Villas in Trivandrum - Things to consider when you buy your villa

Over the last decade or so the construction arena in Trivandrum has seen a uptake with builders coming up with villas in various locations across the city. So what are the things to consider when you buy your dream villa in Trivandrum city or in Kerala for that matter?

Things to Consider

• Documentation - As mentioned by us in many other articles and on our website, you need to be particularly careful about the documentation aspects like ownership of land, title deed with the builder etc. to ensure that you enter into a good transaction with the developer and avoid problems in the future.

• Customization - Customization is really what makes a home unique. When a villa is customized to meet the needs distinct tastes and lifestyles of the family members, it becomes a joy to live in. Each of the villas we recommend are customized to a personal level by interior design experts ensuring you have a wonderful living experience. A developer would typically offer you a particular broad design for a property. Customizations and interior designs can be at a room level or a space within a room which could be put for a particular use. This ensures that you have the optimal living space you dreamt about.

• Transparency -  Transparency is something which should ideally be the norm in all property transactions. As a customer you must understand the total cost of the property which includes not only the cost of buying the villa but also other costs like car parking, water and electricity charges and an estimate of maintenance which would be required for the property for the next 2 to 3 years. A holistic picture can thus be obtained before you  commit your time and money to a villa project. Also ensure that the builder or developer you are dealing with has a history of ethical and transparent transactions.

• Quality of the Materials and Finishes - Beneath the facade of a luxurious villa lies the real underlying value you are getting when you consider the quality of materials and finishing which were used in the project. Home buyers are not always aware of construction nitty gritties to compare specifications of one project to another. Things like the type of paints, type of tiles and even the quality of gypsum used could determine the longevity of the construction. Do consider these aspects before you finalize on the villa and consult an architect or a reputed property consultant to understand and compare projects for these parameters.

• Optimum use of Space - Most home buyers are not accustomed to asking questions to developers about usage of space in a villa or a flat. One needs to understand the relevance of carpet and super built up area as well as talk to experts who can tell you if a design adopted is the most ideal use of space given a plot of land.  A good thumb rule is to ensure that the carpet area of the homes you buy from a developer is always a large percentage of the super-built-area.

• Facilities -  Last but not the least, the facilities that come with your villa projects needs to be considered with respect to whether the developer has a good track record of giving all the promised amenities. Some projects come with super luxury amenities and some offer the bare minimum. Do your research to understand these differences as they will have a say in the final resale value and appreciation of your villa in times to come.

A villa is not only an investment in a home but is also an investment in land and a living experience for your family. So ensure that you have done all it takes to make this experience priceless for all those involved.

Commercial Real Estate is an Opportunity of the Future in Kerala

Commercial real estate is definitely an upcoming opportunity that is coming up in the near future in Kerala. As most Malayalees prioritize land, house and apartments in that order when it comes to investing in property, most often than not the predominant thought in mind is one of residential real estate. 

What our market research team is sensing of late is a growing demand and large number of enquiries coming our way for commercial real estate spaces in Trivandrum and other parts of Kerala. One of the customers we are working along with on property development has multiple pockets of land in locations like Sreekaryam and Kesavadasapuram. The objective here was to develop a land which is usually more than 20 cents in size for a commercial real estate development. 

So why is commercial real estate hot and happening? Starbucks coffee chain, one of the biggest known brands in the world entered India this week with the opening of its first coffee shop in Mumbai. Walmart is getting ready for its entry into India and looking into end 2013 or early 2014 for all pending issues in FDI in retail to be resolved. Sooner than later the entry of these big retail chains is going to become a reality.  Just a few days back US private equity firm Blackstone inked India's biggest commercial real estate acquisition deal, which will give it 50% stake in a Bangalore builder-owned portfolio of three business parks for $200 million. Blackstone bought stake in three commercial properties totalling over 10 million sq ft — Embassy Golf link and Manyata Embassy Business Park in Bangalore and Embassy Tech Zone in Pune.

What does this mean for Kerala? Although FDI in Retail would create a huge demand for retail space in large metros especially cities like Mumbai, NCR and Bangalore, there would be trickle down effect to Kochi , Thrissur, Trivandrum and other parts of Kerala given that Kerala is predominantly a consumption driven economy.  Kerala also has a big problem with scarcity of land for quality real estate. So while possession of land in good retail localities is a definite plus, you get better value for the land by developing a commercial property in the same location.

Majority of land owners in the state owning over 20 to 50 cents of land are not too sure how to proceed further due to the following reasons:

1) Building the commercial building 2) Marketing and Leasing 3) Ongoing Maintanence.

Today consultants like Nandanam help customers with all these 3 above aspects of property  management and development, making the land owner rest in peace and earn the recurring income on commercial real estate for years to come. In cities like Bangalore the commercial real estate sector has been giving annual returns of 10-15% p.a. compared to 18-20% growth in value for residential real estate. 

However where commercial real estate stands out is once a large retailer like Walmart opens shop in an area, the lease paid on a monthly basis along with the influx of new shopping outlets in the area leads to tremendous increment in land value and rentals.

