Realty Picks Up Pace In AP As Amaravati Back In Action

The real estate in Amaravati and Visakhapatnam will gain momentum in 2025 and 2026 once mega industrial and infra projects are grounded. - Bayana Srinivasa Rao, General Secretary, Credai-AP, tells Bizz Buzz

Visakhapatnam: The realty sector, which suffered a big jolt in the past few years due to the pandemic and later due to ambiguity over formation of three capitals, is now seeing the high hopes on revival with great momentum in Visakhapatnam as well as Amaravati in Andhra Pradesh.

The hope of developing a futuristic city at Amaravati was revived with the comeback of TDP to power in June as part of the three-party NDA coalition. After installation of the new government, the Capital Region Development Authority (CRDA) held three meetings to approve funds to the tune of Rs65,000 crore for construction of various buildings. The government has also decided to develop Amaravati as an education and drone hub, which led to the revival of realty business in the region.

On the other hand, in Visakhapatnam, the largest city in Andhra Pradesh with a strong industrial base, there has been a lull in business for a long time due to a variety of reasons. Now with the coalition government opening its doors to regular interactions with Credai and other realty development bodies, the speed with which the Bhogapuram International Airport work is progressing and the announcement of several big-ticket projects, expectations are high that there will be rise in demand for housing and commercial ventures in the New Year in and around Visakhapatnam. Bayana Srinivasa Rao, General Secretary, Credai Andhra Pradesh, told Bizz Buzz that the real estate in the region will gain momentum in 2025 and 2026 once mega industrial and infra projects are grounded. Visakhapatnam is poised for unprecedented growth, with significant infrastructure, commercial, and urban development reshaping the city into a global destination. Key projects that will drive the growth include Inorbit Mall by Raheja Group, which will be constructed in 17 acres, Unity Mall, ASN Megha Mall and LuLu Mall.

Rao said major infrastructure developments which include Alluri Sitarama Raju Bhogapuram International Airport (to be ready by June, 2026), VMRDA’s plan to transforming Visakhapatnam into a metropolitan city with the construction of South Coast Railway Zone headquarters, Visakhapatnam ORR, Beach Corridor and Vizag to Raipur Highway Industrial Corridor, will boost connectivity.

The decision to develop Visakhapatnam into a fintech, tourism, educational and innovation hub will also bring a lot of investments along with a Global MedTech University by AMTZ which will support healthcare innovation. The logistics sector will get a fillip with the development of Howrah-Chennai Industrial Corridor boosting industrial activity, air services & aviation university anchoring aviation advancements in Bhogapuram and several other mega projects, he added.

Credai Vizag president V Dharmender hailed the introduction of a single window system for building construction and layout approvals and the slew of initiatives taken by the new government to generate demand. “We are confident that the slowdown witnessed in 2024 is a closed chapter. Now, there are positive vibes and government orders (GOs) benefiting our sector will be issued soon” he said.

He said they are very happy that at the drafting stage itself, the authorities took them into confidence and gave importance to their viewpoints.

“We are expecting several big projects to be announced. There will be demand for more gated communities and larger housing apartment complexes in the near future,” he said, with a note of optimism.

Credai Vizag chairman KSRK Raju (Sai) added that government’s decision to promote tourism, IT, fintech, pharma will give a big boost to the real estate sector in Visakhapatnam.