NOIDA
Real Estate Research Report Q3, 2015
Overview The New Okhla Industrial Development Authority or Noida is an integral part of National Capital Region (NCR). Located at a distance of 27 KMs from New Delhi, Noida came into existence in 1976. Spread over 20,000 Hectares, the integrated township is home to a large volume of Industrial, Commercial and Residential activities. The present day Noida boasts of world class infrastructure comprising of Metro, Expressway, Economic Zones and Shopping Malls. The city is the hub of premier educational institutes and modern healthcare facilities, which further invigorates businesses. Due to advanced infrastructure & smooth connectivity to New Delhi & other parts of NCR, Noida over a period of time has emerged as one of the favourite destinations for professionals and entrepreneurs along with corporates & MNCs. Another attraction of Noida is the Noida Film City, which came into existence in 1987. Located in Sector 16A, it is home to major news channels, film studios and numerous media institutes. The popularity of Noida has resulted into its expansion towards Eastern frontiers, resulting into the creation of Greater Noida, the Census town which is culturally part of Noida. Greater Noida is planned and developed by Greater Noida Industrial Development Authority (GNIDA). Greater Noida, that is located at a distance of 40 KMs from New Delhi, is planned to be connected to Delhi through metro
system by Oct 2017.
Noida - Timeline
Came into Administrative Existence in 1976 An emerging industrial township
Late 70s & 80s1990
Emergence of Greater Noida as a separate entity
Late 90s
From an industrial hub to a real estate maven
2002
Foundation stone laid for Noida Greater Noida Expressway
2007
Great India Place, one of the largest malls in India opens
2011
Buddh International Circuit opens and First Indian Grand Prix held
2014
Approval for Noida-Greater Noida Metro
2031
Completion of Noida Masterplan (Proposed)
1994
Builder centric residential accommodations
2001
Delhi Noida Direct Flyover Opened
Landmark land auction Unitech acquires 340 acres of land at a price of over INR 1500 crores
2006
Noida is connected by Delhi Metro
2009
Inauguration of Yamuna Expressway connecting Greater Noida & Agra
2012
High Rise and affordable Residential Devlopment
2013-2017
Upcoming Noida Infrastructure
As discussed, Noida is one of the fastest developing cities in Northern India in terms of residential, commercial & industrial dimensions. Its growth momentum is also visible in the pace with which it is ramping up all the aspects of its infrastructure- Physical & Social. Noida is keeping no stone unturned in adding up to its connectivity. Various ongoing infrastructural developments such as New Metro Link, Faridabad-Noida-Ghaziabad corridor and a
proposed new Airport are in pipeline.
To enhance its public transport support system, Delhi Metro Rail Corporation (DMRC) and Noida Authority has signed an agreement for construction of metro link between Sector 32 and Sector 62, that will connect Noida City Centre to NH-24. It is scheduled to be completed by the end of 2017. The line will make commuting easy not only for people in Noida, but also for those in Ghaziabad and Delhi and reduce the traffic chaos altogether.
Various roadways are under construction to enhance connectivity among NCR & other nearby places. The six lane, Noida-Greater Noida expressway connects Greater Noida with Delhi through Noida. Likewise, various steps have been taken to improve the connectivity to nearby areas like Ghaziabad & Faridabad through Ghaziabad-Noida-Faridabad corridor, which is expected to be completed by mid-2018. It is likely to be extended till Sohna and seen as an excellent connectivity path between Uttar Pradesh and Haryana. Another boost has been the development of Yamuna Expressway- 165 KM long state controlled road connecting Greater Noida & Agra. It has been built to minimize travel time between NCR & Agra. The expressway is also an upcoming hub to serve various residential, commercial, industrial & institutional setups.
The proposed Jewar Airport, located along the Yamuna Expressway could be an inflection point for the city as it can give Noida its own foothold in Indian aviation. Noida is also amplifying its social & tourism infrastructure in the form of world class tourist hubs such as Okhla Bird Century, Gautam Budh Park, Iskon Temple & much more.
Noida – Realty Sector
Noida enjoys a robust realty market in the region. The realty sector in Noida is driven by its massive commercial & infrastructure development along with its relatively economical price when compared to New Delhi & Gurgaon. The average capital value per Sq. Ft. in Delhi is between INR 8,000 to 30,000;
Gurgaon is INR 7,000 to 24,000 per Sq. Ft. and Noida - INR 3,500 to 8000 per Sq. Ft.
