Chennai is witnessing development works which are pushing the city’s boundaries
The metropolitan region of Chennai covers many suburbs that are part of Kanchipuram and Thiruvallur districts. While the city covers an area of 174 sq km, the metropolitan area is spread over 1,189 sq km. The Chennai Metropolitan Development Authority (CMDA) has drafted a Second Master Plan that aims to develop satellite townships. Contiguous satellite towns include Mahabalipuram to the south, Chengalpattu and Maraimalai Nagar to the southwest, and Kanchipuram town, Sriperumpudur, Tiruvallur and Arakkonam to the west. Chennai has created 100,000 jobs this year with industries such as auto manufacturing, software and entertainment leading the way to growth.
“Construction activities in Chennai are on in full swing. The state government is focusing on infrastructure projects and facilitating construction activity in the city by announcing the Second Master Plan, which has eased norms for development, providing the much needed impetus. Currently project developments are taking place in the growth corridors of Old Mahabalipuram Road, GST Road and Sriperumbathur and new project launches are catering to the mid segment,” says T Chitty Babu, chairman and CEO, Akshaya Pvt Ltd.
“Real estate development in Chennai has witnessed several transformations over the past four to five years. The resultant flood of working professionals and their families, complete with residential and shopping demands has increased the potential of urban development in the area. We see great real estate potential in Oragadam,” says R Vasudevan, MD, Vascon Engineers Ltd. Vascon is developing a 105 acre township at Oragadam.
Infrastructure projects being implemented or envisaged are desalination plants for assured 24/7 water supply, city piped gas network, metro rail, airport infrastructure up grading of existing domestic and international airports, satellite towns with a network of hub and spoke model cities in CMA region.
The city is expanding along the Old Mahabalipuram Road and the Grand Southern Trunk Road (GST Road) in the south and towards Ambattur, Koyambedu and Sriperumbdur in the west.
There is much working in Chennai’s favour as far as new developments go. “The positive factors are the sound infrastructure including ports/ airports/roads, high quality educational institutions, quality power utility, urban land banks and the low cost of setting up of operations in the city,” adds Chitty Babu.
The government has addressed a long-felt need of North Chennai with a decision to extend Metro Rail up to Tiruvotriyur. Traffic, which becomes the bane of booming economies, would be eased by this development. Metro Rail will help workers to commute to textile units, iron and scrap manufacturing enterprises, chemical industries and automobile industries that have found their way in north Chennai in the last three decades.
The widening of Ennore Expressway, conceptualised a decade ago, has been put on hold due to high costs. Surya Narayana Chetty Road is subject to heavy container movement. Many from north Chennai travel to south and central Chennai for education and even up to IT corridor for employment. Residents say that interlinking is very important and the Metro needs to be connected to the Mass Rapid Transit System.
Giving impetus to infrastructure, the state government is using geographical information system (GIS) data and satellite imagery to map the city. Mapping should be completed next year.
At the same time, the existing projects need to be spruced up to keep up with the demand. For instance, the Guindy industrial estate, one of the earliest industrial estates, is plagued by bad roads, improper planning and lack of promotion. Thirumudivakkam industrial estate near Pallavaram has been the beneficiary of this since many units have moved there. The Chennai corporation council has passed a resolution seeking acquisition of 83 interior roads in the Guindy industrial estate from the Sidco to ensure better maintenance of roads and street lights.
During the tenure of Chennai Corporation commissioner Rajesh Lakhoni 12 major infrastructure projects were initiated, out of which, six projects have been completed and six others two subways, three flyovers and one bridge – are in various stages of completion. The flyovers on Cenotaph Road, South Usman Road, North Usman Road and GN Chetty Road were completed in record speed. The Jones Road subway and Alandur causeway too have helped.
Recently Chennai received a government nod for new container terminal at Chennai Port to be built under PPP mode. The project, under the ‘design, build, finance, operate and transfer (DBFOT)’ basis has a concession period of 30 years. The terminal would handle container traffic volume of 4 million TEU per annum. The project is likely to be completed in seven years. The terminal project is part of the government’s Rs 1 lakh crore plan for expanding port capacity and development of waterways.
Developers are taking advantage of the heightened economic activity. Says Chitty Babu, “Key Ongoing projects include 0.8 mln sq ft of residential development in project ‘Metropolis’ on GST Road. We are currently developing three commercial projects; Vibgyor in Nungambakkam, as well as Domaine and Rubics Square on Old Mahabalipuram Road. Our planned project includes a 0.65 mln sq ft residential development on OMR, another residential project of 0.2 mln sq ft on OMR and a premium project in Coimbatore.”
And the future looks good too. Says Chitty Babu, “Real estate market is growing at a robust 20% yoy and the driving factors which have been contributing to this growth is the presence of a sound infrastructure including a port, the transportation system, a stable political environment. The availability of manpower is contributing to the growth both in manufacturing and the IT sector and the requirement of both working and living spaces to cater to the mentioned sectors will ensure that the growth momentum continues.”
