Oragadam, the largest auto cluster in Chennai, is poised to emerge as one of the favourite housing destinations as well. Let us analyse the key factors supporting its growth and transforming it into a residential haven.

Oragadam, also famous as Detroit of Asia, is home to 30 percent of India’s automobile industry. Besides, about 22 Fortune 500 companies are also located here, which has led to the gradual transformation of the area into an emerging residential market. Presently, Oragadam offers a variety of projects by many reputed developers such as Hiranandani, Tata and Casagrand. One of the crucial factors that have considerably ushered in the residential expansion in the area is the availability of large land tracts at competitive prices.

Here is an elaborate analysis of the real estate market in Oragadam and the factors backing up its growth.

An assortment of housing options

One of the fastest-growing suburbs of Chennai, Oragadam offers a mix of independent houses, villas, apartments, duplexes and builder floors, suiting the needs of people from all walks of life. Amid a number of suburbs in Chennai, Oragadam not only provides a host of residential options but also promises lower investment cost. The average capital prices in Oragadam hover between Rs 3,300 per sq ft and Rs 3,800 per sq ft. In contrast, the average ‘asks’ in other peripheral pockets such as Medavakkam, Porur and Siruseri vary from Rs 4,000 per sq ft to Rs 5,200 per sq ft.

According to Kamal Raj, Property Consultant, Vishnu Foundations, Oragadam is the most befitting destination for those who are looking for low-cost housing projects in the vicinity to commercial spaces and sprawling nature. Moreover, it is one of the few avenues in Chennai that offer some of the best retirement homes. Overall, with infrastructure gaining shape over time, excellent real estate growth, and an appreciation in property prices by around 20-25 percent in the last five years, Oragadam has proved itself as an ideal investment destination in the city.”

Property in Oragadam, Chennai

 Configurations

Average Capital Values

Monthly Rentals

1 BHK

Rs 15-18 lakh

Rs 7,000-8,000

2 BHK

Rs 25-40 lakh

Rs 12,000-15000

3 BHK

Rs 70-85 lakh

Rs 17,000-19,000

Source: The capital and rental values are based on the listings posted on 99acres.com

A renowned automobile hub

The Sriperumbudur-Oragadam belt has witnessed massive growth in the last five years with some of the international automobile giants such as Renault Nissan, Komatsu and Daimler AG establishing their foothold in the area. Some other automobile companies that are located in and around Oragadam include Ashok Leyland, Toyota, Apollo Tyres and TVS.

Moreover, the Tamil Nadu government has planned to build an Oragadam Industrial Corridor Road with an investment of Rs 300 crore. The Tamil Nadu Road Infrastructure Development Corporation (TNRIDC) would execute the project with the State Highways Department providing the necessary financial aid. Once through, the corridor would give a massive thrust to the industrial activity in the Oragadam-Sriperumbudur cluster. 

High on connectivity quotient

The most appealing thing about Oragadam is its strategic positioning between the Grand Southern Trunk Road (NH 45) and the Grand Western Trunk Road (NH 4). Besides, it offers seamless connectivity to Vandalur-Walajabad Highway and Singaperumal Koil-Tiruvallur Highway.

Projects underway

There are a host of infrastructure projects underway in and around Oragadam that may trigger its connectivity and popularity quotient. For instance, three years after the commencement of India’s first rail auto hub at Walajabad station near Kancheepuram, Southern Railway (SR) has planned to develop another autorail hub facility at Singaperumal Koil station near Chengalpet. Besides, an aerospace park at Sriperumbudur over 260 acres of land is also on the cards. The project aims to create an ecosystem to promote the aviation industry in the State. The size of the park might be increased later to 600 acres.

Social infrastructure

The bustling industrial activity has paved the way for the development of multiple schools, hospitals, restaurants and places of worship in and around Oragadam.

Social infrastructure in Oragadam, Chennai

Educational Institutes

Healthcare Centres

Entertainment options

 

Annai Violet International School

Sir Ivan Stedford

VR Mall

Sankara School

Rakki Hospital

Arcade Mall

Saint Mary’s School

VM Hospital

La Cera Mall

Investment potential

Oragadam has reported around 25 percent growth in the average capital values from Rs 2,800 per sq ft in Oct-Dec 2014 to Rs 3,500 per sq ft in Oct-Dec 2019. With the expansion of the Peripheral Ring Road (PRR), the proposal to develop a Greenfield Airport nearby and various ongoing road-widening projects, the future of Oragadam looks extremely promising. Moreover, the State government has around 25,000 acres of land in and around the locale, which makes the land acquisition and establishment of firms easier and faster. Holistically, the state-of-the-art infrastructure, commercial expansion and rapid residential development may boost the investment sentiment in the area and thereby, the capital returns.