Metro construction in India will now pick up the pace as the Union finance ministry recently got the “in-principle” nod to six metro rail projects in Indore, Bhopal, Kanpur, Agra, Meerut and Delhi (phase-IV) amounting to Rs. 1.07 lakh crore.
Along with this, the ministry also approved Rs. 32,000 crore for the Delhi-Meerut stretch of Rapid Rail Transit System (RRTS) that will reduce the travel time of commuters to 60 minutes, according to a senior official from the Ministry of Housing and Urban Affairs.
After the finance ministry’s approval, tier-II cities of Uttar Pradesh and Madhya Pradesh will receive metro facilities.
Let’s know how metro could be a game changer for the following cities real estate.
Three corridors of Delhi Metro’s phase 4 project have also been approved, running into 61.66km and with an estimated cost of Rs 29,000 crore. A green signal has given to three corridors of Delhi Metro Phase-IV — Janakpuri West to RK Ashram, Maujpur to Mukundpur, and Aerocity to Tughlaqabad. This expansion of the Delhi Metro phase 4 will offer more options to the commuters. The expansion in Delhi Metro will be a boon for the residents of the National Capital Region (NCR) as it will provide connectivity to various parts of the city and in turn, it will boost real estate development.
Efforts are already on to give Meerut a better connectivity with Delhi, the national capital. When the 33-km-long Metro network would be operational in Meerut, it will make the city popular among those who want to stay close to Delhi. It is expected that Meerut metro will immensely improve the prospects of the city in the property market as ease of connectivity is the most important part people look out for while investing in a city. This is why many developers have planned projects like Griham, Griham Plaza, Vaishnodham and Ansal Town here to take advantage of the boom.
Of this, 12,253 crores would be spent to build 30km long Agra stretch of the metro in Agra, the city known for a Taj Mahal. About seven to eight million people visit the Taj Mahal every year just to see this world popular structure. While efforts have been made to give this old city a makeover, the arrival of a Metro facility in the city would be a big help. The population density of nearby residential areas will increase because of proximity preference, along with the increased demand for retail and office spaces. Hence it will boost property market in the city.
In Kanpur, Rs 16,192 crore will be spent to build a 32.38km long network with 31 stations. Kanpur is considered as a highly congested city, the Metro facilities in the city would come as a boon. Kanpur attracts huge numbers of migrants as it is among the biggest employment generating cities in Uttar Pradesh. Therefore, Kanpur metro can be a major boost to the city’s infrastructure as it will accelerate connectivity for residents in many areas in the city. The market value of properties will likely to increase by more than 50 percent over the existing values after the launch of Metro facilities in the commercial capital of Uttar Pradesh.
Indore is considered as a top real estate investment hotspot among Tier 2 cities as it has displayed immense investment potential in terms of return on investment owing to the Metro project. The proposed length of Indore metro project is 104.25km and the estimated cost is Rs. 26,762 crore. The metro rail project will push up the residential demand and will revive the realty landscape in the city.
In Bhopal, Rs. 22,504.25 crore will be spent to build a 95.03km network. Bhopal is being considered as the best in terms of growth among the Tier II cities. The state government is showing interest in making the capital of Madhya Pradesh, as a residential hub. The better connectivity in and around the city will ensure that the city will see growth in the demand for homes.
Also Read: Nagpur Metro