The new government has responded positively to boost our sector during our interaction with the elected representatives. The Chief Minister has announced the decision to transform Vizag as an international city and as a prominent financial hub - KSRK Raju (Sai), Chairman, Credai-Visakhapatnam Chapter, tells Bizz Buzz

Visakhapatnam: With the plan to convert Visakhapatnam into the executive capital falling flat after TDP supremo Nara Chandrababu Naidu returned to power as the Chief Minister, the realty sector here by and large feels that the largest city of Andhra Pradesh will have a boom in business shortly as it’s set to become financial capital for the State.

The new government is getting into action to develop various sectors and revive the economy in the State. The real estate sector, which witnessed slowdown due to the long spell of the pandemic and subsequently due to industrial recession, is of the opinion that the NDA Government led by TDP in the State will take steps to encourage the housing sector. The general feeling is that the loss due to development of Amaravati as the sole capital of Andhra Pradesh will be minimal as Visakhapatnam has the inherent strengths as the State’s largest cosmopolitan city comprising industry, pharma and IT sectors.

Immediately after getting back to the saddle after a gap of five years, the Chief Minister also announced the decision to develop Visakhapatnam as the financial capital. “We will put up concerted efforts to bring big players to enhance Brand Vizag,” Naidu said during an interaction with the officials at the Secretariat.

Credai Visakhapatnam Chapter Chairman KSRK Raju (Sai) told Bizz Buzz that “the new government has responded positively to boost our sector during our interaction with the elected representatives. The Chief Minister has announced the decision to transform the city as an international city and as a prominent financial hub.”

He said assurance has been given to our concerns on specifying exact areas where roads will come up as per VMRDA Master Plan so that we can plan in advance in availing of Transferable Development Rights (TDR) bonds,” he pointed out.He said they are also expecting removal of GST on land owners’ share so that they can have a major share in the joint ventures.

Planned development is another demand so that haphazard development can be curtailed. With Visakhapatnam emerging as the ninth largest economy with a GDP of $43.5 billion, the hospitality sector is expected to witness a big boom in the near future. The long stretch of coast between Bheemunipatnam, the 17thcentury Dutch township, and Visakhapatnam, is a great advantage.Further, projects like Bhogapuram International Airport and Adani Data Park being put on a fast-track mode by the BJP-led NDA Government at the Centre, good days beckon the hospitality sector,”says K Vijay Mohan, a leading travel operator. Asked specifically on the decision to develop Amaravati as the single capital of Andhra Pradesh, B Srinivasa Rao, anoted realty developer, said:“Whether capital or no capital, Visakhapatnam with its robust industrial infrastructure and good air and rail connectivity, is the ideal choice of investment in housing/plots.”

He said the scope for investment will always provide better returns in all categories of housing viz. be it affordable flats or high-end villas and apartments.

A JLL-CII report titled ‘Visakhapatnam real estate: Decoding growth opportunities’ released in 2023 had highlighted the key economic growth drivers and real estate development factors in the city. It emphasised on how the city is expected to grow across various asset classes including retail, logistics,industrial corridor, data centres, tourism and heritage.

“On one hand, there is an untapped residential market with ready demand, while on the other hand the city’s senior living market is yet to be explored to its potential,” the report stated.

There is bright scope to promote retail and co-working space areas. CII Vizag Zone Chairman Grandhi Rajesh felt that by improving connectivity to Bhogapuram International Airport before it becomes operational, the realty in the region could be given a big boost.