BALLARI: Ballari district's possible division is already altering the present scenario as far as the real estate industry is concerned.
The state government recently gave its approval to divide Ballari district to form the 31st district of the Karnataka - Vijayanagara. This triggered a price hike among the properties that are located on the main roads such as Ballari-Hosapete road where most of the new government buildings are expected to come up.
The realtors in the district see it as an unhealthy trend but they have no issues in making some quick bucks. "There is a rush in purchasing properties in Hosapete after the announcement of the new district. The plot owners are now demanding almost double the money from buyers. It's not a secret that several politicians from Ballari and Hosapete have large chunks of land in the district and it's also possible further increase the land prices," said a realtor from Ballari.
"The prices in central Hosapete have remained almost the same. But there is a sudden rise in the plot rates that are located on the outskirts of the city. Many are planning homes and business establishments on the outskirts where new buildings are expected to take shape. For instance, the price of per Sq Ft which was around Rs 2,000 has now reached Rs 3,000-3,500. Also, many who wanted to sell their plots are now holding back anticipating a better deal once the district is formulated," he added.
"The Hosapete once divided from Ballari will have an edge over Ballari with mining areas and tourism spots. This has created a kind of competition among the people of the same district and many now want to move towards Hosapete which will become centre of activities once the new district is formulated," added another real estate businessman from Hosapete.
The district administration officials, however, said that the government agencies are closely following the possible rise in real estate prices in the district. "There will not be any price rise or unnecessarily hiking of prices. We will also keep an eye on people converting the agricultural properties into layouts in illegal ways," said an official.