For further questions on developing and promoting commercial real estate you can contact our team.

Buying flat in Kerala - New Trends, Buying patterns, Things to Consider

Change in the Home Buying Pattern, Things to Consider for Apartments in Trivandrum

In  the last decade or so, there has been a significant change in the home buying behavior and the demographic segment buying apartments in Trivandrum and Kerala in general. 

Today a typical person buying an apartment is not always in late 50's but more so in and around 30's. Most young couples or unmarried individual's who earn a handsome salary, consider a budget flat or a luxury apartment as a future investment and likewise a means of saving. The type of apartments in demand has also changed in the recent past with families looking for more compact accommodation and facilities like swimming pools, gym, security, CCTV etc. in additional to normal features. Young couples often do their research on the internet, visit model flats and form a mindset before buying a new apartment. 

New Trends witnessed in the Apartment sector in Kerala

One clearly visible trend is much more clarity of thought with apartment buyers. Most flats built today are designed keeping in mind a particular demographic section for e.g 40 year olds with 2 kids. In such a situation architects and designers would usually prioritize and cater to larger drawing rooms and spacious dining spaces. In addition there could be three or four bedrooms depending on the size of the family. Such apartments can have square feet sizes from 1800 to 2700 sq.ft. The other clear segment are young couples or singles who prefer single or two bedroom flats from 900 to 1400 sq.ft. A usual variation is a 2.5bhk with 3 beds and 2 bathrooms. Young couples also want swanky living spaces with jogging tracks, pools, gyms etc. irrespective of their use for them or not. These features serve the aspirational values of today's young generation and they are often ready to pay premium rates for these flats compared to those that dont have them.

What builders consider while choosing a plot of land for building flats

Builders usually consider four things while choosing a plot of land for building an apartment.  These are:

• Shape of Land
• Nature of Land
• General Amenities
• Utilities

Shape of the land includes verification if the shape of the site is fit for building construction or not. Nature of the land includes ground water availability, height of the water table, if it is wet land or not i.e. if it the land is prone to flooding, load bearing capacity of the mud in the land, height of the rock bottom etc. General amenities usually considered by builders include water front, sea view, greenery etc.  Utilities include availability of water, electricity, telephone at the project site. The design team of the builders usually consider all the above four factors before deciding on the plot of land. 

Things to Consider while Buying a Flat

Furnishing and Interior Design in Apartments 

Today even children have their own views about how they want their rooms and it's interiors within a flat. Furnishing homes has opened up a large opportunity not only for interior designers but also custom decor companies making their way into India. IKEA and other retailers waiting to enter today's market is just a inkling of the huge market potential available. In Kerala, unlike some other states wooden furnitures make way into most homes, villas and apartments. Besides the use of soft and hard wood in interior design two key aspects which are often overlooked are lighting and placements. Often the average home buyer is unaware of these nuances and a majority of the population even today does custom designs of homes  or flats employing craftsmen. An alternative could be to employ the design services of a builder which comes as a package deal or work with reputed consultants who bring all the experts from kitchen to wardrobe designers as well as lighting experts to the table. These approaches can ultimately make a huge difference to the way a home looks and feels and have a positive correlation on its selling price.

Availability of Water in your Apartment

Availability of good water is one of the most common questions buyers ask while buying an apartment. With some parts of Kerala affected by water shortage and scarcity it is not surprising that this is the case. Typically in a flat, water is provided from three different sources:  

Sources of Water in a Flat:

1. Ground Water - Wells or Borewells 
2. Rain Water Harvesting - This is facilitated by water stored underground in a tank to be used later
3. Kerala Water Authority water - This is the water supplied by the Kerala Water authority.

As per studies, the water requirement per person on a daily basis is around 100 to 120 litres of water. This water could be used in the flush, for gardening, for washing cars and for other purposes. In a well designed and architected building, the drinking water is provided through Kerala Water Authority or it is stored in Special Tanks from where it is supplied to all the apartment units. You must always check with the builder about the water supply in your apartment before buying your flat. As a benchmark, think about this. An apartment building in Trivandrum with 100 units will require about 12000 litres of water in a given day. If the apartment is equipped to handle water recycling and it avoids unnecessary wastage, then this could have a huge implication on water availability through out the building even in times of drought or water shortage. 

Documents to be verified while Buying a Flat

The following things are important to consider while buying a flat. Usually before constructing a flat the builder can operate in two ways - either as the land owner or as the developer. As a customer you must consider if the land ownership documents are available with the builder or not. Other items include the total built up area (Saleable area), Common area etc. which the builder should inform you about. The builder should also obtain approvals from the local body, the Pollution Control Board, Fire and Rescue department's Fire NOC (No objection certificate), Local body building permit etc. 

The land title will be in possession of the builder and the customer can ask the builder for it to ensure that the land owner does not create an issue later about encumbrances. You must also understand if the land tax receipts, building permit certificate, local body occupancy certificate, fire noc etc. has been obtained by the builder or not. 

