Several ambitious infrastructure projects in the pipeline are likely to spruce up Kolkata’s realty landscape in the next two to three quarters. 99acres.com analyses the key civic projects proposed in the City of Joy.
While property sales in Kolkata remained largely muted in the first six months of 2017, the announcement of several infrastructure projects kept the general sentiment in the market buoyant. The industry looks forward to reaping the benefits of these upgrades in the form of capital and rental appreciations.
Let us look at some of the most anticipated projects that will uplift realty sentiments in Kolkata.
Metro extension projects
The state government is working on extending metro rail connectivity in the city under phase II, which will be funded by the Centre. Currently under construction metro stretches in Kolkata include Noapara-Dakshineswar, Salt Lake Sector V-Howrah Maidan, Joka-Majerhat, and Noapara-Airport. The East-West metro corridor, which includes an underwater metro tunnel connecting Howrah with Kolkata, has the potential to transform the region into a dynamic real estate market. As per 99acres’ Insite (Apr-Jun 2017), several localities witnessed an increase in capital ‘asks’ in the anticipation of enhanced connectivity. Experts anticipate residential values along the stretch to rise further once the entire route becomes operational.
Infrastructure augmentation of Haldia Port
Kolkata Port Trust (KoPT) plans to invest around Rs 3,000 crore for upgrading Haldia Port and its cargo handling facilities. The authority also aims to solve silting woes of Haldia Port by creating an 11 km canal to bring water into the port’s navigation channel. Industry experts aver that the port development initiatives will spell good news for Kolkata’s realty by promoting commercial activities around the freight corridors. The traction in commercial real estate, in turn, will benefit the residential landscape of the region.
In addition, KoPT may lease out 112 acres of prime land in locations such as Alipore, Chetla, and Taratala in an attempt to monetise these parcels. This will open up vast tracts of land in premium locations for residential and commercial purposes, giving a fillip to the region’s realty.
Rajib Ghose, Chief Spokesperson & Partner, BGA Realtors, comments that the upgradation of Haldia Port is long overdue. Other newer ports have already taken over the leadership that Haldia once enjoyed. While the port upgrade will help the region regain its potential, the trickle-down effect of this project in the realty landscape will take some time, adds Ghose.
Six-laning of NH2
Road infrastructure between Delhi and Kolkata is set to improve as the Centre has decided to expedite the six-laning of a section of the National Highway 2 (NH2). About 145 km will be upgraded in this project, the cost of which has been estimated at Rs 3,691 crore. As this forms a part of the Golden Quadrilateral connecting Kolkata, Chennai, Delhi and Mumbai, Kolkata’s economy is set to witness substantial growth in the near future on the back of greater industrial and commercial interest.
Sanjay Jain, Group Managing Director, Siddha Group, comments, “The financially affluent are looking for residential places away from the city but need connectivity that would make for faster and easier travel. For example, Baruipur Expressway is fast emerging as a major development area in the property market. Similarly, NH2, which links to the Golden Quadrilateral, has a comparatively narrow highway, making it difficult for faster connectivity. The proposed expansion project would ease the transport situation making way for rise in realty demand from clients with upmarket needs.”
Green upgrades for New Town
New Town is proposed to be developed as a ‘green city’, for which the Housing Infrastructure Development Corporation has tied up with Korea. The project has even received a green city rating from IGBC. Spread across 7,000 acres, New Town has a green footprint of 140 million sq ft. The green rating implies that the area will enjoy 30-35 percent lower energy consumption with every drop of water being recycled.
In line with the vision of a green city, another notable initiative is the forest department’s afforestation drive in New Town. The department intends to plant more than 60,000 trees, giving a significant boost to the region’s liveability quotient and the smarter development of New Town.
Disclaimer: The views expressed above are for informational purposes only based on industry reports and related news stories. 99acres does not guarantee the accuracy, completeness, or reliability of the information and shall not be held responsible for any action taken based on the published information.