastion of the trading community, largely occupied by the Punjab is and Sindh is. It gained prominence in recent years, owing to the existing and upcoming phases of the metro rail,impending infrastructure in and around VIP Road and Jessore Road, and its proximity to Rajarhat as well as the international airport.
Till a decade back, no national level developer had ventured into the region, although most city developers had a number of projects there in order to cater to the demand of the population residing in the northern part of the city. The distant peripheral neighbourhoods of North Kolkata, encompassing locations such as BT Road, Sodepur, Panihati and Barrack pore were largely unexplored by reputed developers, though other locations like Madhyamgram, VIP Road and Jessore Road received considerable interest owing to their proximity to Rajarhat. Significantly, despite its industrial tag, most of the residential neighbourhoods in North Kolkata are thickly populated and harbour good residential demand.
In 2010, Godrej Properties launched its first residential project in Kolkata - Godrej Prakriti,on BT Road, at a distance of 21 km from the city centre. Spread over 22 acres and housing over 2,400 apartments, the project was the largest, residential gated community that the region had seen. Today, BT Road and the residential neighbour hoods along it have numerous mid-end and affordable projects underway, witnessing favourable buyer response. The market boasts of a diversified developer profile as well. In addition to national level developers such as Godrej Properties and Tata Value Homes, other reputed developers also have large scale residential projects in the region, offering compact
apartments at affordable rates. Although the region has managed to gain buyer interest from all across the city, majority of the home buyers still belong to the trading community that has resided in North Kolkata since generations. The average price range here varies from Rs. 2600- 4400 per sq. ft.
The peripheral micro markets in the north have a number of advantages in their support. The upcoming metro rail extension from Baranagar to Barrackpore, scheduled to be completed in 2019, will aid in faster commute. Till then, the Kalyani Expressway will offer ease of access to other parts of North Kolkata. In any case, the northern peripheral micro markets are relatively closer to the international airport than the southern parts of the city. On the social infrastructure front, there are several good educational institutes in the region such as St. Xaviers Institution and Adamas International, although it suffers from a dearth of organised retail and entertainment avenues.
Mean while, South Kolkata has been a conventionally preferred residential destination of the city, accounting for around 36 percent of the residential development underway. The region has a large concentration of housing stock catering to all budgets, and has typically been a bastion of the serviced class. While the south-central areas such as Bhowanipur and Bally gunge are largely occupied by the gentry, the south east and south west neighbourhoods are home to the mid income populace. In recent years, a number of southern peripheral locations such as Behala, Naren drapur, Sonarpur Road and Diamond Harbour Road came up on the developers' radar owing to their growth potential for residential development and within the span of a short period, these locations became a hot hub for mid-end and budget housing.
Of late, the attention of developers and home buyers has been drawn further down south towards Baruipur, the new administrative headquarters of 24 South Parganas. The stretch of EM Bypass between Garia and Baruipur, hither to considered as the city’s hinterlands, has a number of large residential projects, launched by reputed developers such as Siddha Group and joint ventures by PS Group and Srijan. These projects have observed substantial demand from neighbouring locations, consisting of residents who had spent most of their lives in congested southern localities and now aspired to live in well - maintained, gated communities with first-class amenities. While this stretch of EM Bypass adjacent to Baruipur runs along a canal and seems like a distant proposition without much social infrastructure, a number of factors prove to be advantageous. There is good connectivity to Baruipur through the suburban railway and more than 75 pairs of local trains ply through it on a daily basis. Besides, with Baruipur having been designated as the new headquarters of 24 South Parganas, it is expected to become a key employment hub of the region with several offices opening up, there by boding well for residential demand. Presently, the average price of an apartment here ranges between Rs. 2500-4000 per sq. ft.
Going forward, these northern and southern peripheral locations of Kolkata are expected to perform better in the forth coming periods, primarily due to the abundance of mid-end and affordable housing here. Also, given the present conditions, where the government has placed significant importance to the promotion of the affordable housing segment, reflected both in the Union Budget 2017–18 as well as the nation-wide scheme of Pradhan Mantri Awas Yojana, locations such as BT Road, Sodepur and Barrackpore in the north, and Baruipur, Garia and Sonarpur Road in the south are expected to gain importance owing to their immense potential for the affordable housing sector to thrive. With an adequate infrastructure push, these distant neighbourhoods have the propensity to fulfil their potential.
North Kolkata, recognised primarily as an industrial area till recently, has today emerged as a preferred residential location among the city’s dwellers, almost relieved of its industrial tag
The peripheral micro markets in the north have a number of advantages in their support. The upcoming metro rail extension from Baranagar to Barrackpore, scheduled to be completed in 2019, will aid in faster commute. Till then, the Kalyani Expressway will offer ease of access to other parts of North Kolkata. In any case, the northern peripheral micro markets are relatively closer to the international airport than the southern parts of the city. On the social infrastructure front, there are several good educational institutes in the region such as St. Xaviers Institution and Adamas International, although it suffers from a dearth of organised retail and entertainment avenues.
Mean while, South Kolkata has been a conventionally preferred residential destination of the city, accounting for around 36 percent of the residential development underway. The region has a large concentration of housing stock catering to all budgets, and has typically been a bastion of the serviced class. While the south-central areas such as Bhowanipur and Bally gunge are largely occupied by the gentry, the south east and south west neighbourhoods are home to the mid income populace. In recent years, a number of southern peripheral locations such as Behala, Naren drapur, Sonarpur Road and Diamond Harbour Road came up on the developers' radar owing to their growth potential for residential development and within the span of a short period, these locations became a hot hub for mid-end and budget housing.
Of late, the attention of developers and home buyers has been drawn further down south towards Baruipur, the new administrative headquarters of 24 South Parganas. The stretch of EM Bypass between Garia and Baruipur, hither to considered as the city’s hinterlands, has a number of large residential projects, launched by reputed developers such as Siddha Group and joint ventures by PS Group and Srijan. These projects have observed substantial demand from neighbouring locations, consisting of residents who had spent most of their lives in congested southern localities and now aspired to live in well - maintained, gated communities with first-class amenities. While this stretch of EM Bypass adjacent to Baruipur runs along a canal and seems like a distant proposition without much social infrastructure, a number of factors prove to be advantageous. There is good connectivity to Baruipur through the suburban railway and more than 75 pairs of local trains ply through it on a daily basis. Besides, with Baruipur having been designated as the new headquarters of 24 South Parganas, it is expected to become a key employment hub of the region with several offices opening up, there by boding well for residential demand. Presently, the average price of an apartment here ranges between Rs. 2500-4000 per sq. ft.
Going forward, these northern and southern peripheral locations of Kolkata are expected to perform better in the forth coming periods, primarily due to the abundance of mid-end and affordable housing here. Also, given the present conditions, where the government has placed significant importance to the promotion of the affordable housing segment, reflected both in the Union Budget 2017–18 as well as the nation-wide scheme of Pradhan Mantri Awas Yojana, locations such as BT Road, Sodepur and Barrackpore in the north, and Baruipur, Garia and Sonarpur Road in the south are expected to gain importance owing to their immense potential for the affordable housing sector to thrive. With an adequate infrastructure push, these distant neighbourhoods have the propensity to fulfil their potential.
