Land Rates Around Hyderabad Fall Drastically

Recession and Political uncertainities have hit hard the real estate business in and around Hyderabad for the past two years. The once sought-after plots are now available at unbelievably cheaper rates. Land owners in areas like Moinabad, Maheshwaram and Chevella, who sold their plots for not less than a few crores of rupees per acre during the real estate boom have now slashed the rates by over 70% to attract buyers.

The lands around Hyderabad, particularly in Maheshwaram and Chevella tract that had soared beyond Rs 1.70 crore per acre in 2007-08, has now dropped to a meager Rs 50 lakh (approximate) per acre, say sources in the real estate sector. A little bargain and the owners are even ready to drop the rates to Rs 35-40 lakh, they add. In fact, some market experts peg the value of properties in this belt at nothing more than Rs 20-25 lakh. The border areas of the city, they say, have failed to see the industrial and commercial development that was expected to take place over the last few years.

Maheshwaram, for instance, was likely to become home to a new Hardware Park while Chevella was being touted as the next big IT/ITes destination.  "The situation today is very different. The over two-year-long slowdown in the real estate sector has not only dented the demand for land among builders but also weeded out investors from the market who ruled the outskirts and were responsible for this artificial rise in rates," said a senior builder.