A project in Bengaluru with 35 flats rents out in 48 hours due to strong demand
In the nation’s IT center, where there aren’t enough apartments, rents have been rising, often within the course of a few hours.
Within 48 hours of going on the market, all 35 units in a recently finished development in Bengaluru’s Sarjapura neighborhood were rented out due to the city’s ongoing strong demand for residences.
The Sarjapura neighborhood is adjacent to IT offices in Bengaluru’s south and east. The project’s apartments, which range in size from 850 square feet to 1150 square feet, have entered the rental market. Next month, the new renters will be allowed to move in.
According to John Christopher, the deal’s broker, “the total number of queries received for the project would have been more than triple.” “Each two-bedroom flat costs Rs 35,000 per month to rent. The owner intended to rent them out in January for between Rs 20,000 and Rs 25,000 per month.
The extreme mismatch between demand and supply in India’s IT hub is reflected in the project’s 40% rent increase. Bengaluru’s landlords are enjoying a boom as people who moved back to the city to work in offices struggle to find housing.
Rents
Rents in the majority of the city’s most desirable areas, such as MG Road, Koramangala, Whitefield, and Indiranagar, have increased by 40–50% and are now unaffordable. According to local brokers, one- and two-bedroom flats are becoming harder to find, and when they do, they come with exorbitant rent prices.
Suburban boom
The asking rent for a one-bedroom flat in the center of the city was Rs 75,000 per month on Lavelle Road, while it was Rs 45,000 on St. John’s Road.
For Rs 60,000 per month, a luxurious two-bedroom apartment in Prestige Shantiniketan, adjacent to Whitefield, was rented.
Despite poor road conditions and a lack of metro access, according to Sunil Singh, director of Realty Corps, rentals in a number of rural places will rise over the coming quarters, including Electronic City and JP Nagar suburbs in the south. The tenants currently have no other options, he said.
Tenants and brokers claimed that even though freshly released apartments in Bengaluru are rented out within a few hours, rents might increase even over the course of one night.
In the Mahadevpura neighborhood of north Bengaluru, the rent for a two-bedroom apartment increased from Rs 35,000 to Rs 45,000 per month the day before.
In one instance, within a few hours, the rent for a two-bedroom apartment in the exclusive Indiranagar neighborhood published by Google engineer Bharath MG increased from Rs 45,000 to Rs 55,000.
Bharath told Moneycontrol, “Once we agree and the rental agreement is signed, I won’t increase the rent.”
Online real estate marketplace MagicBricks reports a 10.6% decrease in Bengaluru’s rental listings between April and June. The rental real estate market in the city will continue to be in a frenzy, according to experts, unless apartments that are currently being built go on the market within the next few years.