Once you occupy your apartment you would need to get receipts for electricity and water deposits, building tax etc. and the builder would do an ownership change to you. The builders liability really ends only when the apartment owners association has been formed and the maintenance of the flat has been handed over to the association. The hand over usually happens 3 to 6 months after the flat becomes ready for possession.

Kerala Blog - All Things Real Estate - Trivandrum, Kochi and Calicut

A blog that promises to offer the Malayalee in Kerala and Abroad , the real meaning of "Real Estate"

When Nandanam Consultants started out on this journey of blogging about real estate with a special focus on Trivandrum and Kerala, we were in for a surprise. We were really stumped to see the interest and the curiosity of our readers especially Malayalees from all over the world, interested to know about Kerala and Trivandrum in general. The thousands of views our blog garners on a daily basis keeps our enthusiasm going and our mood upbeat. Many a days, we get calls  from those readers, who relate to some of the challenges home buyers face during the home buying process.

Real estate classifieds are excellent venues for sellers to display their properties, most often for a small fee or none at all. However it was discomforting for us to hear from buyers that despite a plethora of Kerala real estate websites and Kerala real estate classifieds which lists out one property after the other, the buying process has really not been simplified. In fact buyers get more confused, frustrated and unsure as the process lingers on more than expected. Also many a buyer who spoke to us, lost their patience searching through a number of sites and listing down their property, only to realize later that its been sold out. 

Only if these classifieds had really spelt out the available units, the process would have been much more simpler. Our tracking algorithms, on a daily basis updates the units available in a given property. This information is cross checked with the builders or the property owner so that we never miss the bus when it comes to only discussing those properties which are available.

Now back to our blog. Broadly we try to focus our articles in terms of investor tips, financing, advice, feedback about projects and market information that helps our customers and all Malayalees make prudent real estate decisions. Although at the moment we retain our focus mainly on the Trivandrum market, in time, we would spread out and add more articles concerning Kochi, Kozhikode and all the central and northern districts in Kerala.

In the interim , we would continue to do our annual and quarterly surveys of the markets, to gauge where it is moving in terms of prices and fluctuations. We would also publish our bi annual real estate reports, covering our most important and popular articles and research studies about the Kerala real estate market.

We are also glad to share with some of our readers, that we are shortly bringing on board PhD interns to do some real slice and dice and complicated analytics on the data we have gathered. This we hope will further bridge our gap in understanding the real estate market dynamics in Kerala  and Trivandrum and ensure we bring amazing value to our customers.

We hope you enjoy the articles posted on our blog and we eagerly await your feedback on these articles. Until next time, Cheers!

Apartments in Trivandrum - Projects by various builders across locations

Apartments in Trivandrum and complete list of builders in Trivandrum by five promising locations

A recent survey conducted by the market research team of Nandanam Consultants, across 64 locations in Trivandrum over a period of two months did a deep dive of projects by various builders across Trivandrum. The locations are listed in the descending order of the number of projects on going.

You can also contact us for our comparable analysis  and feedback, which can help you compare projects and apartments across price points, quality and locations in Trivandrum. This will help you understand which projects would offer same value or appreciation at similar budgets.

Given below is the list of builders, villas and apartments in Trivandrum across the top five locations which have the maximum number of ongoing or completed projects. These locations are Kazhakoottam (Technopark), Pattom, Kowdiar, Vazhuthacaud &  Sreekaryam. 

If you are looking to buy a property (new or resale apartment) in any of the other locations in Trivandrum like Kariyavattom, Peroorkada, Poojappura, Vellayambalam and Kuravankonam, Menamkulam, Sasthamangalam, Ulloor, Vattiyoorkavu, Mannamthala, Akkulam, Kesavadasapuram etc. do contact our team for advice on ideal prices. Our matrix of 56 builders across 64 locations can pin point the projects or properties in Trivandrum that fit your criteria of budget, lifestyle and other aspirations you may have from your home.

Location: Kazhakoottam - Villas and Apartments

Builders with apartments (descending order of count of projects) in Kazhakoottam, Trivandrum: Oceanus, Favourite homes, SFS, Kristal, Skyline, Cordial, Creations, Future, SRK, Vijaya, Asset Homes, Aswathy, Big Infra, Condor, Confident, Goel Ganga, Nikunjam, Heera, Olive and RDS builders.

