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Updated on: Wednesday, December 29, 2021, 01:17 PM IST

JLL concludes sale of 10 acres land in Hyderabad to Ashoka Builders India at Rs 235 cr

The land is situated at Kukatpally, a busy business hub which is in the Northwestern part of Hyderabad./ Representational image |

The land is situated at Kukatpally, a busy business hub which is in the Northwestern part of Hyderabad./ Representational image |

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Real estate consultancy firm, JLL, announced the completion of 10 acres of prime land sale to Hyderabad-based real estate developer Ashoka Builders India Private Limited (ASBL) at Rs 235 crore.

ASBL has emerged as the highest bidder for the deal. The land is situated at Kukatpally, a busy business hub which is in the Northwestern part of Hyderabad. It is also known for its thriving residential community and excellent connectivity to the city's hotspots. The land was owned by one of the larger corporate houses in the country.

JLL was appointed as the exclusive transaction partner for the deal by the seller.

"JLL's robust market intelligence and strong relationship led to successful closure of this deal in a record time. This deal proves Hyderabad's favourable market in terms of strong demand for both commercial and residential developments" says Sandip Patnaik, Managing Director, Telangana and Andhra Pradesh, JLL.

"The entire transaction process was conducted meticulously and with the highest transparency in alignment with the business philosophy and value systems of the landowners," he said.

Further adding, "renewed buyer confidence has been instrumental in supporting the Hyderabad Real Estate market recovery in Q3 2021, which recorded a healthy quantum of sales and launches as compared to the same period last year. These numbers are inching towards those in the pre-COVID-19 era."

"We intend to build a mixed-use development, combining premium residential development and Grade A commercial space by June 2025. We plan to further invest around Rs 250 crore to develop this mixed-use community, taking the valuation of the project, after completion, to be roughly Rs 600 crore," said Ajitesh Korupolu, CEO, ASBL.

"We are excited about this project for three main reasons. From a company standpoint, this diversifies our presence on all sides of Hyderabad. We are already present in South-West and East, making Kukatpally ASBL's expansion into the North-West of Hyderabad. Secondly, this would be our first venture into commercial real estate.

And thirdly, the great connectivity Kukatpally enjoys due to the recently inaugurated flyovers, metro rail, and all other forms of commute, make this land a lucrative investment opportunity," he added.

ASBL is a rapidly growing new-age real estate company. Over the last five years, ASBL has carved a niche in the field of construction technology. Currently, they are executing 5 million sq. ft. of residential built-up space across Hyderabad.

Boosted by affordable synergies and the growing need for homeownership supported by all-time low mortgage rates, stamp duty waivers in various states and stagnant prices are driving housing demand recovery.

Sales volume during Q3 2021 grew by 65 percent sequentially as compared to the 34 percent sequential growth during Q3 2020. The top seven cities witnessed a sequential growth of 21 percent in new launches, with 32,863 units during Q3 2021.

Hyderabad saw the highest new launches forming 28 percent of overall new launches during Q3 2021. Home Purchase Affordability Index (JLL HPAI 2021) the city continues to be an affordable market for residential property.

The current year is expected to witness Hyderabad surpass the 200-mark on the affordability index followed closely by Pune.

The index indicates that an average income earning household in the markets of Hyderabad and Kolkata has enough income to qualify for a home loan on two 1,000 sq. ft apartments (or one 2,000 sq. ft apartment) at the prevailing market price.

(With inputs from ANI)

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Published on: Wednesday, December 29, 2021, 01:17 PM IST
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