The Value Proposition Of Large Vs. Small Flats In Pune

Anil-Pharande

 

 

Anil Pharande

Over the last couple of years, I have been observing with concern the decreasing size of flats on the Pune real estate market. Of course, it is the demand for smaller flats that is driving this kind of supply.

With housing prices in the Pune Municipal Corporation rising relentlessly, the ‘biggest’ opportunity that developers perceive is in smaller flats that get sold in the shortest possible time. This kind of supply is aimed at first-time home buyers who either have limited budgets or low financial confidence.

room

 

 

 

Smaller Flats – Pricing Trap

Though these are supposed to be ‘affordable homes’, the pricing of these units is actually on the higher side. They sell because the prices are still lower than those of larger flats, but the buyers are actually paying an excessive unit cost.

The reason for this disparity is that the ‘pigeon holes’ housing model itself has some inherent flaws built into it. To begin with, the share of common area that needs to allocated in a project that consists of only of small-sized homes means that the project loses in terms of overall efficiency and sale-able area. This results in lower revenue potential, so developers bump up their prices to compensate.

Secondly, the cost of construction depends on the quantity of raw materials being used. When a developer is building a project which comprises exclusively of small units, his development costs actually go up because every unit needs to be provided with separate fittings, appliances and finishes.

As a result, he will increase his prices to make up for the loss in profitability.

Home buyers should be aware that the converse is equally true. In a project with larger units, developers save on costs because of more efficient common space utilization and lower consumption of fittings, appliances and finishes for individual units.

Better Common Amenities

This is why a 1 BHK is often only 30-35% less expensive than a 2 BHK. The bottom line is that by opting for larger flats, property buyers are getting more value for their money.

Also, projects comprising of larger flats tend to have better common amenities, which the developer can maximize the overall livability and therefore attractiveness of the project rather than needing to focus on making as many units as possible within the available space.

The obvious question that follows is – where can middle class home buyers from Pune find larger flats that fall within their budgets? The answer is – in the developing (rather than expensive over-developed) parts of the city.

For example, West Pune is a corridor where hundreds of property buyers are still able to find true value for their money.

Property rates in many of the the areas of PCMC are lower than the inner localitions of the Pune Municipal Corporation, which means that buyers can get the benefits of larger flats with better amenities there.

With the vastly improved road connectivity, the newer areas of West Pune close to Hinjewadi and the MIDC are now becoming the destinations most favoured by home buyers working in these employment catchments.

About The Author:

Anil Pharande Chairman of Pharande Spaces, a leading construction and development firm that develops township properties in Western Pune. Pharande Promoters & Builders, the flagship company of Pharande Spaces, an ISO 9001-2000 certified company, is a pioneer in the PCMC area offering a mixed bag of products catering especially to the 42 sectors of Pradhikaran. Puneville in West Pune’s Punawale is the latest integrated township project by Pharande Spaces

 

West Pune’s Golden Location Matrix Widens Into Punawale

Anil-Pharande

 

 

Anil Pharande, CMD – Pharande Spaces

While real estate is a constantly changing and evolving concept, some parameters remain constant – the three success mantras are still Location, Location and Location. In this respect, Western Pune is an important new chapter in the annals of Pune real estate’s success story. One of the most exciting new locations in this corridor is Punawale.

Thanks to massive demand for residential and commercial properties, Western Pune has delivered some of Pune’s hottest real estate locations over the past decade. Punawale is the latest addition to the region’s lineup of strategic real estate development and investment hotspots.

Located advantageously close to Hinjewadi and its burgeoning IT Park and the Pune-Mumbai Expressway, Punawale has now emerged as the location of choice for home buyers from the Information Technology as well as manufacturing segments. Punawale is also in close proximity to Wakad and benefits from convenient access to various hospitals, schools and shopping malls.

puneville

This combination of factors has had a big impact on demand for properties in Punawale, and has led to the launch of many new residential projects. Puneville, a luxury township recently launched by leading developers Pharande Spaces, is one of the most notable examples of Punawale’s massive image makeover on the Pune real estate map.

Like Moshi, Ravet, Spine Road, Wakad and many other highly successful real estate locations, Punawale has the added advantage of being located at the fulcrum of various mega road development projects by this region’s infrastructure-focused town planning authorities. Backed by the unlimited cash reserves at the disposal of Asia’s wealthiest Municipal Corporation.

