Hyundai Motor India Limited (HMIL), the Korean automobile giant that holds a market share of 16.3% within India’s passenger car market, has pledged to invest an extra amount of $1 billion i.e. 7,000 crore in an attempt to expand its manufacturing facilities in Tamil Nadu. The news came out this Monday where the automobile major announced the construction of new facilities in Sriperumbudur which is located in Chennai (the capital city of Tamil Nadu). With the company’s capacity all set to increase by an extra one lakh unit per annum, employment opportunities are bound to follow, and so is the real estate activity within the region. Read on to know how:
Growth in Real Estate Market
As the move will generate plenty of employment opportunities, there will be an increase in real estate investments. This is because it is a known fact that the establishments of industrial units leads to an increase in the people relocating to the area for working in them. This relocation will acquire accommodation. Hence, people will start buying properties in and around Sriperumbudur. Plus, there are many housing options for the people to choose from in this area, given the prospective buyers a lot of choices.
What You Should Know About the Real Estate Deal
The government has shown full support in this move towards expansion because they want Chennai to thrive on all fronts. The chief minister along with other ministers met the HMIL delegation to further discuss the incentives and investment plans.
* The MoU will be signed on Global Investors Meet (GIM) that will take place in Tamil Nadu in January 2019.
* The expansions will be carried out in Irungattukottai Sipcot manufacturing hub.
* The capacity will be increased from 7 lakh units per annum to 8 lakh units per annum.
Overall, such investments represent a good sign for Chennai and its real estate market, bringing along new employment opportunities and new avenues of real estate investment.