Real estate in Chennai

Real estate prices surge in Sriperumbudur, a town 40 km southwest of Chennai, as it makes its mark as a manufacturing hub for global majors.

With several companies announcing their plans to set up manufacturing plants in Sriperumbudur, the town is set to see an investment to the tune of Rs 4,700 crore. It all began with Korean auto giant Hyundai setting up its plant here in 1996. The company has now commissioned its second plant at an investment of Rs 2,000 crore. The latest entrants into the region are Nokia, Flextronics and Foxconn who together account for Rs 1,600 crore of the planned investment. Foxconn has also outlined a joint initiative with Motorola to set up a special economic zone (SEZ) in Sriperumbudur. As a result of these developments, real estate activity has picked up pace in the town. Property prices have gone up by 25 to 35 per cent in recent times and an acre of land now costs Rs 40-50 lakh. As Sriperumbudur lies along the Chennai-Bangalore highway, prices are likely to rise even higher once the national highway to Bangalore is complete.

Due to the increasing commercial activity, demand for housing too is expected to rise, land purchases for which have already begun. Industrialisation is thus set to give Sriperumbudur and its realty a major face-lift.