Backed by a diverse and vibrant economy which provides a convincing complement to that of Pune, real estate growth in Western Pune is backed by a prolific manufacturing sector represented by a number of national and global industry giants. This region is seeing a steady and growing pipeline of employment opportunities generated by its manufacturing and Information Technology industries.

This factor has ensured that areas like Punawale see instant absorption of housing projects across budget brackets. It goes without saying that an employment-driven real estate location like Punawale also receives significant attention from property investors.

In Punawale, Western Pune has received yet another iconic location to take this prosperous, infrastructure-driven region’s real estate story to the next level.

Puneville’s Dazzling Independence Day Launch Draws Massive Attendance

The launch of Puneville, the game-changing, futuristic luxury township by Pharande Spaces at Punawale on India’s 68th Independence Day drew massive attendance of eminent dignitaries and real estate industry stakeholders. After hoisting the tricolour was hoisted at the launch venue to the refrains of the national anthem, Hemant Naiknavare – President, CREDAI Pune addressed the gathering and was generous in his praise for Puneville’s never-seen-before features.

1

Puneville is a brilliantly conceived and executed luxury township,” he said. “Pharande Spaces, in partnership with globally acclaimed architects Aedas, have outdone themselves by delivering a fantastic residential project. The timing of this launch is perfect, because Puneville is the ultimate celebration of freedom of an ultra-modern lifestyle. Also, thanks to Pune’s rapidly accelerating Information Technology boom, demand for such ultra-modern township homes has never been higher.”

After the inaugural address, Kamlakar Akode, Director – Town Planning (Maharashtra) elaborated on the progressive ‘infrastructure first’ approach that is the hallmark of real estate planning and development in Pune’s progressive PCMC region, and added that Puneville is a fitting tribute to this futuristic approach which has set a new benchmark for Indian real estate.

2

Addressing the gathering, Satish Magar, Vice President – CREDAI expressed his amazement at the world-class amenities offered at Puneville and also described the location at Punawale as nothing short of perfect. Shantilal Kataria, Vice President – CREDAI Maharashtra added that Punawale, Wakad and Hinjewadi are the most promising of Pune’s upcoming real estate locations and that Puneville is indeed an integrated township that has achieved global standards of excellence.

Anil Pharande, Chairman – Pharande Spaces described Puneville as his personal labour of love and the culmination of Pharande Spaces’ constant quest towards perfection in integrated township development. He was also graphic in his praise for Aedas for bringing the full benefit of their global architectural design expertise to bear in this luxury township.

After the Independence Day ceremony, Akash Pharande, Head (Marketing & Sales), Pharande Spaces treated the attending dignitaries and guests to an enthralling project presentation and a guided tour of Puneville and its various state-of-the art features. The sumptuous lunch that followed featured an international cuisine that dovetailed perfectly with Puneville’s uncompromisingly global design and ethos.

Pharande Spaces Announces Third Phase Of Luxury Township L-axis, PCMC

Pharande Spaces, the leading real estate development company in the Pimpri-Chinchwad Municipal Corporation, today announced the launch of three new towers at its highly successful luxury township L-axis. The announcement was made at a glittering ceremony that was attended by world-renowned architect and town planning expert Prof. Christopher Benninger, architect Mrs. Usha Rangarajan and Ravi Varma, Vice Chairman of the National Association of Realtors.

L-axis, one of the most successful township projects in the PCMC, has made a resounding market statement as the address of choice for HNIs from the PCMC, Pune and beyond. The location of this township has been one of the main catalysts for its success.

In a relatively short period after its inception, Spine Road in the Pradhikaran region of Pune’s thriving twin city PCMC has become one of the most talked-about investment locations. The 22-kilometer long and 45 meter-wide Spine Road connects to all sectors in the PCMC and the areas along it have become key development hotspots in the region.

Demand for homes in this area began peaking when the PCMC began further widening of this key transit infrastructure project. The Pradhikaran region, also known as Sector 42, encompasses a total area of 15000 acres and is a text-book case of planned development by the Pimpri Chinchwad New Town Development Authority PCNTDA.

Anil-Pharande

 

 

Anil Pharande, CMD – Pharande Spaces

“Road infrastructure is always the precursor of all successful real estate undertakings,” says Anil Pharande, Chairman – Pharande Spaces. “New real estate locations need to be properly connected to other parts of the city to make them attractive to developers and home buyers. For this reason, Spine Road in Pradhikaran has become a game-changer. Apart from its location, L-axis enjoys the benefits of the most luxurious project design, specifications and amenities as well as unmatched connectivity.”

