THE RISE OF INDUSTRIAL REAL ESTATE IN GUJARAT

BY Realty Plus

The Industrial sector in the west coast state, Gujarat has witnessed impressive development in small, medium and large industries sectors all these years. Over a period of time, Gujarat has successfully diversified its industrial base and is amongst the first states in India to set-up industrial parks.

As a matter of fact, government is pushing the PPP model - Public Private Partnership for development of new Industrial estates, i.e. developed, financed, constructed, maintained and operated by a Private Sector Company selected by the Government or Government agency through a process of developer’s selection.

Recently, the Gujarat cabinet has given its approval to a proposal of setting up 21 new industrial estates across 13 districts in the State. These 21 new estates, to be managed by the Gujarat Industrial Development Corporation (GIDC), will be established in Rajkot, Mehsana, Mahisagar, Bharuch, Banaskantha, Patan, Chhotaudepur, Gir Somnath, Gandhinagar, Kheda, Amreli, Anand and Junagadh districts.

Moreover, keeping in mind the eco-friendly urban development, the state has come up with Eco Industrial Parks which aims for ‘Zero Waste’ through conservation and management tools to reduce waste and pollution.

POWERING PROGRESS & DEVELOPMENT

In addition, government’s move to revamp special economic zones SEZs with relaxed duties, single window clearance and fiscal incentives to facilitate increased investments will boost realty markets as well.

The 64-acre IT SEZ coming up in Ahmedabad has already generated lot of interest from local and national real estate developers. The entire SEZ has development potential of around 12 million square feet. The project will be mixed-use, a combination of commercial and residential units

With industrial progress comes the need for logistics and warehousing to provide grade A infrastructure. Various players in the segment are setting up their facilities to cater to the manufacturing and ancillary units and benefit from this thriving ecosystem.

DHOLERA SMART INDUSTRIAL CITY

Dholera Special Investment Region is a Greenfield industrial smart city planned and located approximately 100 km southwest of Ahmedabad. It is envisaged to be an incubator city, spanning approximately 920 sq. km, encompassing 22 villages of the Dholera taluka in the district of Ahmedabad.

It will have a self-sustaining ecosystem consisting of economic drivers through industrialisation, utility and logistic infrastructure, and social infrastructure including education, healthcare, and other public amenities.

Dholera Special Investment Region Development Authority (DSIRDA) has adopted the mechanism of Town Planning Schemes to ensure the delivery of serviced land and ensure that the community living there shall have an easy access to social infrastructure like schools, commercial establishment, hospitals etc.

Dholera SIR Phase 1 is completed with TP1 & TP2, which are industrial zones and residential zone areas with their own hub and city canter zone. Further phase 2 will be developed in the next 10 years, and after that, phase 3, which will be developed after 20 years. Overall, Dholera SIR Project will be fully developed in 2043.

GREY AREAS IN NEED OF ATTENTION

The Vision of Blueprint for Infrastructure in Gujarat aims to accelerate social, industrial and physical infrastructure. But there are some grey areas where government really needs to work.

Long term data about state infrastructure does not support any substantial improvements. Road network is not keeping pace with the development of economic activities in the state. There is a growing need to focus more on network of national highways and state highways.

Railway sector in the state does not show any major improvement either, in terms of total route length. In terms of cargo handled by ports in the state, the long-term trend shows that the share of major port has been declining while that of minor port increasing.

In terms of real estate, there is a need to prioritise more integrated industrial township developments focusing on infrastructure, connectivity, environment, and housing needs.

INDUSTRIAL GROWTH IS THE DEMAND DRIVER OF WAREHOUSING AND LOGISTICS PARKS, AND HAS A DIRECT IMPACT ON NEIGHBOURING RESIDENTIAL AND COMMERCIAL PROPERTY PRICES.

Tags : rise industrial real estate Gujarat industrialization policies State Government development integrated townships private initiatives India industrial parks development Gujarat Industrial Development Corporation Dholera utility logistic infrastructure social infrastructure education healthcare public amenities