Jharkhand Real Estate Witnesses An Upward Trend

Land in Jharkhand today, as become the most expensive real estate commodity. This is evident by the recent numbers revealed by the government’s land registration division in the state. In the year 2008 and 2009 the government has collected INR 171 crore in land registration revenue. The next two consecutive years show this number go much higher. The government achieved 100 percent target in the land revenue front.

The real estate investment in the state has risen manifold especially because of the increase in commercial activity in the region. There are a number of industries and educational institutions coming up in the state, especially in and around its capital Ranchi. As a result residential property in Ranchi has seen a sharp increase in prices in the past 4 years.

 Today you can find many multi storey flats in Ranchi towering in and around the capital. There is a range of properties to choose from, including premium, mid-range and affordable housing units in the city. With the increasing population and the rural to urban migration increasing in Ranchi, things are opening up. The real estate industry has opened up to newer ventures and increased activity. The rate of absorption has been high as well. Flats in Ranchi with all modern amenities today fetch a price of INR 1 crore. Some other premium segments apartments come in the price band of INR 60 to 70 lakhs in Ranchi.

 Secretary, registration department, N M Kerketa, said to Times of India, "Revenue from land and flats has been going up steadily in the past few years." In 2011-12, the department received Rs 418 crore and achieved 92 per cent of its target. In 2010-11, the department received Rs 314 crore and achieved 104 per cent of its target. In 2009-10, the department received Rs 213 crore and achieved 71 per cent of its target. Managing director Abhay Kumar Singh of Van Vrindavan Constructions, also said to Times of India that, "Choices of customers have undergone a sea-change in recent years. Earlier, customers used to pay little attention to the quality of construction. They were more concerned about prices. Now they pay little attention to prices and are more concerned about amenities."

 Another builder, Jaideep Singh, GM Kashish Developers also said to TOI, "Like Delhi, Noida and Mumbai, the concept of gated communities is gaining popularity. We have got overwhelming response for a gated community which we are building in Ranchi."

 Improving connectivity, and the establishment of the Ring Road in Ranchi connecting the city from its suburbs has opened up many avenues for real estate investment in the state. Many builders have invested in residential property in Ranchi and are planning to develop then into multi storey apartments and gated community to cater to the growing demand.

The city is growing at a much faster rate after the government came into place and this has given confidence to the investors and builders in the region. Furthermore many upcoming infrastructure projects will add to the real estate investments in the region.