In the recent past, Noida realty market witnessed significant real estate activity in terms of both new launches & absorption, with a large number of units launched being concentrated in
Greater Noida and Yamuna Expressway.
Noida has also obtained the approval for a new Master Plan 2031. In the new plan, there is a lot of scope for infrastructural, residential and commercial developments like widening of roads with elevated structure and underpasses, flyovers, greeneries, high-rise buildings, hotels, major Metro and road linkage projects & much more.
Noida Map AZ
GH
63
AD
62
IAB
62A
38
I LH
42
96
125
46 99
115 113 112
79
47 100
106
Knowledge Park V
81
104
18A 21
TO GREATER NOIDA
84A
110
105
82
108 128
133
89
85
137
oa
d
140A
136
134
T. R
138 140 90
92
129
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139
86 92
93B
132
88
84 87
83
93 93A
131
Noida Extension
Sec. 12A
Sector-13
10
98 127
Sec.10
102
101 107
PHASE II Ecotech 18A
Sector-1
80
48
97
126
78
49
Sector-2
9
77 116
76 40 41
43 45
124
DE
50
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37
44
Ecotech 18
120 119 118 74 117
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33
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50
51
36
39
94
51
Se
30
28 29
18
73
72
51
13
27
17
38A
TO
52
34 32 35
tech
16A
TECH ZONE IV Regional Institution
122
33
31
16B
TO DELHI
TO GREATER NOIDA
121
53
33A
26
68
70
71
Eco
19
67
12
3
24A
25
20
16
24
65 69
66
61
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21
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143
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144
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145
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FAR
IDA
BA
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164
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162
146
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ss
161
159 160
158
W ay
157 154
156
155
Greater Noida
153 151
152
149
R
N
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A
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W
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Sector 17 A
S
Sec. 17 B
Sector 17
Sector 25 Sector 16 Sector 22A
Sector 18
S
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19 Sec. 15A
Sector 20
Sec 22D
Sec 22E
Sec 22F
A
3
3
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Yamuna Expressway
B
Sector 21
Sec. 23C
Sec. 23E
PROPOSED NEW EXPRESSWAY FROM PALWAL TO KHURJA
Sec. 13
Sec. 2
Sec. 35 Sec. 12 Sec. 3
Sector 24A
Sec. 23D
Sector 14
Sec. 15B
Sec. 15C
Yamuna Expressway
Sec. 1
Sec. 15
r
22C Sector 24
S
Noida East
60 54
Ec
7
Noida Central
56 57
55
AY HW
55 11
64
IG
TO DELHI
59
58
IH
MIN
Noida North
Sec. 34 Sec. 11 Sec. 4
Sector 28 Sec. 33 Sec. 10 Sec. 5 Sector 29
Sec. 32 Sec. 9 Sec. 6
Sector 30 Sec. 31
Sec. 8
Sec. 7
AN
Noida Realty Trends
According to Square Yards Global Intelligence Cell (GIC), the Noida real estate market can be split into five major micro-markets- Noida (East, West and Central), Greater Noida, Greater Noida Extension, Noida-Greater Noida Expressway & Yamuna Expressway.
Mentioned below is the average capital value/ Sq. Ft along with launch & absorption for the various micromarkets mentioned in Noida region.
Avg. Capital Value per Sq.Ft. (INR) in 2015 7298 5669 4420
4159 3284
GREATER NOIDA
NOIDA
GREATER NOIDA EXT.(WEST)
YAMUNA NOIDAGREATER EXPRESSWAY NOIDA EXPRESSWAY
Source: Square Yards GIC
New Launches & Absorption in Q3, 2015 5480
5304
Launches Absorption 2923 2512
1559
455
621 NOIDA
1730
2398
GREATER NOIDA
653
YAMUNA GREATER NOIDANOIDA GREATER EXPRESSWAY EXT.(WEST) NOIDA EXPRESSWAY
Source: Square Yards GIC
It should be noted that Noida's realty market is also driven by its rising commercial sector. The total area allotted under the commercial sector is roughly 92 million Sq. Ft. Out of this, over 21 million Sq. Ft. has been utilized whereas over 41 million Sq. Ft. of area is under construction. Remaining will be utilized in the future.
Noida (Central, East, North)
Key Locations: Sector 32, 51, 61, 62, 78, 121 ·
Noida provides huge opportunity for the end-users and it is also an attractive investment hub for the investors looking for return of more than 12%.
·
The strategic location of Noida with world class infrastructure facilities like road networks, power distribution systems and social infrastructure like hospitals & education centres is constantly attracting developers to launch more projects in the region.
