Jamaica Real Estate

You would expect that Jamaica real estate prices would be quite high, considering the posh hotels and resorts, the elegant restaurants, and quite frankly, just the brand name ‘Jamaica’, but actually it is not so!

Leading realtor, Andrew Issa, was quoted as saying that currently purchasers get more ‘bang for the buck’ on real estates as opposed to other Caribbean islands. Meaning that you get a lot more real estate for the money in Jamaica.

There should be no surprise therefore, of the increasing number of foreigners who are showing heated interest in Jamaican properties. I recall a recent article in one of our notable newspapers, the Jamaica Observer reporting that over 55% of all real estate transactions in Jamaica are completed with overseas clients!

General Manager of JN Real Estate Signature Homes and Properties, Jacqueline Peat-Smith, not so long ago stated that “demand, especially from people returning home from Britain wanting to build primarily in Trelawny, St James, St Ann, St Thomas, St Catherine, Manchester, St Mary and St Elizabeth, was far outstripping supply.

Admittedly, we had some concerns of bureaucracy in the past, but with concerted pressure on the government from real estate developers, tremendous work has been done and the process has gotten a lot smoother.

Very soon, it is expected that Jamaica will solidify its position as having the best real estate properties in the Caribbean. Mr. Issa identified the huge investments that are being made in the country’s infrastructure as the driving force.

He stated that “the infrastructure upgrade that is taking place will drive our market. The airport upgrades, the highways and the new water system for the North Coast all are coming together to improve the country”, “plus, we are blessed with the most beautiful island in the Caribbean. We have an authentic history, culture, and people.”

In terms of the high-end resort market, the Palmyra Resort development in Rose Hall, Montego Bay and the Chris Blackwell’s development, Goldeneye in Oracabessa, St. Mary stands out.

Jamaica real estate is still the jewel of the Caribbean, and will remain so as we propel our country forward.

Bangalore Real Estate Goes Green

Bangalore real estate activities are witnessing a stagnation period. There is identified stock of unoccupied properties in the Whitefield area. The reason gauged is all the IT and IT enabled service companies are heading towards green buildings. Green buildings are the peg of the year as the world is adapting green arena to counter various environmental issues. All builders and developers are bound to adopt green technology to construct their buildings.

The upcoming real estate activities in Bangalore are happening at outer ring road and peripheral areas. Few buildings where the construction has just completed are lying vacant. The Bangalore real estate market is experiencing such vacant unit supply in past couple of months. The reason sought is the increasing demand of green building. The newly constructed Bangalore properties are not meeting green buildings requirements and thus they are not rated as green.

The IT and ITES companies are not occupying this space and as a result the real estate values are stagnating and the property prices are going down with time. In the last quarter demand – supply mismatch was approximately a million sq.ft. (as stated in Cushman & Wakefield report).

The Bangalore Real Estate Builders and property developers are still reluctant in building green homes and using new technology because of their profit margin. Also all the upcoming and current projects are overpriced than the market value.

The Whitefield region in Bangalore, where IT and ITES firms occupy most of the office space, could be delivered another blow when a Bangalore government scheme which provides rebate in tax to the companies located at “technology parks” comes to an end next year.

Most of the companies will head towards Special Economic Zones (SEZ) which is designed as per the green codes and this will further render some Bangalore properties vacant. Thus Bangalore real estate builders have no choice but to start constructing green buildings to save the environment as well as their own business

Yelahanka: A Real Estate Paradise

Originally envisaged as a satellite town of Bangalore city, Yelahanka is one of the most sought after destinations in North Bangalore for real estate investors today. The suburb has gained phenomenal momentum after The Bangalore International Airport (BIAL) in Devanahalli came into existence.

A part of the Bruhat Bangalore Mahanagara Palika (BBMP), Yelahanka is just 19 kilometers from the BIAL and 14 kilometers from downtown Bangalore. The area has seen significant development in infrastructure in the past five years.

Yelahanka has been in the radar of home buyers since some time now. The area’s proximity to a number of technology parks, housing some of the biggest MNCs that operate from the city, is a major reason for professionals choosing this locality to buy their homes. Yelahanka is very near to Hebbal, which has some good educational institutions, as well as hospitals and malls. However, real estate in Hebbal is way too expensive for mid-level buyers. Hence Yelahanka is a better choice for them. The area is also very well connected to the greater city via road and rail. The planned peripheral ring road (PRR) is expected to work in favour of the residential areas in Yelahanka too.

To tap the prospect of this region, a number of real estate developers are offering residential apartments in Yelahanka, Bangalore. The average prices of flats for sale in Yelahanka ranges anywhere in between Rs. 3000 and Rs. 4500 per sq ft now. A buyer can get a residential property with all basic amenities at a very competitive rate ranging from Rs 50 – 90 lakhs. However, property prices in this area have seen a consistent appreciation of 8-10% in last two years. Hence, people are buying property in the Yelahanka-Devanahalli stretch for long-term investment purpose too, as prices are expected to appreciate even more soon.

On analyzing the current prevalent market rates to the property rates consumers are ready to pay; micro markets of Electronic City and Yelahanka are closest to buyer’s pricing expectations.

After evaluating the potential of the locality, the Karnataka government has formed a body to promote development in North Bangalore to transform it into a business hub. With multiple projects and proposals like Aerotropolis, Devanahalli Business Park and Global Finance District, 40 lakh jobs can be generated in the region over the next two decades, say experts. As per analysts, the proposed 10,000-acre Information Technology Investment Region (ITIR) north of Devanahalli, will help real estate in Yelahanka to rain returns in a few years.