Sanand Growth Making Ahmedabad Localities A Potential Goldmine

When a highly publicised agitation in 2008 forced automobile major Tata Motors to move its ambitious Nano car project out of Singur in West Bengal, little did the people of Gujarat's Sanand know how much they stood to gain from Singur's loss. A sleepy neighbourhood with 101 villages and 66 panchayats, Sanand had made little news for its development by that time. While the Tatas' Nano project did not receive the desired response, the presence of the Nano plant changed the face of Sanand.

While other automobile manufacturers followed in the footsteps of the Tatas to set up base in Sanand; infrastructure in the neighbourhood saw rapid change. And today, Sanand stands as one of the most prominent manufacturing hubs in the country.

Meanwhile in the real estate market, the prices of residential property in the areas surrounding the manufacturing hub also saw a gradual uptrend -- developers were only too keen to cash in on the growth potential. According to PropTiger DataLabs, there are as many as 25 under-construction and ready-to-move-in residential projects in Sanand. From Rs 1,664 per square foot (sq ft) in April 2013 to Rs 1,978 per sq ft in April this year, plot prices in Sanand have also gone up at a fairly rapid pace. The Gujarat Industrial Development Corporation has also been in the process of acquiring huge tracts of land in the area to facilitate development.

However, it is not only Sanand that has benefited from its industrial growth. Localities in its vicinity have also seen a remarkable change in terms of infrastructural growth and price appreciation. Other Ahmedabad localities like Bopal, Makarba, Prahlad Nagar, Sarkhej, Sanathal and Shilaj geared up swiftly to meet the housing needs of those who had come to set up shops in the town. This is why property rates in areas adjoining Sanand have seen better appreciation. For instance, average property prices in Prahlad Nagar stand at Rs 5,609 per sq ft, while they stand at Rs 2,746 per sq ft in Shilaj. Other localities neighbouring Sanand include Ambli, Balva, Changodar, Mumatpura, Sachanan and Vejalpur Gram.

Interestingly, property prices in Sanand and nearby areas have not changed much amid a slowdown that has impeded real estate growth across India. Those looking to for long-term investment bets could put their money in these localities.

 

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