Because of the Pimpri-Chinchwad Municipal Corporation’s forward-looking approach to infrastructure, the PCMC has always been the forerunner of highly planned infrastructure-driven real estate development in the Pune region. The impeccable town planning employed in the PCMC has ensured that there is a full-fledged district centre for commercial development and activity. This approach has provided a uniform spread of well-paid employment opportunities over the entire region.

laxis

L-axis is located in Sector 6, directly opposite the Bhosari District Centre with its high-profile corporate and government office complexes as well as a 5-star hotel and the recently launched ‘City One’ – PCMC’s first full-fledged shopping mall. The prestigious International Convention Centre is under construction in the immediate vicinity.

Mr. Pharande says, “Over the years, the ‘infrastructure first’ approach has been especially evident in PCMC’s Pradhikaran sector, where the Spine Road has now become one of the most exciting locations for home buyers and real estate investors. L-axis has indeed benefited from the perfect location.”

Pharande Spaces has already distinguished itself delivering high quality township projects such as Woodsville in Moshi, Celestial City at Ravet and more recently Puneville at Punavale in this prosperous and progressive region.

Launched in 2012, L-axis was conceived in response to the huge demand for luxury apartments in pune emanating from top management home buyers of the region’s many manufacturing giants, the Chakan industrial area and international automobile companies like Volkswagen, Mercedes Benz and Mahindra & Mahindra and General Motors.

Pharande Spaces launched the two new towers at L-axis in the presence of a 300+ gathering of channel partners and prominent real estate personalities. In the course of the evening, the company made a strong case for the unprecedented market proposition of this unique luxury township. The event was followed by a celebrity performance.

Pradhikaran, PCMC: Unmatched Real Estate Success Story

Anil-Pharande

 

 

Anil Pharande, CMD – Pharande Spaces

The Pimpri Chinchwad Municipal Corporation first came into the limelight as an industrial area. However, it also has an advantage that central Pune does not – planned development. The growth of the real estate sector in the Pimpri Chinchwad Municipal Corporation is closely regulated by the PCNTDA, which works together with the PCMC to ensure planned and realistic growth.

Central Pune continues to suffer from pollution, depleting greenery, traffic jams, water and power scarcity, lack of proper infrastructure and unrealistic residential property rates. Meanwhile, Pradhikaran (the location that defines the PCNTDA) has been benefiting from sensible real estate development.

If one studies the demographic development of Pune real estate growth, it is evident that Pradhikaran is precisely where the city’s growth is headed in the North/North-Western direction. This is extremely significant in terms of long-term residential property investment.

The Importance Of Pradhikaran

In years gone by, the PCNTDA began to acquire land in the PCMC area so that planned development could take place in the future. This planning included the allocation of specific areas for industrial activity, residential property development, public parks, unobstructed spaces, shopping centres, office buildings, roads and utilities.

Water supply to all sectors was ensured by the construction of several mammoth water tanks, each with capacities of several million litres, before development was permitted in each sector. Once this was done, the PCNTDA made the developed land parcels available to property developers.

The PCMC master plan also provides for generous road widths, the likes of which are impossible elsewhere in Pune. This goes a long way in preserving one of Pradhikaran’s natural splendour and hygiene.

Because of these factors, and also because of the growth in the PCMC industrial belt, the last two years have witnessed a huge increase in demand for residential property in the Pradhikaran area.

The fact that a number of large international companies are operating in nearby Chakan has, in fact, been a primary criterion for the area’s development profile. These companies regularly deliver thousands of jobs at all levels, which has had a telling effect on Pradhikaran’s general economic status. Specifically, there has been a huge surge in demand for residential property there.

Pradhikaran’s expansion, which has been inspired by the Chandigarh model of controlled development, began with a few hundred acres. Today, the area speaks for more than 7000 acres. Pradhikaran is continually seeing infrastructural enhancements on all fronts – including roads, water and electricity supply and digital connectivity.

