JOIN USThe rise of IT in Bengaluru occurred in certain pockets and the subsequent developments in those areas were almost a direct result of the growth of such establishments. For instance, Electronic City, parts of Bannerghatta Road and almost the entire corridor of Outer Ring Road (ORR) and its surroundings have seen development primarily because of the establishment of IT and ITES firms. And one locality that is situated amid this IT bustle is Kundanahalli. An obscure name with mediocre development two decades ago, it is now one of the go-to places for those looking for homes along the ORR.
Kundanahalli is part of the Mahadeva-pura Assembly constituency, which is about 110 sq km in area. It is surrounded by areas with plenty of growth potential, like Hoodi, Brookefield and Whitefield. In the last 10 to 15 years, development activity here gained momentum due to the development of ORR and ITPL. And now, it has transformed into a residential neighbourhood with high-rise apartments, primarily in the mid-segment.
A noticeable thing about Kundanahalli is that the residential sector developed as fast as the commercial establishments. Huge investments were made by developers in both commercial and residential areas. The initial availability of large tracts of land was what aided in this development. Sanjay Dutt, managing director, India, Cushman & Wakefield, explains the breakthrough point of growth here: “One of the first buildings in ITPL became operational in 1997, with a total leasable area of approximately 1.2 million square feet (msf). Over the years, this space was augmented, and today, the ITPL campus constitutes three msf of IT and SEZ space. The development of a project of this scale played a key role in attracting companies to set up their operations in and around it. Along with the growth of commercial activity, came the inflow of employees who needed residential and retail facilities, which developers were eager to service.”
Well predicted
Also, certain prominent developers anticipated connectivity via the ORR and launched residential developments in the locality at an opportune moment. And the development of ITPL fuelled demand for residential options in nearby locations. Kundanahalli bears much similarity to other locations on the ORR, like Marathahalli and Bellandur, with respect to the kinds of residential products offered. It comprises primarily mid-segment apartments in two-BHK and three-BHK formats. The capital values range between (approximately) Rs 4,800 and Rs 5,500 per sq ft.
Prior to the launch of various IT and ITES firms, the area was predominantly
occupied by the retired community, with few industrial pockets. The connectivity to the area was mainly due to the presence of the Sai Baba Ashram in the vicinity. It is a preferred location on the ORR due to the presence of various social infrastructure. In addition to several quality schools, the presence of higher educational institutions like CMR Institute of Technology and Vydehi Institute of Medical Sciences are an added asset for those living in this part of the City. There are also several prominent hospitals in the vicinity. But the high point of Kundanahalli is probably the slew of commercial and retail destinations like Park Square Mall, Cosmos Mall and Hyper City — all within a five-km radius of the locality.
Inching closer
For those working in ITPL, proximity to work is the biggest advantage. But narrow interior roads and traffic congestion during weekdays have put a bit of a crimp in that. Tejas Suyog Vachuswar, who recently shifted to the City for his job in ITPL, says, “Initially, I lived in Koramangala. But the commute was too long. So I shifted to Kundanahalli, closer to my office. Although rents are a little expensive here, it is worth it because of the proximity to my workplace. For an eight-km ride, I take 30-40 minutes.”
Shobha Mathew, a resident of Kundanahalli for over three years, commutes to Marathahalli for work and has a slightly different opinion. “The interiors of Kundanahalli are not in great condition. The roads are small and narrow. There is always construction work going on here, which makes the place dusty and polluted as well. Other than proximity to workplace, I don’t find any reason why people should shift here,” she says.
So, what kind of home seekers is the area ideal for? “Ideally speaking, home
buyers who are looking to invest in the mid-segment category and proximity to work destinations can look for residential options in this locality. The properties here are likely to appreciate by three-five per cent annually. The rental values could range between Rs 25,000 and Rs 35,000 for two-BHK and three-BHK apartments in the locality, making it a good investment option,” opines Suresh Hari, chairman, CREDAI.