How Smart City Plan Can Boost Realty Sector

Ever since the Union Cabinet approved the proposal to build smart cities the buzz around smart cities has been phenomenal. There is an ongoing rush to know more about this dream project of the new government and many cities are trying hard to acquire for themselves the status of a smart city.

Revolutionary concept

Backed by a funding of Rs. 48, 000 crore in the next five years, smart cities project India is sure to revolutionize urban development in India. The race has been so fervent that to be accepted as a smart city you need to complete the 'City Challenge Competition' which tests the city's worth and whether it is liable to be a smart city or not. With as many as 100 cities queued up to be developed into smart cities, this project will boost the realty sector, as well as improve the economy of India.

Smart is in

The urban population of India is constantly increasing. Offices of major companies, prestigious colleges, career opportunities and a chance to lead a dream life attract a lot of people to metropolitan cities. This has led to roads chock-a-block with traffic, rush in Metros and other modes of public transportation, and a high competition to be successful resulting in the mushrooming of new residential projects in India. Smart cities in India aim to reduce the pressure on these metropolitan cities by offering people a similar kind of lifestyle in the 100 proposed smart cities. This can already be deemed as a successful step because many smaller cities have gathered interest from investors. For example, in recent years, Bhubaneswar, which is not yet in the list of smart cities in India, has seen more companies open their offices than in Kolkata. Some big names like Infosys, Wipro, TCS, Tata Tele Systems among other MNCs have opened SEZs and STPIs in Bhubaneswar.

Boom time for realty

As more smart cities start to take form, the real estate sector will see a huge boom. One of the requirements of a smart city is to boast quality infrastructure so as to cater to the establishment of high profile industries and MNCs. The more industries a smart city attracts, employment opportunities will open up for more professionals, which in turn would increase the demand for new apartments in India.  

Government incentives

The government has also declared that it will provide homes for everyone by 2022, which means more and more investors and real estate agents will be interested in being a part of the smart city initiative as the idea itself guarantees high profits. Long-term investments in upcoming properties in India work perfect with smart cities, as before the actual construction begins you might be able to buy property at decent rates and see the prices soar sky high as the skyscrapers begin to take shape. An example of this is the Gujarat International Finance Tec-City (GIFT City), located between Ahmadabad and Gandhinagar, which has seen the property prices rise up to 10-15 percent. Do an extensive research by looking up names of smart cities in India and invest in the real estate of the one you think will turn out to be the most successful for you, and if everything goes according to the government's plan, you can be assured of huge profits.