Industry sources have reported that, about Rs.135 crores are being invested in Apartment and flat industry in Kerala every month. This growth is more driven by the NRIs and due to the growing IT sector. An average flat in Thriuvananthapuram costs Rs. 25 lakhs while per sq. ft. price rates in Kochi range between Rs.2,000-2,500.
BPO sector is also a major source for the increasing demand of real estate in Kerala. It has not only increased the capital and rental values of commercial property but, it has also fuelled demand for housing of its workforce.
Improved transportation and telecommunications systems, chain of hotels, retailers, etc. are some of the factors paving way for the increase in prices for real estate in Kerala.