Pradhikaran now boasts of massive integrated township projects that offer all the hallmarks of ambient, sustainable living. Apart from the high lifestyle quotient, the investment potential of these townships benefits from a magic mix of real estate market drivers. The presence of Tata Motors, Talawade, Hinjewadi, Chakan and the Pimpri-Chinchwad industrial belt add to the value of these townships, while the Mumbai-Pune highway and Expressway make it advantageously accessible to the financial capital of Mumbai.

No wonder that Pradhikaran is now being seen as both, the best option for first home buyers, and as the new residential property investment hotspot in Pune’s real estate market.

The International Convention Centre At Moshi

To further boost Pradhikaran’s real estate profiling, the deployment of the new Pune International Exhibition & Convention Centre at Moshi has been put on the fast track. This world class piece of infrastructure is going to open the floodgates to a new wave of demand for real estate in the northern parts of the Pimpri- Chinchwad Municipal Corporation. This is one of the best examples of how planned growth and foresight can ensure that an entire city’s real estate fortunes reach for the stars.

convention-centre

There were a couple of decisive factors involved in choosing this location as the venue for the international convention centre. First and foremost, PCMC boasts of a prolific manufacturing sector where a number of global industry giants have their plants. The arrival of this Convention Centre will be a major boost to these industries, who will be able to host and attend massive international business events.

This benefit also applies to the IT occupiers of the Software Parks at Hinjewadi and Talawade, which are also in the vicinity. Secondly, only the Pimpri Chinchwad Municipal Corporation could offer the 240 acres over which this Rs. 600 crore project will be developed.

With the arrival of this project, the PCMC will become the primary focus for an increasing number of global-scale business events in Pune and Mumbai, as well. After all, this will be the largest such Convention Center in India. It will incorporate seven convention halls of 10,000 square meters each, a 600-room 3 star hotel, two 5 star hotels, an eco-friendly 9-hole golf course and parking space for 3500 vehicles.

At a rough estimate, a minimum of 30 major exhibitions and conventions will be held there annually. No other event venue in and around Maharashtra or anywhere else in India will be able to match its state-of-the-art facilities and sheer opulence, grandeur and overall enablement.

The Pune International Exhibition and Convention Centre (PIECC) at Moshi will number among Asia’s biggest industrial convention centres. This convention centre is going to be a game-changer not only for the industrial belt in PCMC but for Pune in general.

Once this convention centre is complete, PCMC will become the natural hub for automobile conventions. This centre will have the capability of hosting conventions on an international scale, with a total of seven massive exhibition halls and a central open exhibition ground. It will have a staggering seating capacity of 20,000. In order to provide a complete global experience to the delegates, the convention centre will also have a five-star hotel, a golf course and a retail mall adjoining it.

A significant part of the land adjacent to the Pune International Exhibition and Convention Centre will be offered to private developers to build commercial and residential projects in Moshi. It can well be imagined what an effect such an advantageous location will have on the residential property prices in Moshi, PCMC. Obviously, the convention centre will generate massive white-collar employment, and the demand for quality housing around it will rise astronomically.

This makes the areas around the Pune International Exhibition and Convention Centre one of the most important property investment hot-spots ever to have surfaced in Maharashtra. In the years to come, the investment value of a home in strategically located township projects in its vicinity will rise astronomically.

Woodsville

Township projects such as Pharande Spaces’ Woodsville, which is located exactly opposite to the convention centre site, obviously have an early-mover advantage.

L-axis – The Luxury Housing Township Of The Future

Another integrated township by Pharande Spaces called L-axis – an ahead-of-its time luxury homes offering – is also located in Pradhikaran and has the added benefit on being on the Spine Road, which has become one of the most talked about infrastructure embellishments in PCMC. This area is fundamentally at the core of Pune’s most vibrant industrial area, with many manufacturing giants such as Tata Motors, Force Motors and Bajaj Auto close by.

L-axis

It is also well-connected to the Chakan industrial area, which is home to national and international automobile companies like Volkswagen, Mercedes Benz and Mahindra & Mahindra. Apart from this, the Talawade IT Park is also within easy access.

In addition, L-axis is advantageously close to the Bhosari District Centre, Sadhu Vaswani International School, Sri Sri Ravishankar Vidya Mandir, the PCNTDA Traffic Park and the upcoming International Exhibition and Convention Centre at Moshi. The project will feature technologically advanced security and lifestyle features to its residents and boasts of vast green spaces, with paved area kept at a minimum.

