The infrastructural growth is the catalyst for the real estate industry undoubtedly. Really, the features of infrastructure have led to the development of the realty sector and property appreciation. Read this blog to know more.
The term Infrastructure – Interesting facts
Let us check the meaning of the term infrastructure. Infrastructure is derived from two words – infra from Latin and structure from French. The term means structure below since infra means below. It is interesting to know that this term was used in French from 1875, and it originated in English from 1887.
The real definition of features of Infrastructure
Infrastructure, infrastructure investment or even infrastructure growth is a familiar term these days. But then what exactly is it?
Infrastructure in simple terms is all the services that are required to raise the standard of living or making life pretty easier. It can take different forms, such as civic or economic and social. We must all be very familiar with the features of social infrastructure facilities. Undoubtedly, these are the major factors people look for while investing in real estate. So, what exactly are these social infrastructures?
Social infrastructure is basically termed as the assets that accommodate social services. As we are so much familiar with hospitals, health care centers, schools, etc, this isn’t an unimaginable term. Yes, social infrastructure is all about the schools, community housing, the availability of hospital services, etc.
What about the economic infrastructure?
Economic infrastructure literally points to the factors that aid the growth of an economy. What all contribute to the growth of a business or an economy, in general, is termed as economic infrastructure. Both this social and economic infrastructure complement each other in all ways. The point to be noted down is that in the real estate industry, the most important one is social infrastructure, without which the value of properties come to a fall.
Infrastructure growth in Bangalore
Bangalore has been witnessing rapid growth in infrastructure features over the past 10 years. It wasn’t much back when the city got a funding of Rs 8,000 Cr for Infrastructure Development. Obviously, the city’s traffic was a major problem for many years. The features of infrastructure give much focus on the same. Although this points to the economic infrastructure growth and investment, it is in steep progress over these years.
With the maintenance of the damaged roads, the construction of new roads, railway lines, ie, metro lines, underpass and flyovers, changes have been bought. The big transformation was visible in the making over of the arterial roads, ring road, Bannerghatta road, Hosur road, Mysore road and all major hotspots of the city.
Furthermore, the focus was not just lingering on these services, but the water supply, sewage management and all of these. Moreover, in order to balance the rapid construction processes that were going on, some mandatory steps were taken too. Providing green zones, planting more trees and much more which was also included in the infrastructure investment.
How features of infrastructure can boost the real estate industry?
Now, let us look into the matter in detail. How the growth of infrastructure and the features of it add value to the housing and real estate projects in the city.
By doing a previous market analysis, one can find that the demand for housing projects are more where there are proper infrastructural services. The value of properties is much high in such areas where features of infrastructure are in pipeline. Those areas which have all the socio-economic infrastructural services as per the requirement, there is a tendency for homebuyers to flow. People not only look out for the amenities but also they want to ensure if there are schools for their kids, hospitals for their old aged, malls for the youth and much more.
Localities and the accessibility factors also contribute to the appreciation rates of the property. For example, in Bangalore, if we check the appreciation rate for the properties, we can see that the Whitefield area is in the crown list. The reason is the advanced features of infrastructure that the place is witnessing. Due to this, properties like Shriram Blue, are getting more popular over there.
Whitefield is in fact surrounded by hospitals, schools, for everyday life, malls for the weekends and in fact many IT companies for the living. Also, the place enjoys all modes of transportation facilities. Moreover, the place is rich in features of economic infrastructure, specifically the availability of road transport. There is so much more about Whitefield, which you can read here – all about Whitefield.
The ‘Metro’ effect in infrastructure investment
The metro effect is yet another feature of infrastructure that propels the real estate market in Bangalore. During the past few years, the entire city is revolving with the works of the metro to increase connectivity and to reduce the traffic. So, in a way, finding a home near to the metro lines can increase the value of property to a large extent. Also, this helps the working class people to get to their workplaces faster and secure. There were many efforts taken by the government to invest in this infrastructure. This, in many ways, boosted the growth of real estate sector too. You can also read about the interconnection between the Bangalore metro and real estate here.
The bottom line
To conclude, let us say that the features of infrastructure have become an essential part in boosting up the real estate market, be it anywhere in the line. People look for the availability of services, like hospitals, schools, and malls that would elevate their lifestyle. So, while looking out for a home, those areas which have good infrastructural features will get more of value. In all spheres of life, the growth of infrastructure has been and is contributing to the growth of the economy and so, real estate too.