Punjab Real Estate Prices: On a Rocket to the Moon

Source: Times News Networkof gear, stressing there was no cause for concern
Mohali Real Estate: Imitating Gurgaonabout property prices rocketing to the moon.
Recently, a Shop-cum-Office-cum-Flat (SCF) in MohaliIn fact, one bidder echoed their sentiments, saying:
with a reserve price of Rs. 2.5-crore was bid for andThey have paid the price keeping the product they
went for a whopping Rs. 4-crore. A figure that is,are going to build in mind and the market will support
surely indicative of the rocketing real estate prices inthe price. It will still be affordable for us and we will
this booming IT city. And, this transaction is proofmake money on the deal. T.P. Singh of Guru Nanak
positive that the market is over-heating beyondProperty Consultants explains: It is true that there
reasonable levels.are a few properties being chased by too many
Nowhere was it more evident than at the auction ofdevelopers, but the pricing of these lands cannot be
commercial plots held at PUDA Bhawan a few daysconsidered a benchmark for other properties in town.
ago. In sum total, PUDA pocketed a cool Rs. 40-croreAnd, industry sources affirm, saying Mohali is slated
from the auction of 45-commercial sites, at variousto become a large retail-cum-hospitality hub, with an
locations around Mohali. With 51-sites to auction off,IT Software Park, hotels and upscale residential
including SCFs, booths and bay shops, the Punjabcomplexes, as Chandigarhs space crunch exacerbates
Government was left with just a handful that did notwith the wave after wave of IT and telecom giants,
move.impacting returns and viability.
As people jostled to position themselves in order toThere is no doubt; soon Mohali will be playing Gurgaon
grab the best opportunity, industry experts pointedto Chandigarhs Delhi. One can see a similar trend, as
out the auction, plot locations and positioning justifiedwhen developers moved to make Gurgaon more of
the premium paid for them. They stated the Rs.a hip and happening place than Delhi. Could that
4-crore bid was not a benchmark deal that wouldhappen to Mohali too, as Chandigarh watches with
throw Mohali real estate prices disproportionately outbated breath?