Kishor Pate, CMD – Amit Enterprises Housing Ltd.
Nasik has been developing rapidly over last fifteen years. This city’s multiple economic drivers include its proximity to Mumbai and its strategic location on the Central Railway main line and the Mumbai-Agra National Highway. Nasik is now a new centre of industries, commerce, administration, education, production and marketing.
Basically, Nasik has a four-fold economic configuration – pilgrimage economy, industrial economy, defense sector economy and a strong agricultural economy. In terms of industry, Nasik has three well-developed industrial estates at Satpur, Ambad and Sinnar.
The important industries situated in Nasik and its surroundings include ABB India, Mahindra and Mahindra, Gabriel, Glaxo SmithKline, LG Electronics, Samsonite, Garware, Siemens, Blow Plast, Thyssen Krupp, Ceat, Atlas Copco and TI Cycles.
Real estate development in Nasik has been taking place in a very collaborative manner. In many cases, landlords with sizable agricultural land holdings on Nasik’s fringe areas have either sold their land or entered into joint venture agreements with developers and moved farther for their agriculture activity, thus infusing land as well as capital into Nasik’s real estate market.
Residential projects such as Amit Eka by Amit Enterprises Housing Ltd. in the Pathardi area of South Nasik have been meeting with enthusiastic response, both locally and from out-station investors who find the property rates in Mumbai and Pune beyond their budgets. The areas along Pathardi Link Road are major developing residential destinations that see high demand by second home buyers.
Overall, Nasik offers very encouraging fundamentals for real estate investors. Some of the advantages it enjoys over other several major cities in Maharashtra include:
• Well-developed physical infrastructure
• Adequate and good quality water supply
• Located at one vertex of the major growth triangle of Mumbai, Pune and Nasik
• Comparatively lower environmental pollution
• Efficient intra and intercity commuting facilities
• Excellent connection with other regional growth centres
• Developed industrial estates such as Ozar, Sinnar, Satpur and Ambad in the immediate vicinity
• The Software Technology Park at Ambad
• Salubrious year-round climate
• A well-established Defense Base that gives Nasik a safe and secure social environment and also interactive national positioning with other Indian cities
• Air connectivity with national cities
• Generous and increasing availability of skilled labour
• Numerous high-grade healthcare facilities and educational institutions, also for higher and professional education
Nasik’s future in terms of investments and economic growth is very promising, thanks to several projects underway or expected to confirm operations in Nasik in the near future. For instance, Hindustan Aeronautics has short-listed Nasik as the base for its Rs. 23000-crore manufacturing plant for Sukhoi jets for the Indian Air Force.
Also, the IT/ITES sector in Nasik is rapidly becoming a force to reckon with. BPOs have begun recognizing Nasik as a very viable destination because of the lower real estate costs while at the same time being a very good catchment of educated, English-speaking talent. Several information technology companies are now firming up their plans for establishing bases in Nasik.
Private banks have been major drivers for commercial real estate in Nasik, with ICICI, HDFC and HSBC having expanded their operations phenomenally. Moreover, the Government of Maharashtra is investing heavily into the already thriving Wine Parks industry in Nasik, which is already famous for Sula Vineyard.
The general real estate trend in Nasik has been accelerating growth even in while turbulent economic conditions slowed down the markets in most other cities. This is amply borne out by the steady rise in construction and development activities.
Developers in the city are displaying remarkable vision, having taken Mumbai, Ahmedabad, Surat, Pune and Bangalore as development models, replicating what works in these cities and conscientiously steering clear of what does not.
All these factors are boosting employment and prosperity in Nasik, which directly influences the demand for residential real estate. Little wonder, then, that more and more investors are now focusing on this city. They are attracted by the low property rates and excellent mid and long-term demand projections.