Bhogapuram Real Estate Effected By Demonetisation

The demonetisation of currency is still showing its impact on the Bhogapuram International airport project, even though it has received recommendation for environmental clearance. The residential plot rates which are in demand, located in the areas close to Bhogapuram, including Anandapuram and Tagarapuvalasa have remained not functioning for almost a year now. Adding to this misery is the drop in registrations by 30-40% in real estate due to the demonetisation.

The residential plot prices in Anandapuram were around Rs 9000 per square yard around two years ago. However, the price has increased to Rs 12,000 per square yard a year ago and ever since then, remained the same. In the same way, the plots near Bhogapuram which were around Rs 4000 a year ago and have come up to Rs 6000 per square yard since a year now.

Many developers have purchased lands or have come into joint ventures with the land owners in the stretch between Gambheeram and Anandapuram. However, most of these were converted into layouts and plots in different dimensions being offered for the consumers. There has been a huge demand after the airport project and the institutions like IIM were announced about two years ago, but demonetisation has decreased the sales to very large extent.

A layout developer who had sold plots in that area said that, most people feel land is an investment. He also said that people not only from Vizag, but also from Vizianagaram, Srikakulam, East Godavari and Hyderabad were purchasing the plots before demonetisation hit.