Kolkata left Delhi and Chennai behind on the future attractiveness index on investment in the real estate sector and is set to get inflows of about Rs 37,000 crore in the next five years.

According to Real Estate Bank India, Kolkata has left most other metros behind when it comes to attracting real estate developers and the state, too, is blinking bright on the real estate radar as it has attracted about Rs 25,000 crore in real estate and infrastructure in the last two years.

Gujarat tops the list with investments of more than Rs 35,000 in the sector, while Maharashtra is third behind West Bengal.

Ascribing the cheap living cost in the city and the state to high investment in real estate, Mr Lakshmi Narayanan, CEO of REBI, said that despite all the growth, prices of essentials in the city are much below those in others.
He warned, however, that infrastructure needs to grow at a faster rate or the boom may be restricted to already developed areas such as Rajarhat, Salt Lake and Durgapur.

“Investors will only be attracted in areas where they will be able to sell their projects and that will be possible only when facilities such as communication are well developed,” he said.

The city in any case will add up to 250 million sqft of built-up space, for which more than Rs 37,500 will be invested.

Most of the growth will be in what is known as Greater Kolkata, comprising Garia-Narendrapur, Behala-Joka, Rajarhat and Howrah.
“We don’t see any slump in the growth as there is a huge housing shortage in the country. Kolkata is still virgin territory and will see an astronomical growth of 25-30 per cent,” he said.

Growth in the IT sector, along with that of northeast India, will only add up to the growth. “65 per cent of Indians don’t have a home of their own and with growing income, everybody will want to have one. So, the present shortage of 20 million homes will only increase if the sector does not grow fast,” Mr Narayanan said.

The country as a whole will see investments of $25 billion by 2010 and $50 billion by 1015 in commercial, residential and industrial real estate projects. “More than 16 million sqft of constructed space will be available by then,” he claimed.


Source: The Statesman
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  • Kolkata is dead! Long live Kolkata.

    kolkata will lag and continue to lag. this city is dead long time. first it was the red and now the green brigade. poor kolkata.
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  • It has to ...

    There is a lot of human capital in Kolkata..

    As other metro and cosmo cities like banglore.. get over populated and land prices shoot up.. Industyr has to move to cheaper places and kolkata is one.. with airport/IIM/IIT etc and education area picking up..

    It is bound to grow.. but it has still a long way to go..

    still people from WB can invest in these area .. like rajarhat... which would give them a new luxury address and a planned city... also ROI in long run ..

    happy investing ..
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  • Here's an article on Kokata RE . Will be of use to members looking to invest there -

    http://www.realtyplusmag.com/rpnewsletter/fullstory.asp?news_id=10049&cat_id=3
    CommentQuote
  • Impossible...

    Dirty city like Kolkata can never become the future of India…
    CommentQuote
  • kolkata real estate

    hey you all,
    Kolkata is on the rise and this is the one and only city, where the satisfaction of the customer is given more importance than making the city look like new york! check out Eden Priviledge Care, Kolkata.
    CommentQuote
  • Something to reflect what Kolkata had achieved in last 5 years

    Have a look at the video and I have no reason why this can only be dream

    FUTURE INDIA : KOLKATA DOWNTOWN PLAN RAJARHAT WEST BENGAL - YouTube
    CommentQuote