The shine is back on the real estate sector in Telangana.
After a lull of six to seven years, the Registration and Stamps revenues in Telangana in the new financial year are not only looking up, but Hyderabad and Ranga Reddy registered impressive growth rates. In addition Khammam, Medak too are now on the bandwagon of growth.
While the revenue in April 2015-16 was Rs. 239.21 crore, this April it touched Rs. 285 crore with a growth of 19.18 per cent. Medak is leading with 135 per cent growth, Khammam with 47 per cent, Ranga Reddy with 30 per cent and Hyderabad is 14 per cent.
If the phase during the Telangana agitation had taken a toll on the real estate market with uncertainty among a section of people and investors, post bifurcation too, the misgivings and apprehensions of traditional investors from Andhra and Rayalaseema had continued for a while.
This had an impact on real estate ventures in Hyderabad and Ranga Reddy despite its enviable international infrastructure, connectivity and employment generation potential. In the same period, speculative investors preferred Andhra, particularly to the areas in and around capital region of Amaravati and other cities for manifold returns in a short span of time. The districts of Krishna, Guntur, West Godavari , Visakhapatnam and even Prakasam posted impressive revenues.
In the last financial year 2015-16, the department in Andhra Pradesh earned Rs. 3,578 crore against the target of Rs.3,500 crore, with a growth rate of 24 per cent. For this year, 2016-17, a target of Rs. 5,180 crore was set but authorities feel the achievement could be around Rs.4,080 crore with an average growth rate of 15 per cent.
Sources say that it is too ambitious to expect the heightened growth phase of last two years to continue in Andhra Pradesh now that real estate market in Hyderabad, Ranga Reddy is reviving and so does the confidence of investors. And things may not be easy to sustain in Andhra Pradesh with the fund crunch for taking up major infrastructure projects, attracting investments into industry, manufacturing sectors and generate employment potential.
Credits The Hindu