Guide for Commercial Real Estate Sector in Avadi

Avadi is a famous region in Chennai, well-known for its massive growth in the industrial sector. Besides, the region is also famous as an educational hub. The Chennai Government has taken several beneficial steps to upgrade the infrastructure of this place and make the city more attractive in every aspect.

The lifestyle of people is quite lavish here and the demand for commercial plots is also high. There are multiple famous schools and colleges in this region. Further, the area is solely filled with IT parks with lots of offices, commercial places, and business places. 

To maintain a great lifestyle, the area has significant development in the transportation and socio-economic system. Overall this place is quite apt for your commercial real estate investment. Keep scrolling to know more.

Reasons to Invest in Avadi Real Estate

Here are a few reasons you need can consider while investing in commercial real estate in Avadi:

• Industrial Opportunities

Avadi is a place of the industrial boom with a massive setup of IT parks, and manufacturing companies. Besides, the automobile industry is also very affluent in this region. In addition, this region is just 7 km away from Ambattur Industrial Estate. Sriperambudur – Irungattukottai Sipcot Industrial Park is also just 22 km away from this region. Apart from these, Defence Industrial Corridor also deserves special mention. Thus, commercial real estate investors can find this region prosperous.

• Seamless Transport

Being on the verge of industrial advancement, this region is blessed with a great transportation system. Chennai Outer Ring Road, Chennai-Tiruttani Highway, etc. have perfectly connected Avadi with different parts of the state. Besides, the local transport system is also quite fluent and available in this region. So, demand for commercial plots is considerably high in this region.

• Educational Hub

There are multiple famous schools and colleges in Avadi. Among them, engineering training institutes are the most popular. So, many students come to study here which has raised the necessity of commercial plots like hostels, students’ messes, etc. Besides, several educational institutions are also emerging in the surrounding areas. Thus, it is also a beneficial factor for commercial real estate investors.

Commercial Real Estate Investment Opportunities in Avadi

Some popular regions where you can invest in Avadi are:

• Alinjivakkam

As a popular region in Chennai, most of the localities in Avadi have a great infrastructure. In this context, the Alinjivakkam region can be a great choice. Sri Krish International School is situated in this region which is another reason for its popularity. Apart from this, the transportation system is also very smooth in this region.

• Tharamani

The commercial real estate sector in Avadi is becoming so prosperous because of the continuous growth of the IT hub. The region of Tharamani is also popular for this reason. Ascendas IT Park is there in Tharamani which is the source of jobs and opportunities for several people and businessmen nearby. Besides, the social arrangement is also quite nice here. Commercial property rent in Tharamani starts from ₹4000 per sqft.

Things to Consider Before Purchasing a Commercial Property in Avadi

Here are a few things you need to consider while investing in Avadi:

• Proximity to IT parks

If you are going to invest in commercial real estate in Avadi, plots near IT parks and the industrial area will be perfect for you. These areas are super busy and there are a lot of opportunities that you can enjoy as benefits. Besides, you will easily find tenants in these areas.

• Lease Agreement

You should carefully go through the lease structure before opting for investment. It will help you to understand all legal sections and also help you to understand how much you can earn profit. Moreover, you will have a great bonding with your tenants with a proper lease structure.

• Amenities

While going for commercial real estate investment, you should consider the available amenities of the particular region. You should invest in such an area that has a lot to offer and where expanding a business will be easier with several beneficial amenities.

• RERA Verification

RERA verification is the most important thing you should consider while buying any property. By checking RERA you can get every necessary information about the project and can proceed accordingly. To check the RERA-registered projects in Avadi, you need to go to the official portal of TNRERA.

Stamp Duty in Avadi

The stamp duty charge in Avadi is as follows:

Registration Charges in Avadi

Avadi Commercial Real Estate Sector: What’s the Forecast? 

The latest development in Avadi that can benefit commercial real estate investors widely is the building of Tidel Industrial Park. The park is getting built on a huge 10-acre land with multiple advanced facilities. The project is happening on MTH Road at Avadi-Pattabiram and the project is worth ₹230 crore. It is expected that with the successful completion of this IT park, a huge number of people will get different job opportunities here which will influence the commercial real estate sector in this region widely.

Apart from this, the mayor has declared the upgradation of the lifestyle and amenities in Avadi to make the city a role model. There will be the development of roads, water supply, and sewage. Besides, the aesthetic part of the city and the tourism department are also greatly monitored.

Commercial Real Estate vs Other Asset Classes

Here is a complete classification between commercial real estate and other asset classes:

• Commercial Real Estate vs Residential Real Estate

Be it commercial or residential, real estate is always a great option for procuring stable returns. Residential real estate can give you tax benefits, while commercial real estate can give you higher returns on investment. Besides, commercial real estate has a longer lease structure so you will have confirmed long-term profit opportunities.

• Commercial Real Estate vs Gold

Gold is also considered a safe investment option as the rate of gold hardly declines. However, being a commodity, gold is affected by market volatility. On the other hand, commercial real estate is hardly affected by market ambiguity. Instead, the rate of property always increases with the passing of years assuring you of stable passive income.

• Commercial Real Estate vs Bonds

Bonds are also considered a steady and risk-free income source. There are several low-risk bonds where you can invest and earn seamless profit without much loss. Commercial real estate is also a risk-free investment option. From both sources, you can get your desired profit without much hassle.

• Commercial Real Estate vs Stocks and Mutual Funds

Stocks and mutual funds can undoubtedly give you a huge amount of profit. However, this sector is end-to-end regulated by the share market curves. You may incur unexpected losses at times and there are market risks involved. But if you want to avoid such risks, you can opt for investment in commercial real estate as this investment option offers lower risk, and you can get a stable passive income over a long time.

Check out the chart of asset class comparison:

Interested in investing in risk-free bonds? Check our home page to get some great options. Register now to explore this profitable career.

Steps to Invest in Commercial Real Estate in Avadi

Here are a few steps you need to follow while investing in commercial real estate in Avadi:

Step 1: Choose a budget that you can afford without any financial hassle

Step 2: Select a few locations and physically visit those to get a proper idea

Step 3: Compare the locations and research thoroughly

Step 4: Check the neighbourhood and the available amenities 

Step 5: Finalise a location and choose a builder carefully

Step 6: Thoroughly go through the lease structure, project details, and agreement detail

Step 7: Submit the necessary documents and pay the amount

Step 8: Buy insurance for your property

Final Word

Hope you have got a clear idea about the commercial real estate sector in Avadi. If you are a beginner you can consider commercial real estate as a beneficial and risk-free option. Further, you can take help from an experienced real estate agent while buying a property for a smooth process. However, do not skip the RERA verification as it is mandatory to understand several things related to a real estate property.

Frequently Asked Questions