L-axis is the luxury apartments in pune, this project includes a modern clubhouse with gymnasium, tennis and basketball courts, a multi-purpose community hall and a massive water-world-style swimming pool that offers limitless enjoyment to all family members.

In these two projects, homebuyers from Pune and PCMC finally have the perfect combination of an elite lifestyle in an internationally renowned neighbourhood and tremendous appreciation potential.

Planned Real Estate Development in PCMC

Anil-Pharande

 

 

Anil Pharande, CMD – Pharande Spaces

What is it about Pimpri Chinchwad and its township properties that is so different from what is happening in the rest of the Pune property market? To understand this, one has to first understand what goes into the formation of a planned city.

The immaculately planned residential areas that now define the Pimpri Chinchwad Municipal Corporation map are not an accident. They are the result of carefully planned social, economic and real estate growth. Unlike the central areas of Pune, the real estate market in PCMC has been scrupulously shielded from the PMC’s ad hoc development style.

The vigilance and futuristic thinking that went into this avant-garde satellite city have added a completely new dimension to the concept of residential properties in Pune. From the very outset, the PCMC planning authorities were determined to avoid the mistakes committed in nearby Navi Mumbai, popularly known as the world’s largest planned township.

After all, what began as regulated development in Navi Mumbai soon began giving way to commercialised expansion. Instead, PCMC adopted a blueprint for smart growth – a blueprint that placed utmost importance to organized urban planning. No scope was given to a nearsighted focus on capitalization on this new area’s development potential – the onus was firmly kept on long-term considerations.

This was to be the city of the future – a place where residents could work, live and relax without any of the constraints that plague the rest of Pune. Slowly, almost imperceptibly, the landscape of this previously ignored satellite city changed. Proposals for faster development were turned down. The master plan stayed in place, and the results are now brilliantly evident.

Today, Pimpri Chinchwad Municipal Corporation is an acknowledged masterpiece of community-oriented real estate development. It has a unique blend of sustainable residential spaces, highly advanced transportation networks, a broad spectrum of employment opportunities, modern housing typologies such as township properties and superior supportive infrastructure. At every stage of planning, this city’s inherent natural, cultural, sociological and economic resources have been carefully preserved.

This incredible growth area is now the most logical option for residential property in Pune today. For home buyers, PCMC is the perfect alternative to Pune’s unregulated urban sprawl, rapidly compounding traffic congestion and disconnected neighbourhoods. Considering the increasing evidence if rapid urban decay in central Pune, township properties such as those now coming up in Pimpri Chinchwad Municipal Corporation are the truly the New Residential Deal.

However, PCMC is not only about wider, greener spaces, cheaper property rates, improved social fabric and better infrastructure. The establishment of such new growth areas, with modern residential alternatives such as integrated townships, is a blessing to the Pune real estate market (which has been stagnating within increasingly larger pockets). At first sight, they only seem to play a role in reducing the urban sprawl and offering home buyers a healthier and more comfortable lifestyle.

These township projects are also instrumental in creating new urban centres, wherein new business districts create job growth in new directions. Thanks to the organized nature of their development, they create new and more rational scope for real estate market expansion while reducing pressure on property prices in the parent city.

About The Author
Anil Pharande is Chairman of Pharande Spaces, a leading construction and development firm operating in the PCMC area of Pune, India.

Pune Real Estate – The Importance Of Green Cover In Residential Zones

It is generally known that abundant urban green spaces – large areas allocated to trees, lawns and all types of flora and fauna – are a major contributor to high quality living environment. Sufficient green spaces in cities improve the quality of the air in residential areas because trees absorb pollutants such as ozone, nitric acid vapour, ammonia, nitrogen, carbon monoxide and sulphur dioxide. In turn, they provide life-giving oxygen, provide shade, attract rain and improve the aesthetic quality of the whole area.

environment

In its heyday, Pune was renowned for its generous urban green spaces. Unfortunately, the hammer of commercialized real estate proliferation has caused most of the city’s green cover to vanish. Coupled with the massive traffic movement within the PMC limits, it is not surprising that so many Punekars now suffer from various ‘mysterious’ ailments. High blood pressure, asthma, bronchitis, energy depletion and depression are rapidly becoming common-place. The city that once rivaled Bangalore with its generous urban green spaces is now literally oxygen starved.

