Gurgaon Real estate market is a high growth market. The prices rising over 160% between 2019 and 2024. The market is fuelled by corporate presence, rapid infrastructure development.
As the prices have grown and buying a land for Residential purpose is difficult, and with the presence of top builders in Flats segments, people are moving towards high end premium flats and those who are not able to afford these high prices look for Builder floors with timely construction and modern facilities.
As the land availability remains less and prices are high, many owners plan to buy a land and construct it for the purpose of Renting and the sectors where commercial offices, metro and other facilities are nearer is always on lookout. One of the old and premium area which board all the facilities is Sushant Lok I, sector 43.
The prices of land per square yard in Sushant Lok I ranges from 200000 to 400000. So, buying a land for Residential purpose and using it for Renting a 300 sq. yard plot cost nearly 8 to 12 crores. depending on the area and location in the sector and blocks. As this involves a huge investment, only a medium size builder and investor can enter this market . Also, he has to spend @ 60 lacs amount for construction of each floor and this project lands up to total investment of 12 crore to 15 crores. This project gives a constructed area of 8 Bed room set with a parking on ground floor. So, the Total Rental @ 50 per Set gives a return of 100 K per floor. The detail approximate working is enclosed for Investors referrals.
| Project Cost in Sushant Lok I , Sector 43 , Gurgaon | ||
| Area | 300 sq yard/2700 sq ft | |
| Built up area | 6400 to 7000 | FAR at 2.4 |
| 1500 to 1800 | Sq. ft per floor | |
| Permissible FAR | 1.6 to 2.4 | Depending on location, width and purchased FAR |
| Total built up | 5000 to 7000 Sq ft | Across 4 floors |
| Ground coverage | 60% to 70% | |
| Structure | 4 floors plus stilt | |
| Land cost | 300000 to 400000 | Per sq yd |
| 22437 to 44875 | Per sq ft | |
| Average Cost | 12,00,00,000.00 | Approx at Top |
| Construction Cost | Average | |
| Standard | at 2150 | |
| Stilt cost for 1800 sq ft | 38,70,000.00 | |
| Floor cost for 1800 sq ft | 38,70,000.00 | |
| Finishing Cost | at 600 | |
| Finishing Cost | 10,80,000.00 | |
| Furnishing Cost | 5,00,000.00 | |
| Total Cost | 54,50,000.00 | |
| Ground floor Stilt | 38,70,000.00 | |
| 4 Floor Cost | 2,18,00,000.00 | |
| Total Construction Cost | 2,56,70,000.00 | |
| Total Land Cost plus construction Slit +4 floor | 14,56,70,000.00 | |
| Govt Expenses | 10,00,000.00 | |
| Total Cost | 14,66,70,000.00 | |
| Rental value | ||
| 4 One-bedroom aptt | 2,00,000.00 | |
| 4 Floor Rent | 8,00,000.00 | |
| Total Rental for a year | 96,00,000.00 | |
| Return on Investment | 7% | |
| Capital appreciation in year (Min) | 20% | |
However, as per recent HUDA guidelines, Builders can construct Stilt plus 3 floors and final decision of court has to come on 17 th April, so entire costing for Rental purpose will be decided then.