Ranchi property to be more affordable soon

January 30, 2007	(2 votes, average: 4 out of 5)  Loading ...
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Residents of Jharkhand’s state capital Ranchi can look forward to paying less for apartments and offices in the city, once the Ranchi Regional Development Authority (RRDA) clears the 450 proposals for residential and commercial projects piling up on its tables for the last one year.

The RRDA is expected to speed up the approvals, and the Real Estate Developers Association of Jharkhand is hopeful that rates would decline marginally by Rs.100 to Rs.200 per sq. ft. Rates in the city range between Rs. 900 to Rs.1600 per sq. ft.

The city’s periphery is the easiest on the pocket, as areas like Hatia, Booty More, Piska More and Namkum do not fall under the jurisdiction of the RRDA, and real estate developers can get by with a formal consent from the local circle office.

Doranda, Kanke Road, Lalpur Chowk, Burdwan Compound and Hinoo enjoy better rates of approximately Rs. 1500 per sq. ft.

The pricing of flats in Ranchi is far removed from its construction costs, reveal property developers based here. High conversion rates of 40-50% comprise a high component of the total paid by the buyer.

Of course, bribery costs are also embedded in the total cost of the apartment, which is Rs. 20 per sq. ft for residential property, and Rs. 30 per sq. ft. for commercial space.

Ranchi has been the commercial capital of Bihar since independence, and associated with landmark institutes like MECON, HEC and the Birla Institute of Technology. Real estate player Parsvnath Developers Ltd will soon develop a city centre in Ranchi for Rs.400 crore on 10 lakh sq.ft area.

Modern construction of residential projects is on the rise, and RRDA’s much awaited approvals will see an upsurge in construction activity in the city.

News Published Under:   Real Estate India, Real Estate Developers |