By Hrishi Kumar
The much awaited and proposed Jewar International Airport has gone another step ahead in becoming a reality as it recently received a No Objection Certificate (NOC) from the Ministry Of Defence. This development holds a great significance as now there is clarity over this chapter that has been much talked about for several years. History has been a witness to how infrastructure and connectivity helps a region to grow and perform in all possible avenues. And once the infrastructural development gains momentum in a region, real estate becomes prominent. Gurgaon’s case study is a clear example of how presence of an Airport transformed it’s realty sector completely. Similarly, the upcoming Jewar Airport is expected to multiply region’s growth in the long run. Furthermore, once the work will commence, we will witness the emergence of corporate and commercial sectors in the region.
“This project will revive the realty sector across various regions in NCR that are being hit adversely due to negative sentiments and slowdown in the market. Soon, there will be an unbelievable change in the shape of NCR realty sector, and the primary boost will be received by the markets of Greater Noida, Yamuna Expressway, Ghaziabad, Noida and even Agra. At present, these markets are receiving moderate views from the public and due to the distance from the capital, it is hard to pull the customers. Once the airport here gets going, these regions will get the right fuel to ignite growth in demand for these regions”, elucidates Manoj Gaur, President CREDAI-NCR & MD, Gaursons India Ltd.
Adding further, Ashok Gupta, CMD, Ajnara India Ltd. states, “Development of infrastructure is directly related to the growth of real estate in the given region. Also, there are levels of infrastructural developments which affect the sector differently. Availability of an airport, metro rail, railway station and other such civic amenities provide better boosts to the region than provision of simple public conveyance and other such smaller amenities, as the former cater to a macro level of public. Hence, when the work on Jewar airport is commenced, there will be a significant increase in demand for real estate along with promise of future capital appreciation.”
How it all began
Back in 2001, the then active CM of UP, Rajnath Singh had proposed the idea of developing an Airport in Jewar. This idea was well accepted and approved by his successor, Mayawati, but was later denied by the current U.P. government. The talks had revived in the beginning of 2015 and this time the centre and state governments are looking deeply into the matter. This government has already acquired over 2000 acres of land for the proposed airport and more can be acquired, as space is not an issue in the region. This development of the Jewar Airport is sure to benefit the real estate sector which has been taking a massive toil due to the economic slowdown over the years. There hasn’t been much activity happening in the sector which has dampened the sales, especially in the last 2-3 years. Keeping this situation in mind, the development of infrastructure in the form of a new airport will greatly help in bringing the demand back in the key regions. Rajesh Goyal, Vice President CREDAI-Western U.P. & MD, RG Group explains, “It’s been over a decade that this project has been kept pending and finally the dream is turning into reality. The entire belt across Greater Noida, Noida Expressway and Yamuna Expressway is currently witnessing a dampened demand as there are more investors than end users. The area is yet to become end user centric and this can happen only when sound infrastructure is in place. The presence of an airport will provide the right thrust for the demand as this will be a major gain for the infrastructure of the region. The sector will observe better market acceptance in the regions which will result in greater demand and better price appreciation in near future”.
Strong push to demand
“A development of this scale will bring about massive price appreciation and enhanced demand in the markets of Greater Noida, Noida Expressway and Yamuna Expressway. This is extremely important for the overall development of these regions as Greater Noida is moving very slowly and Yamuna Expressway is yet to generate credibility. On the flipside, creating a second airport in NCR before IGI gets exhausted, it may render both airports impractical. The user charges at both airports will surely rise since the operating cost and capital expenditure at both airports would be spread over the same flyer base. But from the realty perspective, the demand for commercial properties will boost up, like it happened in Gurgaon after IGI”, avers Dhiraj Jain, Director, Mahagun Group.
“Proposed Jewar International Airport would be an integral part of Greater Noida region, which itself has become an important part of NCR , the planning of this region has been done with futuristic vision. The region is a fair mix of ready to move in commercial & residential properties and is also developing as an IT hub. Dedicated freight corridor is also an important feature in this region. Addition of an International Airport to such a planned & rapidly developing area shall give a different magnitude to this region and big growth opportunities in real estate can well be seen in this area, which is on the path of developing as a model region of NCR”, said Ashwani Prakash, Executive Director, Paramount Group.
Agra-Lucknow Expressway: A Teaser
Underway is a project that will link the City of Taj with the Nawabon Ka Shahar. The length of the expressway would be 302 Kms and will be the longest expressway in the country. The estimated cost of the project would be around Rs. 15,000 crore. The project will also provide easy connectivity and seamless travel options to the NCR through Greater Noida-Agra Yamuna Expressway. The Agra-Lucknow Expressway would link the main districts of Agra, Firozabad, Mainpuri, Etawah, Auraiyya, Kannauj, Kanpur City, Unnao, Hardoi and Lucknow. “Strategically, the regions of Noida and Greater Noida have a great industrial/commercial potential and consequently, infrastructure would be required. This will also lead to employment opportunities along with economic up gradation. For the sector, a lot of demand for housing and office spaces will erupt along with strong capital appreciation in and around Greater Noida. Jewar airport will be the perfect icing on cake which will give a much needed push to the demand in the regions. Moving further, the Agra-Lucknow Expressway will expand this demand till tier 2&3 cities that will fall in between Agra and Lucknow, thus allowing realty development in the untapped regions”, concludes Deepak Kapoor, President CREDAI-Western U.P. & Director, Gulshan Homz.