Total number of apartments or villa projects ongoing/completed at Kazhakoottam, Trivandrum: Approximately 30

Key Projects

• Oceanus Apartments - Oceanus Bluemount  (103 units, 1211 to 1660 sq.ft., G+ 14 floors), Oceanus Serenity (79 units, 1147 - 1440 sq.ft., G +9 floors), Oceanus Rainbow (65 units, 1613-1717 sq.ft., G + 10 floors), Oceanus Elite  (G+10 floors, 969 TO 1273 sq.ft., 77 units),Oceanus Bliss
• Favourite Homes Apartments and villas - Dream Castle, Spring Fields, Golden Cascade, Blue Nile (Villas)
• SFS Apartments - SFS Iris, SFS Cyber Palms (Silver), SFS Cyber Gold, SFS Cyber Gateway Eden
• Kristal Builders - Kristal Onyx, Kristal Pearl, Kristal Tech Park View
• Other Apartments & Villas - Heera Infocity, Skyline Domain, Ganga Constellaa,  Infranest Kazhakoottam, Confident Phoenix II, Aswathy Gardens, Creations Nakshatra, Spring Fields (Villas), Asset Signature, Condor Cyber Gardens,  Big I, Nikunjam I Park, Cordial Cyber Castle Queens

*Square feet rates across apartments at Kazhakoottam - Rs.3500 per sq.ft - Rs.4500 per sq. ft based on location, utilities, specifications and amenities.

Most home buyers would find Kazhakoottam rates to be quite affordable at this point especially in the under 50 Lacs bracket, considering the supply of new units becoming available. One could consider buying an apartment within a distance of 2 Kms of Technopark even at slightly higher value, if it can be afforded, since these are likely to appreciate much more. Rates are likely to increase in the area after 2013 if market growth kicks in again in India, due to FDI investments.

Location: Pattom - Villas and Apartments

Builders with apartments (descending order of count of projects) in Pattom, Trivandrum: Samson and Sons, SFS, Heera, Artech, Favourite, MYS, Nikunjam

Total number of apartments or villa projects ongoing/completed at Pattom, Trivandrum: Approximately 18

Key Projects

• Samson and Sons Apartments - Yellow Sapphire, S&S Block I - IV, Nova Castle 
• Heera Apartments - Heera Castle, Heera Point, Heera Central, Heera Twins
• SFS Apartments - SFS Pattom Square , SFS Mynt, SFS Maple Heights, SFS Mayfair
• Other Apartments and Villas - Artech Florenza, Artech Enclave, Favourite Dew Drops, Nikunjam Imperial Court, Pentagon Colony, Nikunjam Imperial Court, MYS Builders Pentagon Colony

Location: Kowdiar - Villas and Apartments

Builders with apartments (descending order of count of projects) in Kowdiar, Trivandrum:  SFS, Heera, SI, KGS, Nikunjam, Prime, Samson and Sons, Mansions

Total number of apartments or villa projects ongoing/completed  at Kowdiar, Trivandrum: Approximately 16

Key Projects

• SFS Apartments- SFS Fairway, SFS Kingswood, SFS Palace Court, SFS Wimbledon
• Heera  Apartments- Heera Grace, Heera Velmont 
• Other Apartments and Villas - SI Amrith Dale, SI Belhaven Gardens, Mansions Serene Square, Mansions Sanskriti, Prime Properties Blooms (Villas), Nikunjam Fortune, Samson and Sons PR Enclave, KGS Kowdiar Gardens

Location: Vazhuthacaud - Villas and Apartments

Builders with apartments (descending order of count of projects) in Vazhuthacaud, Trivandrum:  Artech, Heera, Astride, Condor, Mansions, Powerlink, SFS

Total number of apartments or villa projects ongoing/completed  at Vazhuthacaud, Trivandrum: 15

Key Projects

• Artech  Apartments- Artech Centrix, Artech City Meenakshi, Artech City Kalyani, Artech TN Samruddhi
• Heera Apartments- Heera Grand Villae, Heera Gate, Heera Park
• Other Apartments and Villas - Astride CSM Enclave,  SFS Fairmont, SFS Melody, Condor Marigold, Mansions Nina Residency, Powerlink Panera, Cordial Shroffs

*Square feet rates across apartments at Vazhuthacaud - Rs.4500 per sq.ft - Rs.6500 per sq. ft based on location, luxury, utilities, specifications and amenities.

Location: Sreekaryam - Villas and Apartments

Builders with apartments (descending order of count of projects) in Sreekaryam, Trivandrum: Heera, SI, Artech, BCG, Big Infra, Chevron, Desai, , Kristal

Total number of apartments or villa projects ongoing/completed  at Sreekaryam, Trivandrum: 11

Key Projects

• Heera Apartments and Villas - Heera Dreams, Heera Towers, Heera Vastu Hills (Villas), Heera Gardens (Apartments and Villas)
• Other Apartments and Villas - SI Endura, Artech Alliance, Kristal Sapphire, Desai Diamond District, Chevron Rivulet (Villas), Big Exotica, BCG Horizon

Making a Difference - Real Estate Agents and Consultants in Trivandrum

What makes us one of the top real estate agents and brokers in Trivandrum?

Strive for perfection to be the No.1 real estate advisory in Trivandrum

A leadership par excellence, some of the best talent in the real estate industry from Kerala and India, an information hungry company and a constant endeavor to be sensitive to our customer needs, is what keeps Nandanam among the top real estate agents or consultants in Trivandrum. Our CEO started with a mission to "Make real estate buying or selling a hassle free experience for our customers." 

