Real Estate sector in North-East yet to boom

The Real Estate sector in the North East is yet to boom and the main reason for this is the lack of infrastructure, said founder and managing director of the PropertyGuru, Asia Property Awards, and Terry Blackburn.

Speaking at an event in Ramada Colombo he said that no major apartment or hotel projects have shaped up in the North East recently despite the residents having a large disposable income mainly accumulated from relatives living overseas.

The nonavalability of a highway, air fare being too expensive and limited infrastructure are some of the main reasons for North East to fall out in this segment.

“Today there are several high rise apartment complexes that are being built in the South and the main reason for this is the highway.”

JLL Sri Lanka, MD, Steven Mayes predicted that the land prices in Colombo 1, 2 and 3 are likely to peak this year and development of the Colombo Port City is one key reason for it. Mayes said that Colombo Port City will be a game changer as it would be the key to promote development of infrastructure in Colombo and asserted that the reintroduction of 15% VAT on new condominium sales will have a detrimental effect on its sales as it will dampen demand and weaken the sentiment. Due to high construction costs, severe labour shortage and reintroduction of VAT, he said that developers will have to discount, incentivize and up their marketing game, if sales volumes are to be maintained.

Mayes highlighted that there is a big vacuum for international Grade A office spaces in Colombo and also four star business hotels. Real Estate sector…From i

“As an emerging market, Sri Lanka has exemplified tremendous real estate potential and the we have decided to host the PropertyGuru Asia Property Awards in Colombo in July 12, 2018 said co-founder and CEO of Paramount Realty and Chairman of the independent panel of judges, Nirmal De Silva. The 2017 event took place in Singapore last November.

“This certainly provides a platform for the local industry to showcase their capabilities to a wider audience and be recognised on a regional stage. I consider it a privilege to be part of this historic event.”

“With ongoing infrastructure projects and shifting attitude in real estate policies, the island’s vibrant property sector has caught the interest of foreign investors and this is the reason we decided to host this event in Colombo, said Terry Blackburn, founder and managing director of the PropertyGuru.”

PropertyGuru, Asia’s foremost online property company, has decided to close entries on 11 May for eligible developers, residential and commercial projects.

There are open categories for residential projects in the following locations across the island: Colombo; southern (Galle, Matara, Hambantota); central (Kandy, Nuwara Eliya, Matale); and north east (Jaffna, Kilinochchi, Mannar, Mullaitivu, Vavuniya). In addition, there are special awards that will be given to developers with outstanding corporate social responsibility (CSR) and sustainable development initiatives.