As you start driving along the Dwarka Expressway or the Northern Peripheral Road, the stretch that will take the load off the traffic-clogged NH8, you see work in progress – there’s a railway overbridge being constructed and stretches which have to be metalled.
Residential projects along the expressway are also in various stages of construction – some almost complete, getting the finishing touches; others still having some way to go with floors etc being added on. One gets the sense that perhaps developers have timed their project deliveries to coincide with the completion of the 18-km road.
This makes one hope that despite the tardy pace of construction, there will be contiguous, seamless connector to Delhi, the lifeline for those who intend to buy apartments in Dwarka Expressway.
In May this year, a major hurdle in the completion of Dwarka Expressway, between Gurgaon in Haryana and Dwarka in Delhi, was removed. The Punjab and Haryana High Court had ordered the Haryana Urban Development Authority (HUDA) that the families whose properties had been affected by the project, in areas such as New Palam Vihar, must be adequately compensated. The compensation included the cost of constructing new dwellings at sites chosen by the families.
“With this decision and the resolution of most acquisition issues, we are hopeful that the construction of the 18-km-long expressway will be complete by end of 2016,” says Anita Yadav, administrator HUDA, Gurgaon. The story on the Delhi side is not very optimistic though. According to sources in DDA, land for the 1.5 km stretch falling in Delhi has still not been acquired. “Acquisition is not possible as this is held by private entities,” they say.
With the 18-km stretch, however, becoming litigation free, real estate activity is expected to revive in Gurgaon, at least in some sectors where the road exists on the ground.
The road can be divided in three stretches: one starts near NH8 (close to Khirki Dwala) and has sectors 88, 89. The second stretch has sectors starting from 99 to 102 and the third has sectors 102 to 111 that pass through New Palam Vihar and culminate at the Delhi border.
“Going forward, the first phase of growth will happen in the stretch between sectors 37 and 99 and 102, where a motorable road exists. This stretch is already connected to Gurgaon and has social and physical infrastructure that it shares with the Old Gurgaon City. The Basai water treatment plant too is situated in this area,” says Prashant Kaura, founder and executive director, GenReal Property Advisers Private Limited
Getamber Anand, chairman and managing director of ATS group says that the company will hand over possession of ATS Triumph and Kocoon located in Sector 104 and Tourmaline in Sector 109 by 2017.
The fortunes of the real estate market along the Dwarka Expressway depend on how Gurgaon develops. “It acts as a check and balance to the high-priced projects located on Sohna Road, Golf Course Road etc and opens up new options in the mid to high-end housing. It is perhaps the only area in this part of town where one can find projects in the range of R5,000 per sq ft compared to other parts of Gurgaon such as Golf Course and Golf Course Road where prices start upwards of R10,000 per sq ft. This stock helps balance the city’s housing supply. There are around 10,000 units along this stretch out of a total of 40,000 units currently under construction in Gurgaon, which means that they constitute around 20% to 25% of the total stock in the city,” adds Ashutosh Limaye, national director research, JLL India.
It is interesting to note that some projects near the Delhi border, close to the proposed Diplomatic Enclave were sold for an amount as high as R11,000 per sq ft, with prices expected to appreciate to R15,000 per sq ft in the near future. But that story will have to wait until Delhi takes a decision to acquire land first and then finally construct the remaining 1.5 km stretch. Prices in this market almost doubled in 2012-2014, much ahead of their time. Price consolidation, which began last year, is still on. The last 12-18 months have actually seen a price erosion because of the long wait regarding completion of the main driver - Dwarka Expressway. A project retailing in the primary market at R8,000 per sq ft can actually be bought for R6,200 in the secondary market today, say realty experts.
“With properties available at just the right price, it is perhaps the right time to buy a property in the area now,” real estate agents say.