Andhra Realty Sector May Boom with Naidu's Party in Power at Both Centre and State

andhra realty sector may boom with naidu's party in power at both centre and state

The Telugu Desam Party (TDP) emerging as a key partner in the Union government is likely to boost the real estate sector in Andhra Pradesh. With a focus on infrastructure and pro-business policies, the state is expected to attract more IT firms and other industries, thereby increasing demand for commercial real estate.

The recent Lok Sabha election results have led to N Chandrababu Naidu's TDP joining the NDA as a significant partner at the Centre, while also securing a strong mandate in Andhra Pradesh. This dual power is seen as a positive signal for the state's real estate and infrastructure development.

Debashri Mukharjee, Architect THINKTANQQ DESIGN STUDIO, noted that the alignment of political leadership under Naidu's dual roles at the Centre and State promises a transformative era for Andhra Pradesh's real estate sector. This unique positioning could pave the way for comprehensive reforms and substantial infrastructural investments, potentially revitalizing urban development across the state. As architects, we perceive this juncture as an opportunity to spearhead innovative, sustainable designs that integrate seamlessly into Andhra Pradesh's evolving urban fabric. Our focus lies in creating environments that not only meet contemporary needs but also reflect the rich cultural heritage and environmental sensitivity of the region.

Effective collaboration between policymakers and the architectural community will be crucial in ensuring these advancements are both visionary and inclusive. By embracing forward-thinking design principles and leveraging Naidu's leadership, we can anticipate a renaissance in urban planning that sets new benchmarks for progress and quality of life in Andhra Pradesh, ultimately fostering dynamic and resilient communities for generations to come, he added.

News Agency ANI in its report quoted Real estate consultancy firm Anarock which highlighted that the strong electoral mandate in Andhra Pradesh and TDP's pivotal role at the Centre might moderate the real estate growth in Hyderabad, a key metropolitan area in the region. "The people's mandate in neighbouring Andhra Pradesh with a large majority and an important ally at the Centre may lead to moderation of real estate growth in Hyderabad," Anarock stated.

Over the past three years, land prices in Hyderabad have appreciated by over 30 per cent, reflecting a robust real estate market in the Telangana capital. This surge in land costs has driven price increases across various real estate sectors in the city. However, with a stable government in Andhra Pradesh allied with the NDA, Anarock suggests there could be some migration of businesses or residents to Andhra Pradesh, especially if the Naidu-led government offers attractive incentives, reported ANI.

As the political landscape stabilises with the TDP's significant role both at the Centre and in Andhra Pradesh, the real estate sector in the state is poised for substantial growth.

In the 25-seat state, the TDP garnered 16 seats in the 2024 Lok Sabha elections, making it the largest ally of the BJP-led NDA alliance, which won 292 seats to form the government in New Delhi. Together, the TDP and its allies in the NDA secured 164 seats out of a possible 175 in the Assembly elections.

During his tenure as chief minister of the then-undivided Andhra Pradesh, N Chandrababu Naidu demonstrated his ability to grow Hyderabad into a major city with world-class facilities and to successfully entice large IT-ITeS, pharmaceutical, and industrial enterprises to the state. In 2014, Telangana was divided from Andhra Pradesh.