·
The upcoming commercial hubs such as DLF – Mall of India, Wave City Centre and Unitech - Garden Galleria are expected to make this region attractive for buyers & investors.
·
Key players in realty sector who have presence in Noida are Unitech, Antriksh, ATS, Supertech, Omaxe, Ambience & Exotica etc.
·
Around 35.65% of the total area is allocated for residential development, 3.77% for commercial development, 20.05% for industrial development, 8.15% for institutional facilities, 14.78% for transport and remaining 17.60% for recreational and agricultural facilities.
· Square Yards GIC indicates that in the previous 3 years' (per Sq. Ft.) prices have
moved from INR 6,260 in 2012 to INR 7,298 in 2015- Over 17% price hike.
Trends
· Leading ecommerce grocery company 'Big Basket' took a space of 60,000 Sq. Ft. in sector 80 on lease. Like this, many other big brands such as Cognizant, Max Health Insurance and Timex acquired a space on lease in different locations of Noida.
Avg. Capital Value per Sq.Ft. (INR)
Land Usage Breakup 0.8
7298 6.69
10.11
6862
6796
35.65 14.78 8.15
6260
20.05
3.77
Residential
Commercial
Industrial
Institutional Facilities
Transportation
Recreational
Agriculture
Water body
2012
2013
2014
2015 Source: Square Yards GIC
Source: Noida Authority
Capital Value per Sq. Ft. (INR) Q-o-Q, 2015 Q1 2015
8750 8300 8300
7800
7250 7050
Q2 2015
8100 8100
6950
6800
6450
6550 5900
Sector 32
Sector 51
Q3 2015
Sector 61
Sector 62
6250 6200
Sector 78
5550 5600
5150
Sector 121 Source: Square Yards GIC
Growth Factors
· With good infrastructure, better metro connectivity and prolific road network, real estate development in the Noida micromarket are picking up fast.
·
The upcoming Metro, DND Flyover and other infrastructural improvement projects such as widening of NH-24 and construction of Faridabad-Noida-Ghaziabad (FNG) corridor will enhance the connectivity thereby boosting the realty sector.
·
Connectivity to industrial towns of Ghaziabad and Meerut will drive demand for residential units in Noida.
·
The presence of numerous IT & ITES companies such as CSC, Adobe, Fujitsu, HCL & much more will enhance the job market thereby resulting in high demand for residential units in the coming time.
Noida Expressway (Yamuna Expressway)
Key Locations: Sector 22D, 24, Jaypee Greens Sports City ·
·
·
·
·
·
·
Yamuna Expressway is a six lane 165 km wide road that connects Delhi and Agra. It has been built to reduce the travel time upto 50% between the two cities. It is strategically surrounded by major cities NOIDA, Greater NOIDA, Faridabad, Khurja, Dadri, Aligarh, Mathura, Agra etc. The Yamuna expressway market is dominated by Highrise and plotted developments. The projects are spread along the Yamuna expressway on either sides till Mirzapur village.
Land Usage Breakup 4.90%
5.80%
19.50% 15.00% 5.40%
21.90%
Yamuna expressway further gained prominence after the construction of expressway and F1 racing track. The F1 racing track is part of the Jaypee Sports city township and has attracted many developers in the region. Key real estate players who have presence in this micro-market are Jaypee, Supertech, Skyline, ATS, Orris & Ajnara etc. Around 19.5% of the total area is allocated for residential development, 5.4% for commercial development, 20.0% for industrial development, 7.5% for institutional development, 21.9% for Greenbelt and Parks, 15% for Transport and remaining 10.7% for Mixed Use & Sports City as seen in the figure.
20.00% 7.50%
Residential
Commercial
Industrial
Institutional
Greenbelts & Parks
Transport
Mixed Use
Sports City
Source: Noida Authority
Square Yards GIC indicates that in the previous 3 years' (per Sq. Ft.) prices have moved from INR 2,810 in 2012 to INR 3,284 in 2015- Over 17% price hike.
·
Trends
·
There has been a steady escalation in capital value of properties in Sector 22D & 24 in Q3, 2015 since April 2015 – Over 6.5% increase. Upcoming IT park near Yamuna Expressway is expected to generate innumerable job opportunities, proposed Jewar Airport and many numerous factors will add to the price rise.