In developed countries, a real estate agent is a person with a state/provincial license to represent a buyer or a seller in a real estate transaction. Also most agents work for a real estate broker or a realtor. In the India, the concept is a little different with agents, brokers, realtors all meaning more or less the same and the sector is highly unregulated.  Which makes it difficult for customers to identify and work with an agent who has complete knowledge of real estate market and the communities. 

An agent must be someone who is not only familiar with local zoning and tax laws, but also with various aspects of financing. When hordes of customers from across the world see our website and blog and call us daily, we give them advice, inspiration and our agents listen to them with keen intent. For us, some needs are stated and some are unstated and that is really what makes a difference to a customer when his or her wishes are fulfilled at the end of the day. 

Our Differentiators

1) Leader par excellence - Our leadership lead by a veteran leader in Mr. Ramachandran, with widespread exposure to multiple sectors like Television, Media, Construction and Manufacturing, ensures that we follow a completely professional and  transparent approach when it comes to real estate buying and selling. Mr. Ramachandran has not only got amazing exposure to marketing and finance, but also represented Asianet in multiple divisions like Cable, Satellite, Channel, Broadband etc. which makes him a consummate expert in his field.

2) The Best Talent in the Industry  - We recruit and hire only the best talent in the Industry, from Kerala and Abroad to drive our business. Our agents are experienced, proficient in English and Malayalam and excel in their interpersonal and communication skills which complements their inherent expertise of the Trivandrum real estate market.

Our marketing team consists of some of the best marketing minds with Masters degrees from University of Virginia Tech, US (to drive our technology and marketing) and Business Degrees from S.P.Jain Institute of Management and Research and other top institutes in India. This enables us to give a 360 degree marketing coverage to our customers via print, online (social and web marketing) and traditional marketing channels like TV and radio. 

3) Connecting you with the right and potential buyers and sellers in Trivandrum -  Many a times a gullible customer due to paucity of time or other needs, ends up closing a real estate deal at a much lower price than ideal. This is primarily due to lack of holistic market understanding.  Our database of the most potential buyers and sellers in Trivandrum for any given market segment and price range (obtained from our comprehensive real estate surveys) means that our customer is the real winner at the end of the day

4) Real Time market information on Trivandrum at our agents disposal - We pride ourselves on equipping our agents and brokers with the most up to date information on the Trivandrum real estate market. We not only do macro studies but also micro analysis of the market with deep dives on apartment projects, villa's and property transactions over a historical period. We use statistical tools to deepen our understanding of a micro market and its characteristics in Trivandrum, so that our agents can make best use of available information and their empirical judgement. 

Some of our survey results are published on our blog for everyone to read.  We believe information with our agents gives us the cutting edge in helping our customers buy the best properties at the right price.

5) Exclusivity and Focus on Trivandrum -  Our exclusivity and focus on the Trivandrum real estate market helps us keep abreast with the property trends and fluctuations. Our real estate heat maps, tell our agents how many transactions are happening in various parts of Trivandrum which ensures we inform our customers on the most ideal locations to buy property and for sellers on the best time to sell a property.

6) A consultative approach to real estate buying and selling - We adopt a consultative approach to real estate buying and selling, which inherently means that we spend additional time with our real estate customers understanding their needs and keeping the focus clearly on meeting their aspirations and not on closing real estate deals. Our shortlist of the best properties in the Trivandrum market, more often than not, meets our customers dreams, however our agents are prepared to go the extra mile to identify the property in Trivandrum which truly makes a difference to our customer.

Yeh Dil Maange More (Hindi)...

Last but not the least, what keeps our real estate agents motivated and craving for more are the smiles of our happy customers. More than 80% of our business comes from referrals, through those customers who recommend us to their friends and families. We consider this as a mark of trust and conviction they place on us , to fulfill their needs and aspirations to buy their dream home in Trivandrum or Kerala.

Kerala Real Estate 2012 - Predicting the future and Investing Smartly

The year 2012 for Kerala and for India in general has been one filled with scams, news of corruption and fear of a brewing bubble among real estate investors. For Kerala home buyers, there was no way of checking the veracity of claims made by developers when it came to new projects, costs, fair value of land in Kerala. More than 50% of home buyers we spoke with during our surveys,  were tentative in their approach and unsure if they should invest in real estate at this time, when markets like Kochi were tanking. As projects got delayed, developers earned the wrath of families who had the dream of entering a new home.

When we clubbed together Kerala real estate investor concerns into major categories few of them stood out:

• Fair reviews about developers and projects - Whom should I believe before I buy a home? The marketing executives or the advertisements or the agents?
• Should I park my money in real estate or should I look at mutual funds or gold or some other avenues?
• What is the realistic appreciation for the property and which location should I buy my next property while investing in Kerala or Trivandrum?

A closer look at the above investing parameters will tell you that some are qualitative in nature and others are quantitative. When it comes to investing in real estate in Kerala in 2012 we believe it's a combination of science and art.

