The private developers' housing projects at Raj Nagar Extension and Crossings Republik in Ghaziabad seems to have picked up demand after the recent land acquisition fiasco in Greater Noida.
The Ghaziabad developers have indicated a rise in inquiries, bookings and cost of flats as potential buyers have turned to Ghaziabad in search of a safe and affordable housing options.
The developers said that the positive momentum towards Ghaziabad projects was due to its nearness to Noida Extension and availability of 'ready to move in' flats, as most of the projects in the two areas are on final stages of completion.
"We have experienced around 40% to 50% increase in inquiries and bookings after the Greater Noida land row. Even Raj Nagar Extension Developers' Associ-ation has decided to increase cost by R200 per square metre," said Tanuj Goel, executive director, KDP Infrastructure Private Limited, having projects at Raj Nagar Extension.
Even developers at Crossings' Republik were buoyed after the incidents at Noida Extension. "There was a low demand for the past two years. Now, even our top floor flats' sales have doubled up. Earlier, these were sold at 5% to 6% discount," said Sanjeev Kumar Singh, marketing manager at a developers' firm in Crossings Republik.
Crossings' is one of the seven integrated-city projects of the Uttar Pradesh government, developed by private developers along the NH-24 area, adjacent to Noida Extension. The flats' prices at Crossings' projects range from R25 lakh to R70 lakh.
Similarly, the private developers came up in Raj Nagar Extension near NH-58 and offer different affordable flats at a price band of Rs 14 lakh to Rs 40 lakh. The development at both the locations started around three years back. "Out of the pending 152 flats, we now have only eight left in our project," said Anil Dubey, marketing manager from another developer at Crossings.
Rohit Raj Modi, director, Ashiana Homes Private Limited, having projects at Raj Nagar Extension and also on NH-24, said that there was 30% to 35% increase in site visits and the cost of flats have gone up by 15%.
"The rise in costs cannot be attributed only to the land row in Greater Noida and Noida Extension. Costs have also gone up due to rise in labour costs, commodity prices and construction loans," Modi added.
However, the developers still feel that widening of NH-24 would be a major worry as city's two hi-tech cities and seven integrated-city projects were developed over NH-24 areas.
"We had approved the funds for widening of NH-24. But, to our knowledge, the widening process is presently stalled,” said Narendra Kumar Chaudhary, vice-chairman, Ghaziabad Development Authority.
Chaudhary also termed the Ghaziabad projects as 'safe' as the private developers purchased land directly from farmers. "The projects here are quite safe," he added.