Noida Extension vs Greater Noida: Where to buy and why?

Greater Noida, informally divided into two parts – Noida Extension and Greater Noida, offers well planned infrastructure and a number of properties at affordable prices in comparison to other areas of the National Capital Region (NCR).

“Both are primarily emerging markets and had become investment hubs for property buyers with a budget of upto Rs 50 lakh,” said Aakash Aggarwal, MD, Aggarwal Associates. He further added, “On one hand, Noida Extension offers considerable supply in the multi-storey apartment category, at different stages of construction and even at launching phase. On the other hand, property seekers can get properties at ready-to-move-in and the under-construction stages in Greater Noida”.

“Projects launched around 4-5 years back in Noida Extension at affordable prices of Rs 1600-1800 per sq ft are currently selling for Rs 2,500-4,000 per sq ft, depending upon the project specifications, location and developer,” said Nitin Jain, proprietor, Prudential Realtors. “Unlike other parts of Greater Noida, where old projects have large size units, owing to lower FSI (Floor Space Index), developers have built smaller ticket size properties, which has led to significant demand from investors and end-users. However, the area still lacks a livability profile and majority of the properties are still under-construction and projects are considerably delayed. Almost zero occupancy has further push down the livability profile in the area”, said Aggarwal.

 Factors driving demand in the Noida Extension market:

-A 10-15 minutes drive from well established sectors of Noida such as 50 and 52, are primarily attracting buyers to invest in Noida Extension at affordable prices in comparison to Noida

-Connectivity to NH-24 and proximity to the commercial sectors of Noida such as 61, 62 and 63, another reason for a spurt in supply in the region

-New Supply in Sectors 118, 119 and 122, which is less than five minutes drive from Noida Extension, has further given a boost to the development in the area

-Availability of large number of options with prices starting from Rs 25 lakh, owing to availability of smaller size units across all categories (1-5 BHK)

Inspite of well laid out roads and social infrastructure, Greater Noida lacks supply in comparison to Noida Extension. This is primarily because of three important reasons:

-Less number of commercial developments

-Distance from the existing commercial hubs of Noida, lack of public transport facilities and law and order situation

-Huge area along the Noida-Greater-Noida-Expressway to Pari Chowk still to be developed

 Factors driving demand in Greater Noida market:

-Large open spaces and availability of a number of premium schools such as GD Goenka, Greater Valley School, DPS, APJ International School and many more

-Number of options in the ready-to-move-in stage for Rs 3,500-5,000 per sq ft in ETA, ZETA-1, Omnicorwn-1, Sectors Pi and Chi-Phi, giving an opportunity for earning rental returns between 2-3 per cent as per Magicbricks data

Aggarwal advices, at present the developers in Greater Noida are offering many lucrative schemes to lure property buyers. However, one should not buy property with the best scheme, but should also consider the construction quality, after sales service and delivery track record

With the announcement of the metro route in Greater Noida through Knowledge Park-II, Pari Chowk, Sectors Alpha 1 and 2, terminating at Depot Station proposed in Knowledge Park-IV; similarly, metro extension from Noida City Centre and the announcement of new stations at Sectors 50, 51, 78, 81, 101, Dadri Road, 83, 85, 137, 142, 143, 144, 147, 153 and 149 are expected to boost demand.

Past property trends indicate that announcement of transport corridors have a positive impact on the property values and buyers sentiments. However, actual demand picks up only with the commencement of the metro work.

Source: http://content.magicbricks.com/industry-news/delhi-ncr-real-estate-news/noida-extension-vs-greater-noida-where-to-buy-and-why/76658.html