Land prices in Amaravati and within the Andhra Pradesh Capital Region Development Authority (CRDA) limits have rebounded to their 2019 levels within a week of the Telugu Desam-led NDA alliance’s landslide victory in Andhra Pradesh.
“Land prices increased fivefold in the Amaravati capital region between 2015 and 2019. They then dropped by 50–70 percent after the YSRC government proposed the concept of three capitals,” noted Varada Sridhar, General Secretary of the CREDAI Vijayawada chapter.
However, with the TD-led government’s return to power, there has been a 50 percent resurgence in land prices in the Amaravati capital region and a 15–20 percent increase in Vijayawada and neighboring areas.
Sridhar explained that the price of one square yard of land, which was around Rs 15,000–20,000, has now surged to Rs 40,000–50,000 on the main roads in the Amaravati capital area.
Abdul Raheem, promoter of Modern Homes Real Estate Ventures, mentioned that people began purchasing open plots at lower prices even before the election schedule was announced. Many Andhraites living in Hyderabad and other regions bought lands and plots in Gannavaram and along Bandar Road.
Raheem revealed that his company had previously sold land for as low as Rs 1,500 per square yard in Mylavaram due to uncertainty regarding the capital city over the last five years. However, prices have now increased to Rs 5,000 per square yard in Modern Homes layouts.
He added, “Just as the government is revisiting some of the structures abandoned in Amaravati over the past five years, we are refurbishing our structures in our layouts.”
Raheem also disclosed that major construction companies from Hyderabad are inquiring about large tracts of land, up to 50 acres, in areas like Kesarapalli, Mylavaram, and Nuzvid.
“Once the plans for Amaravati are finalized, land prices in the CRDA region are expected to skyrocket,” he predicted.