The Art - Like an expert artist sways his brush to make the perfect portrait, an experienced real estate investor knows from his empirical judgment whether a property is worth going for. And none have made it bigger than Donald Trump who earned millions by investing in real estate.Trump wrote a book called THINK BIG which is quite a motivator for not only real estate investors but all businesses and people alike. Many would say Donald Trump is like an artist who knows his art quite well. You can draw analogies of similar worldwide personalities from across different sections of society, like Warren Buffet who mastered investing in the stock market. 

The Science - When it comes to the science of investing in real estate, you need to be armed with data and information. Not only do you need information on historical sales values, trends and growth figures, but you also require information on the future i.e. predictive forecasting of property values considering macro and micro economic trends in the market. Human beings can do these predictions only to a limited extent. But today software has evolved to a considerable extent making such tasks much easier.

Which is why, some of our analytics guru's at Nandanam use tools like SPSS Statistics and SPSS Modeller and the like to do predictive modelling scenarios and come out with results which to a large extent accurately foretell the future.

So what does this mean to a real estate investor in Kerala? When we use historical data, spanning  many years in the past and draw realistic future estimates by considering interest rates, investments, projects, rentals, expat growth and many other inputs, we reach a point where technology tells us what the future might be like in 2014 or 2015. Of course predictions can be made as long as 10 or 20 years down the line, however these may not be as useful considering how fast things could change in today's real estate world in Kerala and in India.

A combination of art i.e. empirical judgement of our real estate agents coupled with science, which combines data and information to present a future scenario, is the right mix that one needs to accurately conclude whether a property is worth an investment or not.

With many setbacks which people have apprised us about while investing in real estate in the recent past, it is worth considering, whether you have all the information at your disposal to make a prudent investment. If not, a simple call to a reputed real estate consultant, might just be the right approach to take to ensure a secure future for you and your family. 

Trivandrum Real Estate 2012 - Apartments in Kazhakoottam, Kerala

Property, Projects, Real Estate Trends and Price analysis of Apartments in Kazhakoottam, Trivandrum, Kerala

A recent survey conducted by the market research team of Nandanam Consultants, across 64 locations in Trivandrum over a period of two months, analyzed the following trends in each of these small micro markets in Trivandrum. 

Our survey methodology included focus group discussions, email, telephonic interviews, questionnaires, and meetings with reputed developers who operate out of these micro real estate markets in Trivandrum. We used regression and statistical modeling methods to arrive at a cause effect relationship and understand the underplay between factors that affect property prices in the Kerala and specifically the Trivandrum real estate market. What follows below is an executive summary of the property trends at Kazhakuttam and areas surrounding Kazhoottam. For an indepth understanding of Flats on sale at Kazhakoottam, buyer feedback, price determinants in Kazhakoottam, builder reviews in Trivandrum, and apartments in Trivandrum, please reach out to the Nandanam team.

About Kazhakuttam - Source Wikipedia

Kazhakoottam (Malayalam: കഴക്കൂട്ടം) is a locality in Thiruvananthapuram city, the capital of Kerala, India. It is located on theNational Highway 47 on the way to Kollam from the city, and has gained in significance because of proximity to Vikram Sarabhai Space Centre, and, Technopark,the IT center which is the first and largest of its kind in the country. The Sainik School is also situated in this area. Kazhakoottam is the first ward of Thiruvananthapuram Corporation.

Our analysis of the Kazhakoottam, Trivandrum real estate market covered the following aspects: 

1) Evaluation of new and ongoing projects by developers and builders at Kazhakuttam in Trivandrum. 

2) Forecasting calculations on the number of units being created afresh and that are outstanding to be sold at Kazhakoottam based on available market data.

3) Survey of home buyers who purchased flats at Kazhakuttam or those who took houses on rent in the Kazhakoottam market in the past one year and their feedback on rents, price and overall living conditions at Kazhakoottam.

4) Analysis of Flats for Sale at Kazhakoottam and the average sales value of Flats in Kazhakootam per sq.ft.

5) Occupancy levels on apartments in Kazhakoottam area and factors affecting home rentals and occupancies.

Flats for Sale at Kazhakoottam, Trivandrum

Our team looked at existing and ongoing or recently announced projects at Kazhakootam with a focus on the 2011-2012 time frame. Of the total of over 250 projects which are under construction at the moment in Trivandrum, Kazhakoottam has a pie of 30 projects which is about 12.5% of the total construction activity in Trivandrum. That's a massive number for a small city like Trivandrum which means that out of a total of about 35,000 units which are under construction all over the city, approximately 4000 units are coming up at Kazhakuttam. 

