• Thursday, July 27, 2017

Gwadar steals attention as real estate market fluctuates

Discussion in 'CPEC' started by Tesky, Mar 31, 2017.

  1. Tesky

    Tesky BANNED

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    LAHORE:

    Pakistan’s real estate market saw a fluctuating trend in February with some areas showing growth.

    According to statistics released by Zameen.com, a property portal, investor sentiments turned towards Gwadar, which is in the limelight due to the China-Pakistan Economic Corridor (CPEC) initiative. Another preference for realty investors remained Gujranwala, as a lot of development is underway in the city and majority of the emerging societies do not come under the tax-net due to lower prices.


    Zameen.com CEO Zeeshan Ali Khan said Gwadar is an up and coming market and it has a lot of potential to offer some high returns.“I don’t find it surprising that investors are diverting their attention from Karachi to Gwadar, especially given the highly affordable prices in Gwadar projects at the moment,” Khan said.

    Lahore

    The realty sector in Lahore had nothing new to offer as the general trend remained the same as in the previous month. However, after the implementation of the new tax regime in 2016, investment activity has improved this year, with growth maintaining a steady pace.

    DHA Housing Authority (DHA) Lahore Phases I-VI showed stability with a small price increase of 0.53% and 0.70% for 1-kanal and 10 marla plots, respectively, while Phases VII-IX depicted the same trend with a 0.44% and 0.46% increase in prices in 1-kanal and 10-marla plots.

    Diverging from the pack, Phase VI did witness mentionable investment activity Bahria Town did not show any growth but Bahria Orchard made up for it by displaying moderate growth due to its recently launched Phase IV.

    Islamabad

    The federal capital is still recovering from the damage caused by last year’s tax regime and its pace of improvement is slower than other cities. Sector F-11’s prices decreased by 0.25% and 0.60% for 1-kanal and 10 marla plots, respectively, while small price increases were witnessed in January.

    In contrast to the trend last month, when prices declined, DHA Islamabad rates were up by 0.94% and 0.72% for 1-kanal and 10 marla plots, respectively. The society also benefited from an increase in commercial activity, although the improvement caused is marginal.

    Prices in Bahria Town increased moderately because Blocks M and L performed well. Block L was popular as investors could purchase their desired plot on demand while rumours of possession being granted in Block M caused prices to spike.

    Karachi

    Investment in Karachi was not as rampant as before as Gwadar stole the limelight. The city by the sea was the least affected after the post-tax scenario and showed immense potential in January, yet failed to replicate this trend the next month.

    DHA Karachi’s prices decreased a bit but still showed stability while Gulshan-e-Iqbal also displayed borderline growth and mostly stability.

    Bahria Town Karachi (BTK) successfully impressed in January and topped the charts in February as well. A 3.98% rise in prices was seen for 500 square yard plots while 250 square yard plots rose by a huge 6.57% in February due to the announcement of possession dates in some areas of the society.

    Gujranwala

    Gujranwala has shown the most variation in performance amongst the other cities. While property prices remained stable throughout the month, the end of the month witnessed outstanding growth adding up to a 6.86% and 8.29% increase in the rates of 1-kanal and 10 marla plot files, respectively.

    Published in The Express Tribune, March 31st, 2017.
     
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  2. Clutch

    Clutch FULL MEMBER

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    Gwadar is still just a speculators market where most "real estate" investors are just flipping pieces of papers (land deeds)... there still isn't any physical development because the basic infrastructure is to be built yet.

    I would advice caution till power and water issues have been resolved and brand name developers (like Bahria) are there actually breaking ground with shovels....

    Just my 2 cents...
     
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  3. Arsalan

    Arsalan PDF THINK TANK: CONSULTANT

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    By that time the prices will be in the same price bracket as they are in Karachi, Lahore or Islamabad. If someone is ready to gamble, now is the time (in fact, you are already late by a year or so). I have not invested a dime there but am really looking forward to do some little investment. The way prices are going up i think it will be a good investment. That said, i also agree that risks are there for sure.
     
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  4. Fledgingwings

    Fledgingwings FULL MEMBER

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    The Price of Land shall increase insanely once pakistan Start getting the Juice from this Cpec thingy.and ofcourse when a port city starts to develop there is always business and growth.For its people anyway
     
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  5. Verve

    Verve SENIOR MEMBER

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    I have been looking to buy in Gwadar but do not really want to take the risk without going there, selecting and closing it all myself. Will need to be in Pakistan for that. Family won't travel that far ... they prefer investing locally.
     
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  6. Mrc

    Mrc SENIOR MEMBER

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    There is nothing in western property markets... people have made fortunes in china dubai india and more recently in pakistan
     
  7. Verve

    Verve SENIOR MEMBER

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    I don't invest in West anyways ... and neither does anyone in family. Only in Pakistan.

    Land in UK is not expensive, far cheaper than in Pakistan ... but then one may have to sit on for lifetime before it leaves the 'green belt'. A few acres of forest land for appx Rs10 lakhs can be had, good for camping and outdoor activities in private area but that is that - no construction allowed on it and not for any business venture either!
     
  8. Patriotgames

    Patriotgames FULL MEMBER

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    I think, if all goes as planned and smoothly, this port city can potentially sink Dubai and other gulf countries. That is why Arabs in Gulf do not feel very comfortable about Gawader being developed and now there is Chinese investments there. Wait a decade or so and we'll find out. Gulf region is about to see a tough competition from a land that 10 time bigger than them with lot more resources. Interesting times ahead.
     
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  9. Tesky

    Tesky BANNED

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    Gwadar airport, 300MW plant, water plant, master plan etc looks like will be completed by 2020. Bahria will likely come after that.
     
  10. Clutch

    Clutch FULL MEMBER

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    Invest with smarts... a fool and his money is easily parted...

     
  11. Aawish

    Aawish FULL MEMBER

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    I wish I had some money to invest in Gwadar. :undecided:
     
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  12. ziaulislam

    ziaulislam SENIOR MEMBER

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    i would want a home at sea side, problem is safety, target killing..
     
  13. Oxair Online

    Oxair Online FULL MEMBER

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    Once Bahraia and DHA along with other Chinese property builder reach Gwadar. I am sure Karachi and many cities of Pakistan will see a decline of 10-20% within 2 years time...

    I am not clear in one thing. Will the Gwadar project going to be expanded to Jiwani city?