Real estate yet to pick up in Amaravati

Vijayawada: The realtors and construction companies in Vijayawada-Amaravati-Guntur stretch are pinning their hopes on capital city works which are expected to begin in next two months. They hope the construction works will give breath to them from ongoing slump in realty and construction market. 

Though the state government had selected Amaravati location for Andhra Pradesh’s new capital, the builders and realty companies could not make business contrary to their investment plans.

Moreover, many builders and investors in Vijayawada-Guntur are facing slump for last three years due to lack of business. Recently several prominent realtors and builders requested IT and Panchayat Raj minister Nara Lokesh to start capital city works quickly by explaining their position.

According to builders and realty firms, they had invested huge amounts in this region at the time of announcement of capital location Amaravati. They envisaged that the huge developments will take place and lands and construction activity will get big boost.

Following this trend, some of them purchased huge tracts of lands in Amaravati by paying fancy rates. But the investors are facing challenges from due to lack of business due to various reasons. Nearly 200 apartments and 100 real estate ventures are waiting for investors from long time, according to Bezwada Builders Association report.   

At first, the state government controlled realtors by not allowing construction activity in 500 meters outside the villages in the limits of Capital Region Development Authority (CRDA) in Krishna and Guntur districts.

The whole builders’ community represented Chief Minister N Chandrababu Naidu on the issue and finally the government realised it and allowed constructions activity outside 500 meters withdrawing its stance. But the scrapping of big notes decision once again hit the business of realtors and infra companies.

Real Estate Developers Association secretary K Rajendra explained their position to Nara Lokesh in the recent exhibition. He also requested the government to start capital construction works by envisaging that it would give boost to their business from ongoing slump.

Vishnu Builders proprietor K Vishnuvardhana Rao speaking to The Hans India said that presently they do not have any business in the region. He said the investors from across the globe might come forward to invest if the government launches capital construction works.

By Patibandla Srinivas