Apartment prices in Noida Extension could rise upto 15% in the short to medium term after the Allahabad high court’s cancellation of land acquisition in three villages of Gautam Budh Nagar and the award of a higher compensation for similarly affected farmers.
But experts tracking the sector said even at the increased price, properties in the area would remain lucrative
for both end-users and investors, compared to other regions in the national capital region, like Ghaziabad, Noida and Faridabad.
Vivek Dahiya, CEO of GenReal, a real estate consultancy, feels it is too early to say anything. “The complete story is yet to unfold, but yes, the prices will increase by around 10% to 15% in the short and medium term,” he added.
Ajay Rakheja, director at real estate services organisation Colliers International, said sometime ago, the average apartment price across Noida Extension stood at R2,000 per sq ft. Even with a 15% rise, prices would remain at R2,300 per sq ft. “This is still lower than many localities across the national capital region,” he said.
The superb connectivity of the locality coupled with quality infrastructure would remain one of the key factors that would lure end-users to Noida Extension. Real estate sector experts, however, add that in the short term, the demand may slump as the confidence of investors is likely to erode.