Bangalore’s Real Estate prices have been influenced in interesting ways by the Namma Metro project.
Impact of Bangalore Metro Announcement Stage on Bangalore Real Estate
The announcement about proposed plans for the Metro by Bangalore Metro Rail Corporation (BMRL) allowed the first movers in the market to react. This led to a significant increase in real estate prices across the city in general. Since concrete information regarding routes and schedules was not available at the time, a general sense of optimism about Bangalore’s growth led to the price increases across various areas.
Impact of Bangalore Metro on Bangalore Real Estate in the Post-Announcement Stage
BMRCL periodically made announcements to give additional information and revise and refine the original plans. They specific information that was made available caused demand to become more concentrated along the proposed Phase 1 routes and Metro stations. This also caused demand to become less in areas which did not lie very close to the proposed routes and stations.
Short-Term to Medium-Term Impact of Bangalore Metro on Bangalore Real Estate after Metro is operational
In the short-term to medium-term (1 year after operations start to 5 years) we can expect to see some rebalancing of Real Estate prices across the city. Parts of Bangalore which is not covered by the Metro rail will not be as much in demand as the ones that Metro covers.
Long-Term Impact of Bangalore Metro after Metro is operational
While we will continue to see higher prices in routes that the Metro covers, this project is all set to give a large boost to the entire Bangalore Real Estate market in the long-term (5 years and beyond). Once the trains are operational, and as the success of the project becomes more concrete and well recognised, prices will rise higher since most of the risks and uncertainties surrounding the project have been eliminated. The project’s success will lead increased confidence in people’s minds about Bangalore’s growth in general and lead to increased prices in Bangalore city.