When the PCNTDA (Pimpri Chinchwad New Town Development Authority) set out to plan the residential zones in Pimpri Chinchwad Municipal Corporation – Pune’s prosperous sister city – the vital factor of green cover was a main priority. Not many are aware of how much thought went into the real estate blueprint for Pimpri-Chinchwad, which is now a masterpiece of systematic residential zone development. Thanks to close collaboration with healthcare officials, construction and civil engineering agencies and the town planning authorities ensured that PCMC would remain a predominantly green zone. The rationale was based on firm scientific facts:

  • People who live in residential zones with abundant green cover suffer fewer health problems and experience lower stress levels
  • The survival rate of senior citizens who spend their Golden Years in green surroundings is far higher than that of their contemporaries living in the concrete jungles of the inner city
  • Green cover in a residential zone encourages its residents to spend more time outdoors and show lower preference to an unhealthy sedentary lifestyle
  • The happiness level and mental/emotional health quotient of any residential community is directly related to the extent to which individuals socialize. The availability of green areas such as parks, gardens and lawns encourages more inter-personal contact between residents

By now, social scientists know for a fact that urban green spaces tend to attracts people outside their homes and to interact with each other. Parks and gardens are places where people can meet and spend time together in the outdoors. People who have access to green spaces in cities like Pune enjoy a higher level of social activity, tend to know their neighbours and are more concerned about the general welfare of the community.

Despite the rapid depletion of urban green spaces within the Pune Municipal Limits, Pimpri-Chinchwad offers the citizens of Pune the option of green living. The verdant residential townships in localities like Ravet and Moshi have been designed in complete compliance to the PCNTDA guidelines for green spaces within PCMC residential zones. At the same time, the Pimpri Chinchwad Municipal Corporation offers to them vastly superior civic and social infrastructure and significantly lower property rates.

Anil-Pharande

 

 

Anil Pharande is Chairman of Pharande  Spaces, a leading construction and development firm that develops township properties in the PCMC area of Pune, India.

Pradhikaran: Pune Real Estate’s Hottest Growth Corridor

woodsville1-300x225

Sector 14 in Pradhikaran now boasts of massive integrated township properties like Woodsville

Anil Pharande

The Pune residential real estate boom, initially kick-started by the IT/ITeS industry, has brought about a lot of unregulated development. While property prices in Pune rose unrealistically, the city’s traditional ease of living and pleasant climate, which were previously its USPs, suffered.

Hills and trees have been razed to accommodate the rapidly expanding concrete jungle that all but defines central Pune today. The town planning commission found itself impotent in the face of the development mania, which soon transcended all reasonable, sustainable boundaries.

Real Estate Issues In Pune

In Pune, infrastructure challenges have been increasing because of the ever-increasing population. This has also put escalating pressure on available land, resulting in the forced extension of the city limits.

The pattern of development has been decidedly mercenary and unplanned, with the only criteria being accessibility to existing and upcoming IT hubs. While the rise of Hinjewadi created increasing demand for homes in its immediate vicinity, places like Aundh soon witnessed a slew of projects by property developers. Similarly, property prices in Baner and Wakad rose so steeply that they finally corrected.

Focus On Pimpri Chinchwad Municipal Corporation (PCMC)

As things stand now, central Pune no longer has an iota of its previous quality and ambience in residential property offerings. It is therefore not surprising that homebuyers are beginning to focus on the Pimpri-Chinchwad Municipal Corporation. This area has, in fact, emerged as the last outpost Pune’s previous residential property comfort levels.

The Pimpri Chinchwad Municipal Corporation first came into the limelight as an industrial area. However, it also has an advantage that central Pune does not – planned development. The growth of the real estate sector in the Pimpri Chinchwad Municipal Corporation is closely regulated by the PCNTDA, which works together with the PCMC to ensure planned and realistic growth.

Central Pune continues to suffer from pollution, depleting greenery, traffic jams, water and power scarcity, lack of proper infrastructure and unrealistic residential property rates. Meanwhile, Pradhikaran (the location that defines the PCNTDA) has been benefiting from sensible real estate development.

If one studies the demographic development of Pune real estate growth, it is evident that Pradhikaran is precisely where the city’s growth is headed in the North/North-Western direction. This is extremely significant in terms of long-term residential property investment.

The Rise Of Pradhikaran

In years gone by, the PCNTDA began to acquire land in the PCMC area so that planned development could take place in the future. This planning included the allocation of specific areas for industrial activity, residential property development, public parks, unobstructed spaces, shopping centres, office buildings, roads and utilities.

