Real Estate Companies Plan To Invest Rs 18,900 Crore In Jammu And Kashmir
As the Union Territory opens up for residential and commercial development, real estate companies are planning to invest Rs 18,900 crore in the region.
39 memoranda of understanding were signed with the UT government; the developers agreed to build 19 residential projects, eight commercial projects, four hospitality projects, three infrastructure projects, two finance projects, and three film and entertainment projects.
An agreement was signed at the Real Estate Summit 2021 organized by the government of Jammu & Kashmir, the Ministry of Housing and Urban Affairs, and the National Real Estate Development Council in Jammu.
After the government relaxed rules in October 2020 to allow residents to buy land and property outside the UT, the planned projects are expected to boost real estate development in the state. The situation on the ground has not changed much since the amendment.
This first real estate summit will contribute to rectifying the past and will have a multiplier effect in J&K in the future, said Minister Hardeep Singh Puri.
A report from the ministry of housing and urban affairs on December 27 said that the project will result in a host of opportunities for employment and investment in J&K.
Aside from housing, there are also real estate construction needs for tourism, hospitality, and warehousing in J&K, the minister said.
By signing the Memorandum of Understandings, we will be able to explore development opportunities in unsaturated areas that hold tremendous potential for real estate development in terms of residential, commercial, hospitality, retail, warehousing, logistics, and healthcare," said Rajan N Bandelkar, president of NAREDCO.
As a result, the government is enthusiastic about welcoming developers for mutual and equitable growth."
Demand for second homes
Given the number of pilgrimages and tourist destinations nearby, developers anticipate substantial demand in J&K for second homes. NAREDCO vice-chairman Niranjan Hiranandani said there is a high demand for vacation houses in Jammu among people living in Srinagar.
Additionally, it is expected that people from other parts of the country will purchase homes in Jammu as their second homes. Real estate development in Jammu & Kashmir can be accelerated through incentives."
Signature Global's founder, Pradeep Aggarwal, plans to invest Rs 2,000 crore in creating 10,000 new homes in Jammu & Kashmir.
Jammu & Kashmir is no different from other cities when it comes to the issue of affordable housing. Aggarwal is hoping to take advantage of this opportunity. A Signature Global project in Gurgaon has been developed.
According to real estate developers, the region will be able to grow with increasing urbanization, economic activity, and upward mobility. It is also the central objective of ‘Build in J&K’ led by the Housing and Urban Development Department and the government of Jammu & Kashmir to provide every possible support, including a pro-business and pro-regulation environment.
The Real Estate Regulatory Authority Act and the Tenancy Act that have been passed and implemented in J&K will be helpful in easing business in UT.
As part of the launch, Puri unveiled the website of the J&K Real Estate Regulatory Authority, the portal for auctions of assets, the affordable rental housing complex scheme at Sunjwan in Jammu, housing schemes, as well as the J&K Housing Mission.
Puri praised J&K Lt. Governor Manoj Sinha for undertaking development projects and creating industry-friendly policies on a variety of fronts within a short span of time.