Prasaddeshpande

Pl do not get surprised by the statement. If you evaluate this area on the basics of real estate investment you will be also in the agreement of my statement.
Real estate investment is always based on two basic criteria.
1) Appreciation of asset
2) Return on investment.
When you consider appreciation of asset; one normally thinks of annual growth of 18 to 35%
This growth always depends on certain growth busters for that area. The period expected to complete the development or to encash the growth buster also plays important role.
Return on investment is broadly observed in terms of rentals.
Now if we start analyzing the growth of Vagholi & kharadi on abovementioned basis, one can easily conclude that these are very much in line with the reasons for the growth of Viman Nagar. The transformation period of Viman nagar was from 2003 to 2007.
During this period Viman Nagar took a jump from Rs 900/ sq. ft To Rs 5000/ sq. ft.(Residential properties)
Growth Busters For Vagholi & Kharadi.
1) Employment / Job Opportunity. –

• Eon IT Park (around 4 million sq. Ft.) – Till last year occupancy level of EON IT park was poor but Since Jan 2010 companies has already started flowing in to EON.
• Magarpatta city IT Companies
• Ranjangaon MIDC- Approx 700 acre +
• Sanaswadi MIDC – 200 Acres +

In any IT company the workplace per employee is approx 100 sq. ft. But his residential requirement is in the range of 1000 to 1500 sq. ft.( i.e. ten to fifteen times of his workplace)
So for example for 10000 IT employees the residential requirement is in the tune of 10000 x 1000 sq. ft (min flat area). This totals to 250 Acres (10000 x1000/40000)
In case of Industrial area work place per employee is approx. 30 to 40 sq. ft. but residential requirement per person is Approx. 500 to 800 sq. ft
So now you can easily imagine the residential requirement of Vagholi & Kharadi.
It totals down to approx min. 4000 to 6000 Acres.
Considering this requirement one can easily imagine returns in a tune of 20 to 30 % per annum for next three years.
2) Closeness To Airport.
The new proposed road which starts from Shi Vaghereshwar temple to Lohgaon Airport concludes with a distance of 10 Kms. The road work is already in process. Closeness to airport has played major role in Viman nagar development.
3) Infrastructure: Road, Ring Road, Metro, Water
Six lane (3+3) highway is already there
There is a proposed ring road
Metro is also proposed till Vagholi
Now a days no Corporation can guarantee the 24 hrs water supply but in this area “Jeevan Pradhikaran “ is already functional and utilizing world banks aid for resolving the water problem.
4) Educational Institutes :
Lexicon and Jyotirmay international schools. Bishops is also there.
5) Lifestyle & Entertainment:
Various levels of restaurants and star hotels. ad Lab at Kalyaninagar and E Square at Kharadi. The approximate distance from Vagholi to KalyaniNagar is 8 kms.
6) Health :
No. of good multispecialty hospitals and a driving distance of 20 min from Ruby and Jahangir Hospital.
7) Driving distance and time from industrial area to current residence of Buyer
This directly affects or force buyer to change his current address to Vagholi & Kharadi.
For example consider case of somebody working in Ranjan gaon MIDC and currently staying at shivajinagar or Karve road area.
His daily travel time of one side
Karve Road to Vagholi- Distance 25 Km- Time required is min 60 to 80 min.
From Vagholi to Ranjangaon- distance 35 to 40 km – Time required is 45 to 50 min.
So if he is going to change his address from Karve Road to Vagholi or Kharadi he is going to save 120 to 160 min per day; which he can spend with his family.
Considering all seven factors, I strongly believe Vagholi and Kharadi are going to become next Viman Nagar. So I will recommend this as new investment destination in Pune. One should not be surprised if per sq. ft rate for residential property at Vagholi and Kharadi, crosses a mark of Rs 4000/ sq. ft in a span of 14 to 18 months.
This is part one of my blog. In part two we will discuss statistical analysis of growth chart in terms of rupees invested.
Prasad Deshpande

ManuGupta

This has been a great piece of information. Could you please share some insight about the Kolte patil project - Tuscan Estate coming up in Kharadi.
Is it a good project to invest in, considering buyer will be staying in themself after the completion...
Forest County or Tuscan estate ? which is the best?