IT boom drives real estate into luxury market

Projects worth Rs 125 crore on the anvil

The real estate market in Chennai dominated by low-end and medium-end apartments is slowly moving to larger luxury apartments, the catalyst for the shift being the booming Information Technology sector. Arihant Foundations and Housing Ltd and Vijay Shanthi Builders are promoting two luxury residential projects worth Rs 125 crore.

Naresh Jain, executive director, Vijay Shanthi Builders, said that the company is promoting a project in Alwarpet area at an investment of Rs 50 crore.

"We are in the process of constructing 42 apartments which will be priced at about Rs 1.5 crore and 12 apartments have already booked," he added.

This property to be developed as 'Venus Apartments''was originally supposed to be developed by Alacrity Housing.

Alacrity Housing has been in financial difficulties over the last two years.

Another leading real estate builder in the city, Arihant Foundations and Housing Ltd, has acquired about six acres of property in Thoraipakkam along the Information Technology corridor.

Arihant's executive director, Kamal Lunawath, said that the company proposes to build about 300 apartments there at an investment of Rs 75 crore. The construction work is expected to start by the end of the year.