Occupancy levels, Rentals and Sales Price of Flats at Kazhakoottam, Trivandrum

Our forecasts based on samples collected, showed that on an average, units which are within 1.5 to 2 km radius of Technopark or Infosys campus at Kazhakootam, recorded occupancies higher than 75% which means that there is a real demand for apartments in close proximity to the IT hubs. Results also showed that factors like amenities present, nearby schools, quality of homes also played a role in occupancy levels. Outside the zone of 2 Kms to the IT hubs, occupancies varied with a negative correlation to distance from the offices as well based on values of flats. Luxury flats above 1cr, showed less occupancy indicating that some where bought for investment purposes. Highest occupancies was usually for 1 or 2BHK apartments at Kazhakootam. Luxury housing was usually preferred by senior management of IT companies with employees at mid and junior levels going for 1 or 2BHK options. Employees from companies such as TCS, Infosys, Oracle and US Technologies formed the majority of occupants at flats near Kazhakootam, Trivandrum

Historical Sales values as per data collected by us for flat and home transactions from 2010 -2012 showed that, compared to earlier trends, currently Kazhakootam offered deals to home buyers in the 40-65 lacs range predominantly for apartments. The area had property values at 2500 per sq.ft in prime locations prior to 2008, but has crossed over to 4500 per sq.ft. for these properties as we enter 2011-2012.

Rentals varied with property and ranged from Rs.8,000 - Rs.17,000 for 1BHK or 2BHK apartments based on proximity to Technopark, area in sq.f.t, furnishing in the apartments, closeness to utilities and amenities offered.

Size of the Units of the Apartments on Sale at Kazhakoottam, Trivandrum

For a majority of 4000 units coming up at Kazhakootam, the average unit sizes are 2 Bedrooms ranging from 910 - 1100 sq.ft. with a median of 950 sq.ft. Most of the units tended to be over 1000 sq.ft. and developers  in Trivandrum seem to have gone for this as a benchmark when designing and architecting the units. Kazhakootam also offers units across the 1BHK and 3 and 4 BHK ranges, the former with single bedrooms and the latter catering primarily to the affluent sections with prices ranging from 60 lacs to 1cr+ for some apartments.

Developers and Builders at Kazhakoottam, Trivandrum

Interestingly over 19 builders out of the 56 builders (i.e. about 33%) in Trivandrum seem to having an eye on the pie at Kazhakoottam in the list of 30 projects coming up, showcasing that no one wanted to miss out on the real estate action there. The underlying effect seems to be a hungry scout for lands in the Kazhakootam region for these projects and price escalations of even 100% for lands in areas with close proximity to Infosys and Technopark in the last one or two years.Our survey also showed that no single developer was willing to put all eggs in one basket and barring a few, none of the developers had 3 or more projects underway at Kazhakootam, with most focussing on a single apartment or villa project at Kazhakoottam. 

Developers with projects underway at Kazhakottam (with respect to number of projects in descending order are): Oceanus, Favourite homes, SFS, Skyline, Cordial, Creations, Future, SRK, Vijaya, Asset Homes, Aswathy, Big Infra, Condor, Confident, Goel Ganga, Kristal, Nikunjam, Olive and RDS builders.

Luxury Real Estate - Villas and Apartments on Sale at Kazhakoottam, Trivandrum

Going by the true definition of luxury real estate at Kazhakootam, few of the projects completed and very few ongoing had amenities which could fit the bill to enter into the real luxury segment. SFS Cyber Palms project took the icing on the cake across all the projects, not only with CRISIL 7 star ratings, but with home buyers in the property expressing extreme satisfaction on their purchase, amenities offered and real estate appreciation.

The property also earned 8 out of 10 credits in our survey with existing lessee's in the project, interested in buying homes if available at reasonable prices in this project. Some projects like Heera Infocity, SFS Cyber Palms, Big  Infra and Asset Signature, seems to have earned significant mind-share of prospective home buyers who are looking for an investment in the area, and many were ready to pay extra to buy their next property if available at a good price in one of these four projects.

Assessing risk of buying projects in Kazhakoottam, Trivandrum

We are constantly faced with uncertainty, ambiguity, and variability especially for home and real estate investments. And even though we have access to information, we can’t accurately predict the future. Monte Carlo simulation (also known as the Monte Carlo Method) lets you see all the possible outcomes of your decisions and assess the impact of risk, allowing for better decision making under uncertainty.

We used Monte Carlo simulation and other techniques available with statistical tools to estimate risks to a home buyer based on property trends and price values in Kazhakoottam, Trivandrum and comparing it with the Trivandrum and Kerala real estate market. The risk quotient varied significantly based on timeliness, price ranges and depending on if the property was being bought for investment or stay purposes. Overall it showed that Kazhakootam may not be ideal for an investment in a second flat since projects were getting delayed due to lower number of transactions in the last year or so and also due to a slow growth phase in the IT sector. Our real estate agents and experts point to looking for value deals at Kazhakoottam, and making prudent decisions based on location, services, quality and delivery. You can also contact us for our comparable analysis which can help you compare projects across Trivandrum which might offer same value or appreciation like Kazhakootam at similar budgets.

Summary of our analysis for home buyers at Kazhakoottam, Trivandrum

For those home buyers who entered and bought properties at Kazhakootam, in the pre-2010 time especially 2006-2010 phase, seem to have got good value for money for their investments, especially if the projects were from reputed builders, and were completed in the stipulated time. Some buyers expressed their deep dissatisfaction with a few builders who handed over projects 2 to 3 years later than promised. Our advice would be to talk to a reputed real estate consultant, especially if you are keen on Kazhakootam and are looking at the existing inventory available there. For all you know, there might be a couple of great deals for you to invest in at Kazhakootam!