Water supply to all sectors was ensured by the construction of several mammoth water tanks, each with capacities of several million litres, before development was permitted in each sector. Once this was done, the PCNTDA made the developed land parcels available to property developers.

The PCMC master plan also provides for generous road widths, the likes of which are impossible elsewhere in Pune. This goes a long way in preserving one of Pradhikaran’s natural splendour and hygiene.

Because of these factors, and also because of the growth in the PCMC industrial belt, the last two years have witnessed a huge increase in demand for residential property in the Pradhikaran area.

The fact that a number of large international companies are operating in nearby Chakan has, in fact, been a primary criterion for the area’s development profile. These companies regularly deliver thousands of jobs at all levels, which has had a telling effect on Pradhikaran’s general economic status. Specifically, there has been a huge surge in demand for residential property there.

Pradhikaran’s expansion, which has been inspired by the Chandigarh model of controlled development, began with a few hundred acres. Today, the area speaks for about 7000 acres. Pradhikaran is continually seeing infrastructural enhancements on all fronts – including roads, water and electricity supply and digital connectivity.

Pradhikaran now boasts of massive integrated township projects that offer all the hallmarks of ambient, sustainable living. Apart from the high lifestyle quotient, the investment potential of these townships benefits from a magic mix of real estate market drivers.

The presence of Tata Motors, Talawade, Hinjewadi, Chakan and the Pimpri-Chinchwad industrial belt add to the value of these townships, while the Mumbai-Pune highway and Expressway make it advantageously accessible to the financial capital of Mumbai.

No wonder that Pradhikaran is now being seen as both, the best option for first home buyers, and as the new residential property investment hotspot in Pune’s real estate market.

About The Author

Anil Pharande is Chairman of Pharande Spaces, a leading construction and development firm operating in the PCMC area of Pune, India.

PCMC Growth Story: To Absorb 20 More Villages

Anil-Pharande

 

 

Anil Pharande, CMD – Pharande Spaces

The Pimpri Chinchwad Municipal Corporation (PCMC) is all set to merge 20 more villages into its city limits, thereby giving these rural areas the benefit of its globally acclaimed infrastructure-based model of planned urbanization. The list of villages to be included is as follows:

  1. Dehu
  2. Vitthalnagar
  3. Mhalunge
  4. Nighoje
  5. Moyi
  6. Kuruli
  7. Nanekarwadi
  8. Kharabwadi
  9. Chakan
  10. Kadachiwadi
  11. Chimbali
  12. Kelgaon
  13. Alandi
  14. Khalumbe
  15. Gahunje
  16. Hinjewadi
  17. Manh
  18. Marunji
  19. Nere, and
  20. Jambhe

Of these, Chakan is the most important area from the perspective of industrial growth. Hinjewadi is among the most gripping chapter in the annals of India’s Information Technology sector, while Alandi and Dehu are major pilgrimage destinations. We are once again witnessing the process of urbanization that has made the PCMC a global showcase model of holistic development.

The geographical expansion of city limits has historically been proven as the only viable means of rational urbanization. Without the benefit of expanding city borders, a city tends to densify and eventually stagnate. A city’s ability to grow geographically directly affects its economic diversity and health.

In fact, the Indian real estate story shows us that the only cities that retain and increase their economic viability are the ones that have the ability to expand. By the same coin, cities which do not or cannot grow eventually stagnate in terms of infrastructure, property market potential and their overall ‘liveability’ quotient.

Why Indian Cities Over-Densify And Decay

Some of the most serious problems that stagnated cities face are over-crowding, pollution, unrealistic rises in property prices, gradual reduction in employment opportunities and generalized urban decay. In India, this phenomenon is not always the result of lack of peripheral rural areas to urbanize.

Relative to its available land resources, India has remarkably few modern cities – and these cities offer the maximum number of employment. As a natural consequence, people from the rural areas steadily migrate to urban areas to earn a better livelihood.

While many Indian cities do have the ability to expand their borders, lack of forward-looking city planning leads to rapid densification within the urbanized areas. At the same time, the peripheral areas that could relieve the strain on these urbanized pockets suffer from complete neglect, leading to a huge disparity in economic profiles. When these cities finally expand their borders, they do so as a means of 11th hour damage control – and with a remarkable lack of vision.

