Real Estate Development at Sarjapur-Marathahalli stretch of ORR

29 October 2016

In the last couple of decades, the garden city of Bangalore has emerged as the IT capital of India. It is globally acknowledged as a software powerhouse outside of the United States. Besides having the largest no. of establishments in the IT sector, Bangalore is also home to the Biotechnology Industries (BIOCON, BIOZeen), well established heavy industries such as HAL, BHEL, BEL among others. The city has leading institutes of elementary and higher education including several technical institutes. These educational institutes and employers attract students and job seekers from all over the country and abroad, which gives the city a unique cosmopolitan appeal; coupled with an enviable weather, Bangalore makes people want to settle down and never leave. In fact many people from southern states of Tamil Nadu or Telangana/ Andhra prefer to live their retirement years at Bangalore. As more and more people from all over the country pour into this holy grail for jobs, education and other opportunities the city has seen an expansion in all directions.

Real estate buyers and investors are always on lookout for options that are likely to appreciate in future along with the profile of the region. Be it a home buyer, investor or a real estate developer, one has to carefully identify areas for their investments. For a residential project to prosper, a customer’s convenience has to get top priority and hence, popular projects are planned in close proximity to growth corridors and employment centers; this ensures an ever increasing demand for the property and also a convenient lifestyle for the end user. Sarjapur-Marathahalli Outer Ring Road in Bangalore is one of the fastest developing IT corridors of the city, due to its convenient location and dependable civic infrastructure. This region has attracted Bangalore’s prominent real estate firms such as Prestige, Sobha, Salarpuria, Puravankara and Assetz to develop residential estate projects here.

Why is Sarjapur – Marathahalli Outer Ring Road area one of the most sought after options for an investment in real estate?

• Innumerable employment options : There are various IT pockets distributed all over the city and one of the most significant of them is the Sarjapur-Marathahalli stretch. Prominent tech parks such as Embassy Tech Village, Prestige Tech park II, Exora Business Park, Cessna Business Park, the Wipro Campus, RMZ Ecospace,Bagmane Tech Park, JP Morgan Chase and many more, which are home to some of the Fortune 500 companies such as CISCO and IBM, MNCs such as Intel, Cap Gemini, Accenture, Wipro, Infosys, Schneider Electric, Oracle, Honeywell, among others.
• Connectivity is the key : Located in the south western part of the city, Sarjapur-Marathahalli area enjoys proximity to the bustling suburb of Whitefield (12kms) -the IT hub of Bangalore on one side and the iconic residential areas of old Bangalore such as Jayanagar, Basavanagudi, Koramangala, BTM Layout, on the other side. Moreover, other employment hubs such as Manyata Tech Park(21 kms) in Nagavara and Electronics City (14kms) can be easily reached via a wide network of roads and transport systems in place. The Kempegowda International Airport is at a distance of 45kms and can be reached via the outer ring road, which then joins the signal free corridor of the airport expressway. The central business district, key areas such as MG Road(14kms via old airport road), City Bus stand and railway station(20kms via old airport road), are well connected through a network of good roads and efficient BMTC bus services. The stretch of Sarjapur-Marathahalli will be a part of the proposed 116 km Peripheral Ring Road project, which will create a south – west corridor, connecting the industrial areas of west Bangalore Peenya and Nagasandra on Tumkur Road with Hosur Road in the south. There are ongoing discussions around ORR having a metro connectivity in the Phase 3, however these are at very early stages of planning. 
• Affordable rates and high appreciation  : What is most appealing about this part of the town is that, prices of apartments and office spaces still fall under most budget categories, compared to the exorbitant rates (for apartments) prevailing in neighboring suburbs such as  – Whitefield  (Rs. 6,000 – Rs.7,500 /sqft), Jayanagar, HSR Layout, Koramangala (Rs.12,000 /sqft) etc; moreover, home buyers prefer the Sarjapur-Marathahalli stretch over these well established residential areas for the availability of more open spaces which are hard to find in the saturated suburbs.  The price per sqft area (for apartments) here is somewhere between Rs.4,500 -Rs.6,500 depending on their exact location. Considering the average price in the current year to be Rs.5,750 per sqft, it is a substantial increase of a whopping 59% since 2010 (Source :Residential market report, Knight Frank). Knight Frank further notes, while the rest of the country is witnessing a slow down in real estate sector, this region of Bangalore witnessed a price appreciation of 3%-6% in the 12 months preceding H1 2016. Moreover, a plethora of options are available for purchase; from a modest 1BHK to a high-end 4BHK apartment complexes are mushrooming along this road to cater to people from various economic backgrounds. By looking at the extent of commercial and office spaces planned for the future, the Sarjapur-Marathalli Outer Ring Road promises a substantial and steady appreciation for properties, unlike certain other districts of the city, which are yet to acquire a more effective connectivity to the rest of Bangalore. What really works in favour of this market is the existing infrastructure both socially and economically, thus reducing dependence on things that become more favourable in future.
• An uber-lifestyle: Living in the Sarjapur -Marathalli stretch of the Outer Ring Road can be a comfortable and a wholesome experience given that the civic and social infrastructure needs of this area have been quite successfully met. Be it world class educational institutes, schools, shopping malls or entertainment centres, this place has it all. The party culture, which is more popular among the young IT crowd of the city is prevalent in the Koramangala and Marathahalli areas with a lot of youngsters thronging cafes and lounges after work hours. 3Bs, Barleyz, Gadang Sports bar, Indigo, Prost Brew Pub are a few places in the vicinity to enjoy Bangalore’s famed nightlife. Hospitality majors such as Novotel, Shangri-la, Hilton and Hotel Park Plaza also have existing and upcoming establishments in the vicinity. Shopping centres and malls such as Brand Factory, Central mall, Soul Space Arena, Innovative Multiplex are within 4kms of this stretch of road. Coming to educational institutes, New Horizon College, Azim premji University, New Horizon Gurukul, National Public School and many other notable institutions are close by and offer a bouquet of courses and mediums to study in. Stanford Speciality Hospital, Cloudnine hospital, Apollo Clinic and other healthcare facilities are in the neighborhood for the resident’s convenience.

With good infrastructure in place, various employment options, well connected roads, proximity to the city centre and relatively affordable pricing, might just render the Sarjapur – Marathahalli Outer Ring Road area, the next residential hub of Bangalore.