North Chennai Real Estate Outlook by Sanjay Chugh: ANAROCK Property Consultants
The real estate market of North Chennai has been sluggish and hasn’t grown at the same pace as the southern and western parts of the city. The lack of major demand drivers such as IT-ITeS and insufficient infrastructure has impeded the growth of real estate in the region. As of Q3 2019, only 4,619 units have been launched in North Chennai since 2015 which is only 6% of the total supply of the city. The region has sold 3,848 units in the last four and a half years which accounts for just 5% of Chennai’s total residential sales.
The market of North Chennai hasn’t been very active, but new launches have recently started gaining momentum. As a result of the increase in new launches, the unsold inventory also peaked in 2018. Currently, the region has nearly 1,975 units available for sale which is approximately 6% of the total unsold inventory of Chennai.
The recent completion of phase 1 of the metro rail has improved North Chennai’s connectivity significantly with South and West Chennai. Corridor 1 of metro rail starts from Chennai Airport and ends at Washermenpet, benefitting the nearby localities such as Washermenpet and George Town. Corridor 2 of metro rail connects St. Thomas Mount to Chennai Central, running through West Chennai. The corridor runs through Kilpauk and Purasaiwakkam localities in North Chennai.
The state government has planned a couple of projects to improve the region’s connectivity and connect it to its economically vibrant southern and western neighbourhoods:
Outer Ring Road (ORR) – With the completion of the remaining stretch from Nemilicherry to Minjur, the project is expected to provide seamless connectivity to North Chennai with West and South Chennai.
Chennai Peripheral Ring Road (CPRR) - The project is expected to connect Poonjeri junction of ECR to Ennore Port, running through Thamaraipakkam, Thatchur and Kattupalli localities of North Chennai.
Metro Rail – Metro corridor 3 is expected to improve North Chennai’s connectivity with South Chennai through Central Chennai whereas metro corridor 5 is expected to improve the connectivity through West Chennai. Konnur, Kolathur, Perambur, Madhavaram, and Purasaiwakkam are some of the prominent localities amongst others which are expected to be benefitted from the proposed metro corridors.
Several retail establishments of North Chennai are concentrated in the nearby localities of Central Chennai - Purasaiwakkam, Jamalia, Perambur, Kolathur, and Washermenpet. Some of the prominent malls in the vicinity are Abirami Mega Mall, Spectrum Mall, The Grand Venus Mall, and SKLS Galaxy Mall.
North Chennai along with some neighbouring areas of Central Chennai is home to many reputed colleges. These include VEL Tech College, Madras Medical College, Kilpauk Medical College, Sree Muthukumaraswamy College, Thiruthangal Nadar Arts College, Dr. Ambedkar Government Arts College, Tamil Nadu Veterinary and Animal Sciences University, RB Gothi Jain College, and Kumaran Institute of Technology are some of the prominent colleges of North Chennai.
This part of Chennai also has access to healthcare facilities with hospitals like Rajiv Gandhi Government General Hospital, Perambur Railway Hospital, MGM Healthcare, Billroth Hospital, Apollo Hospital, Srinivas Priya Hospital, KVT Speciality Hospital, and Sugam Hospital.
Review by ANAROCK Property Consultants