As a result, we see areas that nobody had ever heard of suddenly being profiled as ‘upcoming locations’. Developers rush to these areas, attracted by the lower land prices, and lose no time in putting up ‘affordable housing’ projects before any kind of supporting infrastructure has been put in place. This phenomenon has been seen in various parts of the country, including in Mumbai, Chennai and Delhi NCR.

Planned Urbanization – The Inclusive Approach

Over the years, the Pimpri Chinchwad Municipal Corporation has been attracting more and more people from the nearby areas. The PCMC model of urban development is based on planned social and civic infrastructure and the scientific allocation of residential, commercial and industrial areas. This fabric needs to maintained by geographic expansion, and this is precisely the process we are now witnessing.

Including more villages into the municipal limits brings prosperity, real estate development and infrastructure to these areas. The PCMC has consistently employed the method of expanding the spread of its real estate map as the most viable means to prevent core congestion.

Anil Pharande is Vice President – CREDAI (Pune Metro) and Chairman of Pharande  Spaces, a leading construction and development firm that develops township properties in the PCMC area of Pune, India.

This article may be reprinted with proper attribution to the author and a link back to PunePropertyBlog.com

PCMC’s First Full-Fledged Mall Set To Open

Stategic Location & World-Class Retailer Mix A Definite Success Formula

Pimpri-Chinchwad Municipal Corporation, Pune’s thriving sister city, is all set to throw the doors of its first full-fledged mall open to the public. City One Mall is an undertaking by PCMC’s leading development group Pharande Spaces in partnership with Rama Group, and is being leased by out Jones Lang LaSalle India.

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Anil Pharande, Chairman – Pharande Spaces says, “The one missing link on the well-meshed PCMC’ real estate market has been organized retail. With City One Mall, we are finally bridging the gap. The Pimpri-Chinchwad Municipal Corporation now has a distinct cosmopolitan profile and aspirations are at an all-time high. Strategically located close to the Pimpri-Chinchwad Municipal Corporation Building, City One has four levels of retail spaces and will provide an international shopping experience, an exclusive Entertainment City, alfresco cafes and global dining options to PCMC’s residents.”

PCMC has always been a promising catchment for retail developments. The region’s versatile population profile has already spelled success for major local category players like Jai-Hind, Ranka Jewellers, Silver Leaf, Krishna Rajaram Ashtekar, Vama, Hastakala Sarees, PNG, Bafna Jewellers and Chandukaka Saraf. Nevertheless, PCMC has not had the benefit of a full-fledged mall development to cater to its highly aspirational and rapidly growing shopper catchment.

This region has seen a quantum leap in retail viability, driven by the high purchasing power of employees from its automobile and other manufacturing industries as well as massive trading community. The potential for organized retail in Pimpri-Chinchwad was waiting to be tapped. The demand for space at City One has been nothing short of spectacular.

PCMC’s industrial development is the most important ingredient of its success story. The proximity of massive manufacturing clusters within its precincts has fueled job availability across literally all socio-economic strata. The region’s unmatched employment generation has, in turn, driven demand for residential properties from affordable housing to luxury homes.

Even as more and more commercial and industrial establishments arrive to set up shop there, residential developers in the PCMC have their hands full delivering projects across the various price bands.

So far, organized retail has had a very limited presence in the PCMC belt. The opportunity for retailers to capture the full potential of this market is much greater as compared to many other locations. The massive residential development happening in and around PCMC is creating considerable inherent retail demand.

National hypermarket chains such as Big Bazaar, Star Bazaar and D Mart and organised retail chains like E Zone, Croma, Vijay Sales, McDonald, Just In Time, World of Titan, Tanishq and FabIndia already exist in stand-alone stores. Now, City One Mall at is all set to offer all the major brands under a single roof.

City One Mall’s total development size is 3,33,000 square feet of built-up area, consisting of two buildings, both equipped with four levels of retail spaces and two levels of parking space. In the first building, which has a total area of 1,12,000 square feet, Central has already snapped up 81,000 square feet across the ground, first and second floors and is gearing up for a grand launch of Pimpri Central by the end of 2013.

The remaining 21,000 square feet have been leased to Men’s Avenue – a leading Pune-based apparel retailer which has also taken up space for their ‘Kajree’ saree section on the second floor. Both these stores were inaugurated on 11th October, 2013 by Hon’ble Deputy Chief Minister of Maharashtra, Shri Ajit Pawar.