Things to Know About Buying Properties in Central Business Districts
In general, CBDs or Central Business Districts of the city are the commercial and business centers of the city. These places are also often referred to as financial districts in large metropolitan cities. CBDs in India have a steady demand for residential and commercial properties and to buy a property in these hubs has its own perks and quirks that should be carefully evaluated. Prominent Central Business Districts in major cities in India, like Nungambakkam in Chennai, MG Road in Bangalore, have seen skyrocketing development in realty sector over the years. In Chennai, flats in Pallavaram and other properties around the area have the same features and amenities of those in CBDs like T.Nagar, Anna Salai. Still, prospective properties in off-CBDs are underrated and ignored. The reason for this biased opinion is because of the infrastructural development focus on CBDs. Investors are on the hunt for certainty in the growth of property appreciation, while the end users of properties are looking for a place complete with all amenities required for quality living standards. But this trend is undergoing transformation and it can be witnessed in the demand for houses and flats in Tambaram, Porur, and ECR in Chennai instead of demand in major hubs like Nungambakkam, Kotturpuram and T.Nagar.
Pros of buying a property in Central Business Districts are:
- Connectivity to all the important hubs in the city is good in CBDs.
- Infrastructural features are better in these areas and are well maintained.
- Transportation is easier and different modes of transportation connect the location with other areas in the city.
- Preferred by high-income groups and the lifestyle in these places are amazing.
- Secure and safe for living.
- As the property rates are higher, rental returns in CBDs are greater.
- As an investment option, they assure excellent appreciation over the years.
Cons of buying a property in Central Business Districts:
- Properties in these areas are so expensive.
- With well-maintained infrastructure, high-end commercial establishments and so on, the cost of living in here is also alarmingly high.
- Chances of traffic congestions are greater in these areas and parking spaces are really hard to find.
- Numerous residential and commercial buildings in CBDs make the area dense and populated.
Vital things to evaluate for prospective buyers:
Proper research on the market:
An obvious element in the checklist is to conduct a proper research on the market. Fluctuations in price, opportunities of growth, change in trends and segments in preference should be looked into before initiating an action. Also, it is advisable to know about future infrastructural projects that might impact the property physically and aesthetically.
Auditory nuisance in the area:
If the property is in the prime spot of the CBD, then the possibilities of high noise levels are imminent. The structure should be constructed in such a way that is sound proof and keeps the nuisance away from the interiors. When buying an apartment, experts advice to opt for units from one of the top floors.
Peak hour traffic congestion:
Traffic congestions in CBDs are apparent and there is nothing that can be done about them. Worse traffic clogging even brings down the value of the property in the later stages. Parking spaces in these spots are hard to find and it is advisable to look for properties with organized and allotted parking slots.
Cost benefits in the location:
Evaluate if the price ranges of properties in the locations are fair when compared with the infrastructural status and facilities available. Compare the prices with other areas in the CBDs to arrive at a conclusion rather than deciding blindly on the first shot. Analyse the social infrastructure, means of commute available, civic facilities and so on. Apart from all these, it also important to check the neighborhood profile in the location. Find out the types of properties that are provided in the area and which one is demanded more by buyers and investors. These factors should be weighed consciously before arriving at a final decision on buying a property in Central Business Districts.
Check Key Points to Remember while Buying a Property for Investment For More points