Avg. Capital Value per Sq.Ft. (INR) 3284 3078
2981 2810
2012
2013
2014
2015 Source: Square Yards GIC
Capital Value per Sq.Ft. (INR) Q-o-Q, 2015 3070
3070 3250 3200
3075
3225
3250
3050 3000
Q1 2015 YEX Sector 22D
Q2 2015 YEX Sector 24
Q3 2015 YEX Jaypee Greens Sports City Source: Square Yards GIC
Ÿ Yamuna Expressway is an upcoming investment location in the Noida
Growth Factors
region with luxury projects like Jaypee Sports City, Supertech Golf Country, ATS Pristine, Orris Golf Country etc. Ÿ Upcoming large scale commercial projects like the Export Promotion
Zones and Taj Economic Zones are likely to push the economic development of this region, consequently giving a further boost to residential realty. Ÿ The metro rail will run from the proposed metro station at Pari Chowk till Yamuna Expressway
Sector 18 and 20. These are the first residential sectors developed by the authority and the presence of metro is expected to give push to the real estate traction in the coming time. Ÿ The proposed Night Safari in Greater Noida will bring in tourist demand, eventually attracting
commercial and residential development in the neighbouring areas such as Yamuna Expressway. Ÿ The proposed 765 KVA Substation of 3000 MW capacity at Jahangirpur, Yamuna Expressway
Industrial Development Region will provide 24-hour power back-up, thereby adding a great value to the residential units in the given micro-market.
Greater Noida Key Locations: Sector Chi V, Sector Pi, Sector Zeta I ·
Greater Noida is an extension of Noida, a well-planned city with wide roads, underground cabling of electricity and proper drainage systems.
·
It is planned and managed by Greater Noida Industrial Development Authority (GNIDA).
·
According to the 2031 Master Plan, around 22.12% of the total area is allocated for residential development, 5.3% for com m e rci a l d e ve l opm e n t , 1 4 . 5 2 % for i n d u s t r i a l development, 19.16% for institutional development, 22.1% for Green area, 7.37% for SEZ and remaining 9.43% for Transportation.
·
The upcoming IT parks such as Supertech Software Park, Amrapali Tech Park, Stellar Business Park and Globus IT Park are expected to make this region more attractive for buyers & investors.
·
Key real estate players who have presence in this location are Jaypee, Unitech, Ansal API, Parsvnath, Eldeco, Supertech etc.
·
Square Yards GIC indicates that in the previous 3 years' (per Sq. Ft.) prices have moved from INR 3,237 in 2012 to INR 4,420 in 2015- Over 37% price appreciation.
Land Usage Breakup 9.43 7.37
22.12 5.3
22.1
14.52 19.16
Residential
Commercial
Institutional
Industrial
Green Area
SEZ
Transportation & related use Source: Noida Authority
Growth Factors
·
The proposed metro line from Noida City Centre to Greater Noida is likely to boost the connectivity of Greater Noida significantly. · The close proximity to proposed Jewar Airport is likely to attract the investment activity in residential and commercial sectors.
· The plan to develop the 750-crore night safari project will boost the status of Greater Noida as a reputed tourist destination in Northern Parts of India. ·
The Greater Noida Industrial Development Authority (GNIDA) has plans to set up its own power plant, which will provide uninterrupted power supply to the region.
·
The attractive location of Buddh International Circuit will drive the demand for residential as well as commercial hubs in the nearby vicinity. This will also boost the employment opportunities, thereby further catalysing more residential sales in the near future.
Capital Value per Sq.Ft. (INR) Q-o-Q, 2015 4200
4200 4100
4000 3850 3700
3700
3625
3550
Q1 2015
Q2 2015
Q3 2015
GN Sector Pi
GN Sector Chi V
Source: Square Yards GIC
GN Sector Zeta I
Avg. Capital Value per Sq.Ft. (INR)
4420
3876
3903
2013
2014
3237
2012
2015
Source: Square Yards GIC
Greater Noida Extension (Greater Noida West)
Key Locations: Sector 4, Sector 16C, Techzone 4 ·
Noida Extension is the name given to the micro-market between Greater Noida & Noida. This region is also known as Greater Noida West. It is one of the fastest growing micro-markets of the NCR.
·
It is a well-planned city in terms of infrastructure development with wide expressway roads (120-metrewide) and internal sector roads (45 & 60 metre wide).
·
The upcoming commercial hubs such as Earthcon - Regal Emporia, City Walk, RJ Group – Cyber City, Aarza Square and Galaxy Plaza are expected to make this micro-market attractive for buyers & investors.
·
Key real estate players who have presence in this micromarket are Supertech, Amrapali, Antriksh, Trident, Cosmic, Paramount & Exotica etc.
