The proposed Kochi Metro Rail project may positively impact city’s real estate market with the prospects of its completion in three years time.

Property prices

A report prepared by Geojit BNP Paribas Property Services points out those areas within 500 meters from the 23 Metro stations coming up in the 1st phase will witness a minimum of 50 per cent appreciation in the property pricing when the project becomes a reality.

Compared to the average annualised returns of 16 per cent in the last 3 years, the property prices have risen 30 per cent in last 6 months, especially at Kaloor area in North Kochi, where the Metro Rail work has already commenced.

This clearly targets on a 60 per cent annual growth which will steady the real estate market in Kochi, the report says.

Traditionally sidelined with lacklustre investment potential, Kochi was for many years not regarded as a dynamic real estate market.

This , however, started changing sometime back especially in the real estate front with leading IT/ITE companies making a beeline for the city. Metro rail project is the latest catalyst in the transformation of Kochi.

According to the report, the growth in real estate market in the city will happen in two ways. The provision for an efficient public transportation in the city will find it more attractive to invest in business, which in turn will boost the real estate market in the near future.

Areas adjacent to Metro stations will also see a surge in property values, as people love the convenience of walking to the station to board the train.

Additionally, the sale of such properties will also become easier as large number of buyers try and buy property at such convenient locations, the report said.

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