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Property trends & heat map by Location in Trivandrum

A detailed analysis of apartment and villa projects done by Nandanam Consultants across 64 locations and 52 developers who operate out of Trivandrum city, throws out some interesting statistics.  Kazhakootam, in trivandrum leads from the front in the property arena with over 30 projects and a minimum of 3000 to 4000 units coming up there in the next 2 to 3 years.  Following Kazhakootam is Pattom, Kowdiar, Vazhuthacaud and Sreekaryam although these come in at distant second, with less than 50% of units being created compared to that of Kazhakoottam. 

Other upcoming areas which are grabbing attention of various developers are Peroorkada, Poojapura, Vellayambalam, Kuravankonam, Menamkulam, Vattiyoorkavu and Sasthamangalam. Areas which have reported 4 or lesser number of projects in the past few years, are those which have potential in the future as the city grows.

Zonal Analysis: We divide the areas in Trivandrum which have higher real estate activity into three zones, namely 

• Zone 1: More than 1000 units being created in next one to two years; 
• Zone 2: More than 500 units being created in next one or two years 
• Zone 3: Minimum of 100 units being created in the next one or two years.

Areas under Zone 1 include: Kazhakootam, Pattom, Kowdiar, Vazhuthacaud, Sreekaryam

Areas under Zone 2 include: Kariyavattom, Peroorkada, Poojapura, Vellayambalam, Kuravankonam, Menamkulam, Sasthamangalam , Ulloor, Vattiyoorkavu

Areas under Zone 3 include: All other locations in Trivandrum as mentioned in the table below.

Recommendations: 

1. A large number of units i.e .over 4000 being created in and around Kazhakootam means that investors should be prudent and look for value for money investments in the area. Today Kazhakootam offers value units in and around 30-35 Lacs for those looking for budget apartments. The objective of such large inventories near Kazhakootam is to serve the IT audience which might start living there in a few years. These 4000 units can easily accommodate an additional 100,000 individuals/families in the city. For someone looking to buy a second apartment, other areas in Zone 1 or Zone 2 might be good to consider instead of Kazhakuttam given the huge oversupply that could come in a few years.

2.  For other areas in Zone 1 like Kowdiar, Vazhuthacaud etc. our advise would be go selective and choose builders based on reputation, expertise and timely delivery. Projects in these areas are likely to run into 4500-6000 per sq.ft. and hence one has to make a wise decision on the project based on locations, rentals etc.

3. Areas in Zone 2 and Zone 3 offer choices for home buyers with a wide variety of options and choice of locations. Developers usually have multiple parcels of lands in a given area, so one might see multiple projects by the same developer in Zone 2 and Zone 3 areas. To get more choice a home buyer could keep his options open when it comes to these zones and choose the investment that meets his or her needs.

Before you buy your house or apartment do consult our experts on which locations in Trivandrum makes sense to invest in, based on projects under construction or those in the pipeline. This will enable you to make a prudent decision and not commit to a property, if there is oversupply and avoid paying more than required to buy a property in a area which might not have enough end user demand.

Location	No of Projects	Min Units
Kazhakootam	30	3000
Pattom	18	1800
Kowdiar	16	1600
Vazhuthacaud	15	1500
Sreekaryam	11	1100
Kariyavattom	9	900
Peroorkada	7	700
Poojapura	7	700
Vellayambalam	7	700
Kuravankonam	6	600
Menamkulam	6	600
Sasthamangalam	6	600
Ulloor	6	600
Vattiyoorkavu	6	600
Mannamthala	5	500
Akkulam	4	400
Kaimanom	4	400
Kesavadasapuram	4	400
Kumarapuram	4	400
Nanthancode	4	400
Pettah	4	400
Peyad	4	400
PTP Nagar	4	400
Ambalamukku	3	300
Jagathy	3	300
Thampuranmukku	3	300
Balaramapuram	2	200
Enchackal	2	200
Kudapanakunnu	2	200
Mudavanmugal	2	200
Nalanchira	2	200
Paruthippara	2	200
Perunthani	2	200
PMG	2	200
Pongamoodu	2	200
Thycaud	2	200
Vanchiyoor	2	200
Anayara	1	100
Choozampala	1	100
Gandhipuram	1	100
Kachani	1	100
Kaniyapuram	1	100
Kanjirampara	1	100
Karamana	1	100
Kattanam	1	100
Killipalam	1	100
Kovalam	1	100
Kuzhivila	1	100
Marapallam	1	100
MC road	1	100
Mukkola	1	100
Museum	1	100
Muttada	1	100
Nedumangad	1	100
Ngandoorkonam	1	100
Ootukuzhy	1	100
Pattoor	1	100
Pothencode	1	100
Powdikonam	1	100
Puliyarakonam	1	100
Thirumala	1	100
Vattapara	1	100
Maruthamkuzhi	1	100
Thiruvalla	1	100