Among the four metropolitan cities in India, the port city of Chennai has a distinct advantage of a major corridor to Southern India. Traditionally the city is catering to the leading off shore industries but with time Chennai is becoming lucrative destination for IT and ITeS industries.
The higher level of literacy and the finest English language pronunciation of the people here have attracted number of multinational companies to set up their campuses in Chennai. In addition, Chennai real estate value is comparatively cheaper because of the availability of large tracts of unutilized land.
Chennai is also gaining advantage over neighboring cities such as Hyderabad and Bangalore owing to the availability of space and manpower. The low operational cost and cheaper accommodation is the other reason fetching interest of foreign industries. Not only has this increased the capital and rental values of commercial property, it has also fuelled a demand for housing for its workforce. There has been an active demand for flats and apartments. Residential land prices in Chennai have showed a significant upward trend in the last quarter.
Moreover, considering the inroads of multinationals into the city the hospitality industry is also upbeat. In order to attract the business traveler several up-market hotels have been established at Chennai in the last decade. International hotel chains like JW Marriott, Radisson has constructed hotels in the city. This has further enhanced the real estate activities in the city.
Cashing on the trend most of the upcoming projects are catering to the needs of higher class end user. These properties are usually located on the IT corridor (Old Mahabalipuram Road) to make the commuting less time consuming for the residents.
Although, the land and real estate values have gone through the roof for some Chennai natives but in comparison to other metro cities, Chennai Real Estate market is still has a long way to go.