Amritsar Real Estate Touches New Highs

Amritsar – Growth in real estate in Amritsar has been rapid since 2004 when the Central government announced the opening up of trade between India and Pakistan. A flurry of commercial activity followed, and enterprising real estate developers in the city, encouraged at the same time by the Punjab government’s urban development policy came up with an array of commercial projects.The first of these, the aptly named “Maiden Mall” was initiated by Today Homes, and other property developers from the NCR followed suit. The real estate market in Amritsar has graduated from independent houses in private colonies to multi-storeyed housing and cooperative societies.

Supporting the real estate market in Amritsar was the upgrading of city airport which saw an increase of international flights from 12 to 80 per week. As NRI traffic grew, and the highways to Jalandhar, Pathankot and Wagah widened, Amritsar figured on every property developers plan.

Real Estate Projects in Amritsar

Commercial Property: Close on the heels of the launch of the Maiden Mall, half a dozen other property developers are engaged in the construction of mall-cum-multiplexes in Amritsar. Omaxe Terminal and Omaxe Novelty are retail-cum-entertainment malls designed with the high-value customer in mind. The Royal Celebration Mall by AIPL on 2.5 lakh sq. ft promises a 7-star experience on Mall Road. MBD Group, RSA Builders, Dynamic and Continental are also gearing up to meet the demand for convenience shopping in the city.

DLF will be setting up the 1,000 acre Special Economic Zone in Chhabba village, Amritsar, at an investment of Rs 15,981.17 crore. Rates of industrial land range from Rs. 12 lakh to Rs. 15 lakh per acre in the vicinity. Prices of commercial property have risen from about Rs 5,000-6,000 per sq yard in 2003 to almost Rs 20,000-25,000 per sq yard. Rates on Mall Road have been auctioned at Rs. 78,500 per square yard, leaping from Rs. 30,000 to Rs. 35,000 in the recent past.

Luxury hotels are making a debut in Amritsar, as Radisson, Taj and Tivoli Gardens have acquired land in the city for construction

Residential Property: Township living of international standards has made its way into the urban housing scene in Amritsar. Advance India Projects Limited has even introduced serviced apartments in its 115 acre township along with villas and condominiums. Landscaped greens, theme parks, golf greens, tennis court, mall cum multiplex, health care centre and school are the highlights of this township. Similarly, Nitishree Group’s Shourya NRI City on NH 1 promises hi-tech living for non-resident Indians in particular. A taste of English county living is being brought by the Clarion group with sprawling bungalows amidst landscaped gardens.

The 200 acre Amritsar Global City is an effort in the same direction by a consortium formed by Sharma and Gangahar Builders, Colonisers Private Limited and Tewari Global Infrastructure. Heritage City and Heritage Enclave by the Heritage group are also in the pipeline on 55 and 30 acres respectively. Impact Projects have announced their luxury project on a 50 acre plot on the Amritsar-Wagah bypass. Sharma and Gangahar’s SG Enclave townships are currently under construction, while Satish Estates has obtained a licence for a housing project on 67.05 acres in Sultanwind and Doburji, Amritsar.

The Punjab Urban Development Authority is pitching in with a 650 acre urban estate on GT Road, as is Housefed with multi-storeyed deluxe flats under the New Amritsar Development Scheme. The Amritsar Improvement Trust has acquired 2375 acres to develop urban projects.

Residential properties in Amritsar have risen from about Rs 1,500-2,000 per sq yard in 2003 to about Rs 5,000-7,000 per sq yard now.

For investors looking for properties, Amritsar has been gauged by real estate experts as a rewarding option. In 2006, property buyers earned 20 to 30% on their investments, and the trend is likely to be maintained this year.