The Indore Development Authority (IDA) put up around 1,000 plots for sale in Niranjanpur, Tejpur Gadbadi and Sirpur area for lower- and middle-income families on Thursday, but property experts feel uncompetitive pricing may hold back customers.
Prospective buyers can submit their bids till September 13 for plots in Niranjanpur, Tejpur Gadbadi, Scheme 71 in Sirpur area and Scheme 114 Part-I along AB Road. September 8 is deadline for submitting applications for those interested in buying row houses at Niranjanpur Phase-II.
In Tejpur Gadbadi, plots measuring from 450 to 2,034 sq ft are priced between Rs 2,444 to Rs 3,066 per square feet. Plots measuring between 490 and 1,453 sq ft are priced from Rs 1,938 to Rs 3,441 per square feet in Scheme 71 near Sirpur. The per square feet rate of plots in Scheme 136 in Niranjanpur is fixed from Rs 2,416 to Rs 2,750. The plots on sale measure from 600 to 800 sq ft.
The rates are fixed as per collector guidelines.
‘Prospective buyers may hold back due to uncompetitive pricing of the plots’
Market watchers and property experts feel prospective buyers may hold back due to uncompetitive pricing of the plots. In Niranjanpur area, private developers are offering plots at the rates ranging between Rs 1,500 and Rs 1,800 per square feet.
“A buyer can see a 30% difference in property prices between IDA and private property developers, who provide better amenities,” Indore property broker’s association president Rajendra Bhaiya told Hindustan Times.
The IDA had slashed rates by at least Rs 3 lakh, after many flats in Scheme 136 in Niranjanpur failed to attract buyers.
Prices may come down later, feels CREDAI
Though IDA claims its properties are better planned in terms of more open space, wider roads and greater common facilities, the complete development of such schemes takes longer time.
Atul Jhawar of Confederation of Real Estate Developers’ Associations of India (CREDAI) feels prices may come down later. “The IDA fixes prices as per guidelines set by the state government. If it fails to sell them at the set prices, it will send proposals to slash rates and offer new prices,” he says.