·
Square Yards GIC indicates that in the previous 3 years' (per Sq. Ft.) prices have moved from INR 2,728 in 2012 to INR 4,159 in 2015- Over 52% price hike.
·
In the past one year, a significant jump of 32.62% in average capital value per Sq. Ft. has been observed from INR 3,136 in 2014 to INR 4,159 in 2015.
Growth Factors
· The proposed two Metro corridors, Noida Sector 71 to Noida Extension and Okhla Bird Sanctuary to Noida Sector 142, will provide frequent & smooth connectivity from Noida to Noida Extension. · The proximity to Noida and Ghaziabad is an added advantage for those working in these areas.
·
Upcoming commercial spaces such as IT parks & business parks will drive demand in the coming time.
·
Rich civic amenities & social infrastructure in the form of hospitals, police station, taxi stand, indoor & outdoor sports, clubs etc. make this micro-market attractive for buyers & investors.
Avg. Capital Value per Sq.Ft. (INR) 4159 3171
3136
2013
2014
2728
2012
2015 Source: Square Yards GIC
Capital Value per Sq.Ft. (INR) 4350 4350 3700 3700
4050 4050 3900
3900
3500
Q1 2015 Noida Ext Sector 4
Q2 2015 Noida Ext Sector 16C
Q3 2015 Noida Ext Tech Zone 4 Source: Square Yards GIC
Noida – Greater Noida Expressway
Key Locations: Sector 96, 107, 128, 137, 143, 150, ·
Noida – Greater Noida Expressway connects the townships of Noida and Greater Noida. It starts at Sector15A of Noida and ends at the Alpha commercial belt in Greater Noida.
·
This expressway is under expansion to the proposed Taj Economic Zone, International Airport and Aviation Hub along the Yamuna Expressway (Taj Expressway).
·
The micro-market offers various developments like top premier educational institutes, 5-star hotels, shopping malls, hospitals and commercial hubs that add quality to the lifestyle of the people who move in.
·
The upcoming commercial hubs such as NPX Noida, Supertech E-Square, Assotech Business Cresterra and Express Trade Tower are expected to make this micro-market attractive for buyers & investors.
·
The Developer & Promoter fraternity considers this micro-market as having immense potential for residential and commercial developments and are lining up several projects over here.
·
Key real estate players who have presence in this micro-market are Jaypee, Supertech, Omaxe, 3C, Antriksh, Unitech, Eldeco etc.
·
Square Yards GIC indicates that in the previous 3 years' (per Sq. Ft.) prices have moved from INR 4,579 in 2012 to INR 5,669 in 2015- Over 24% price hike.
Avg. Capital Value per Sq.Ft. (INR) 5669 4579
2012
5152
2013
5274
2014
2015 Source: Square Yards GIC
Growth Factors ·
· With the government decision to clear the revised draft of the Okhla green zone in H1 2015, Noida can expect some traction in new launches and project deliveries in the coming quarter. · The proposed extension of the Dwarka-Noida City Center metro to Pari Chowk will give direct connectivity to Delhi and other NCR areas. The project is expected to be completed by 2021.
Full-fledged Intelligent Traffic System on highway & a traffic park will be built on 8 acres near Noida-Greater Noida Expressway sec 108.
Capital Value per Sq.Ft. Q-o-Q, 2015 7850 7550 7550 6550
64006450 5575
5450 5450 5450
5725 5675 4775
Sector 96
Sector 107
Sector 128 Q1 2015
Sector 137 Q2 2015
5075
5225
Sector 143
4950 48504900
Sector 150
Q3 2015 Source: Square Yards GIC
Square Yards View
·
To speed up the development activity, the Noida Authority is likely to issue the completion certificate to the ready projects.
·
This will provide the much needed push to the buyers & investors intending to purchase property across the Noida real estate market.
·
Residential launches will continue to remain strong in Noida and Greater Noida as this region offers affordable houses and good connectivity.
·
The most attractive investment locations in Noida are Noida Extension, Noida – Greater
N o i d a E x p r e s s w a y a n d Ya m u n a Expressway. These micro-markets are expected to see major traction of buyers and investors and witness more number of project launches in the coming years. ·
Hosting of the Indian Grand Prix and opening of the Yamuna Expressway has gave a fillip to the real estate development of these micro-markets.
·
In the commercial segment, Grade-A office spaces and SEZs are expected to witness increased interest from office occupiers.
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Increased commercial activities will consequently drive the development lever of the housing sector, across both high & mid-end segment.
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