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Eastern suburbs drive real estate growth
The Times of India  |  January 15, 2019

Greeshma Gopal Giri Kochi

After the deluge, the demand for small parcels of land is increasing in suburbs in the eastern regions of the city. Individuals who are keen to possess a house are buying small parcels of land and constructing their dream homes. Regions such as Mulanthuruthy, Chottanikkara, Udayamperoor, Kizhakkambalam, Pallikkara and Pattimattom are some of the favourite locations of those looking forward to building houses.


“Earlier, regions along the Periyar basin were the most favoured location of home buyers. The flood has exposed the vulnerability of regions such as Desam, Nedumbasserry, Alangad panchayats as well as Aluva, Angamaly and North Paravoor municipalities. After the floods, home buyers have started to look for land that was not affected by the rising waters,” said Vinod Thampi, a contractor based in Kureekad.


On an average, the Mulanthuruthy grama panchayat issues five permits a day for constructing new or reconstructing existing houses within its limits. The Chottanikkara grama panchayat on an average issues three such permits a day. Mulanthuruthy grama panchayat president Renji Kurien said they have noticed an increase in the trend since the floods. “People are buying plots consisting of three, four or five cents. Five to eight villa projects are coming up within the panchayat limits,” he said.


Availability of small parcels of land, generally plots of three to five cents, in the eastern regions of the city is pointed out as one of the main reasons why home buyers are interested in these regions. “If the home buyers can spend Rs 50-Rs 55 lakh, it is possible to buy a five-cent plot and construct a 1,300 sq feet house in these suburban regions. The proximity to Kochi city and transport connectivity makes these areas attractive,” said government contractor K D George.


Meanwhile, architects, who keep a constant watch on real estate sector, also hint at the possibilities of large-scale builders focusing on villa projects. While land is available in the city’s suburbs, the land value is also less when compared to urban centres. “When the realty market goes down, the builders will focus on villa projects,” said S Gopakumar, principal architect, Kumar Group, adding that in the coming years there will be more investments in villa projects.


Unlike the large-scale apartment projects, villa projects ensure that land is transferred to buyer without delay. This helps in building the confidence of the buyer. No piling or any complicated process for building foundation is required, and there is speedy progress in construction. “This makes villas more appealing to buyers. Moreover, the constitution of Kerala Real Estate Regulatory Authority and implementation of RERA Act will force small-scale builders from undertaking apartment projects. It will also result in the rise of villa projects,” Gopakumar said.