A Unique Relationship: US Economy, Indian Software Industry and Pune Real Estate

Pune, once a pensioner’s paradise has witnessed a galloping journey towards being an industrial hub in the last decade, thanks to the Indian Software Industry’s special focus on the city. Pune stands only second to the Indian “Cyber City” Bengaluru in terms of the number of ITes companies. Indian Software Industry’s major revenue comes from their American clients; therefore the real estate scene of Pune is dependent on the American economy. Owing to the recession in United States of America, the property prices witnessed a tremendous fall globally, but with the global economy gaining momentum again ITes has begun aggressive hiring once again.

The importance of the ITes industry in Pune’s facelift can be judged by a statement of Mr. D.S.Kulkarni, Chairman and Managing Director, DSK Group told reporters: “Of late, with the IT and ITeS companies once again starting to hire people. This has pushed the demand for residential and commercial properties in Pune, especially along the eastern part. In this regards, areas such as Kharadi, Manjri, Magarpatta are seeing tremendous growth.

However, the rates have remained more or less stable due to the demand pressure.” Mr. Kulkarni further added for every 10,000 recruitments in the IT and ITeS sector, at least 13,000 people, including locals, get jobs to support them in various other industries such as retail, marketing and ancillary services. According to Mr. Kulkarni “Overall, there is a 30 per cent more generation in every business and this includes realty market as well. Currently, the prices are quite stable though there is no control on land prices, there is a rise in construction cost, besides the government has hiked premium in a big way. In the future, property rates are definitely bound to rise.” Also, the demand and supply ratio paints a gloomy picture for the Indian customers; the rising interest rates come as no respite either.

Pune’s real estate scene is experiencing fanatic activity with the American economy emerging from the troughs of recession. Pune is also witnessing an escalation in the quality standards of the housing and commercial projects of the Real Estate developers and leading the race is D.S. Kulkarni Developers. DSK Developers, one of India’s leading real estate developers have a very strong presence in Pune. They have been developing dream homes for their customers since decades; their completed projects include Vishwa, 3Carnations and Garden Enclave. Some of their upcoming projects are Gandhkosh, Meghmalhar and Saptasur.