Greater Noida: Greater Noida Industrial Development Authority (rub) has allotted 18 industrial and commercial plot In the past week, a feat that points to a recovery in the real estate sector after the pandemic.
While 14 plots are for setting up industries, only four are for commercial purposes. Officials said the industrial and housing schemes of the development authorities are getting a response, but for the first time in nearly five years, so many bidders have shown interest in taking commercial plots. 18 plots have been sold at 100% premium and have ordered doubling of reserve rates during this period auction,
GNIDA last week launched a commercial plan comprising a total of five plots, with the smallest being 1,200 sqm in Delta 2 and the largest at Eta 1, spread over 7,455 sqm. The remaining three plots have been developed in Sector P4 and 36. Except Etah 1 plot, remaining four have been taken up by entrepreneurs.
Apart from the positive response for the 18 plots, there has been an additional benefit from the revised payment terms introduced this year. The allottees will now have to deposit 50% of the entire land premium within 60 days and the remaining 50% in installments over the next four years.
This is also the first time in five years that GNIDA has been able to allot a list of multiple plots in the first attempt. Chief executive officer Narendra Bhushan said there were multiple entries for the plots. “The largest of them, in Etah 1, out of five commercial plots, will have to be carried forward in the next plan. We got an encouraging response for the remainder,” he said.
Authority officials are now exploring the option of splitting the Etah 1 plot into two or more parts as market players have said that large-scale commercial development can be planned only in phases and keeping in mind the demand. can.
Aditya Bansal, partner of a commercial real estate brokerage firm in NCR, expressed similar views. “The demand for commercial outlets and organized office space has reduced in the last two years due to the pandemic. But at the same time, small and local businesses have flourished. Market players are sensing a reduction in demand for both residential and commercial real estate. But there is no point in blocking large commercial property as realty companies are facing liquidity crunch and can hold vacant land parcels only up to a point,” he said.
Officials said a total of 33 bidders had shown interest in the recently launched plot schemes. Local market players feel that the higher commercial rates in Noida have had an impact on Greater Noida as well. CREDAI (Western UP) secretary Subodh Goel said, “The rates of Greater Noida are lower than that of Noida. Also, less business activity can be seen in Greater Noida East as compared to West.
The rates of commercial plots with FAR 2 in Noida are almost three times as compared to those available with GNIDA. While the average reserve rate for plots taken up in the latest scheme in Greater Noida was around Rs 45,000 for a sqm, a plot in urban areas of Noida would cost Rs 1.4 lakh for a sqm.
A total of Rs 130 crore was received from 14 industrial plots last week. Entrepreneurs who have taken the plot have committed to bring in an investment of Rs 800 crore and create 2,000 jobs. The industrial plan included plots in different areas of the Ecotech block.
While 14 plots are for setting up industries, only four are for commercial purposes. Officials said the industrial and housing schemes of the development authorities are getting a response, but for the first time in nearly five years, so many bidders have shown interest in taking commercial plots. 18 plots have been sold at 100% premium and have ordered doubling of reserve rates during this period auction,
GNIDA last week launched a commercial plan comprising a total of five plots, with the smallest being 1,200 sqm in Delta 2 and the largest at Eta 1, spread over 7,455 sqm. The remaining three plots have been developed in Sector P4 and 36. Except Etah 1 plot, remaining four have been taken up by entrepreneurs.
Apart from the positive response for the 18 plots, there has been an additional benefit from the revised payment terms introduced this year. The allottees will now have to deposit 50% of the entire land premium within 60 days and the remaining 50% in installments over the next four years.
This is also the first time in five years that GNIDA has been able to allot a list of multiple plots in the first attempt. Chief executive officer Narendra Bhushan said there were multiple entries for the plots. “The largest of them, in Etah 1, out of five commercial plots, will have to be carried forward in the next plan. We got an encouraging response for the remainder,” he said.
Authority officials are now exploring the option of splitting the Etah 1 plot into two or more parts as market players have said that large-scale commercial development can be planned only in phases and keeping in mind the demand. can.
Aditya Bansal, partner of a commercial real estate brokerage firm in NCR, expressed similar views. “The demand for commercial outlets and organized office space has reduced in the last two years due to the pandemic. But at the same time, small and local businesses have flourished. Market players are sensing a reduction in demand for both residential and commercial real estate. But there is no point in blocking large commercial property as realty companies are facing liquidity crunch and can hold vacant land parcels only up to a point,” he said.
Officials said a total of 33 bidders had shown interest in the recently launched plot schemes. Local market players feel that the higher commercial rates in Noida have had an impact on Greater Noida as well. CREDAI (Western UP) secretary Subodh Goel said, “The rates of Greater Noida are lower than that of Noida. Also, less business activity can be seen in Greater Noida East as compared to West.
The rates of commercial plots with FAR 2 in Noida are almost three times as compared to those available with GNIDA. While the average reserve rate for plots taken up in the latest scheme in Greater Noida was around Rs 45,000 for a sqm, a plot in urban areas of Noida would cost Rs 1.4 lakh for a sqm.
A total of Rs 130 crore was received from 14 industrial plots last week. Entrepreneurs who have taken the plot have committed to bring in an investment of Rs 800 crore and create 2,000 jobs. The industrial plan included plots in different areas of the Ecotech block.
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