Investment in real estate sector in Punjab may slow down due to Assembly elections in the early part of next year, a senior official of DLF India said in Chandigarh.
“Overall (real estate) industry does take a little bit of slowdown (during elections)… till there is a stability in political situation (at state level),” DLF India, Executive Director (North), Rahul Mehta told PTI.
He noted that investors or real estate buyers become wary of committing investment in property near elections time. “There could be an impact (of elections)… people become little wary of investing in real estate market (during elections) … people become a little bit slow (in making investment). They want to watch stability (till next state government is formed,” he said.
However, country’s largest real estate player said that state elections do not prove to be much of a problem for the large corporates engaged into property development business.
“It (elections) does not matter to large organizations or large corporate. They have to continue in all situations,” he asserted.
Punjab is to have elections by the middle of March when the term of the present 117 member state assembly ends. Real estate experts in Punjab had already pointed out that investors were staying away from investing in property market in Punjab because of ensuing elections.
“Real estate investors at present have adopted a wait and watch policy in Punjab. They are waiting for the elections to happen and see which political party (SAD-BJP or Congress) forms the next government,” a Kharar based property developer said.
Property market is already facing sluggishness in the demand for houses across the country largely due to increasing rate of interest.
Meanwhile, DLF today rolled out the second phase of premium low density residential development ‘Hyde Park Estate’ at Mullanpur in Punjab.
The company is offering plots at the rate of Rs.32,000 per square yard (excluding EDC) against offering of Rs.25,500 during first phase ten months back.
Dubbing this project as “major anchor” after Gurgaon, DLF is offering 350 and 500 sq yard sizes of plots at around 25-30 acres of land while in first phase at 117 acres of land, it has already sold out 800 plots.
“There had been a huge demand by prospective buyers after the sellout of the initial offer of around 800 plots of 350 and 500 squareyard sizes. Hence the decision to offer a limited number of more plots of the same sizes as an extension of the Estate,” said DLF India’s Vice Chairman and MD, Mohit Gujral.
DLF has a land bank of 500 acres of land and has plans to procure over 500 acres more in future.
