Since Telangana Chief Minister Revanth Reddy comes from the real estate sector, everyone initially believed that he would develop the real estate industry in a grand way. Many expected that this time, the real estate sector would take new strides compared to the previous Congress government. People thought efforts would be made to build affordable flats for the middle class. However, contrary to everyone’s expectations, the market has collapsed since December of last year, and the entire real estate sector is expressing its concern.
Several prominent companies in Hyderabad’s real estate market have found themselves in a situation where they cannot pay their employees on time. Builders are facing numerous difficulties in making payments to vendors. Some developers are struggling to make payments to banks and are encountering tough times. Additionally, in the venture sector, there is a complete lack of buyers for flats. As a result, a large percentage of ventures around Hyderabad are filled with weeds. Builders and developers are expressing their frustration, stating that they have never faced such tough times before.
What happened in the past?
A developer from Hyderabad, who has always been optimistic, has successfully faced numerous challenges in the past. However, even this individual is now shaken by the current situation. It’s not just him—many developers in Hyderabad are waiting for the market to improve. Experts say that after Chief Minister Revanth Reddy came into power, he has only been talking about the Musi River, and has not made significant efforts to create a positive outlook in the real estate market.
Despite frequent discussions about the future city and updates about RRR, the fear still prevails in the real estate sector. Investors who left Hyderabad in December last year are now showing reluctance to return to the city. Political uncertainty is being cited as one of the reasons for this. Additionally, there are criticisms that the state government has not been as focused on the development of Hyderabad as the previous administration.
What happened before?
Under the BRS government, Minister KTR would talk passionately about the government’s priorities regarding Hyderabad’s development, whether it was during a street talk or meetings in Delhi. He frequently discussed the city’s development with foreign companies, CEOs at events like Davos, and made public announcements about the plans for development. Correspondingly, infrastructure was developed. However, since the current government came into power last year, they have focused solely on politics, with no attention given to development, which has sparked criticism.
There is a growing reputation that there is no strategic, planned approach to Hyderabad’s development. The focus should now shift from criticizing the previous government to outlining how the current administration will develop the city. Decisions that will encourage the real estate sector need to be revealed, and efforts must be made to instill a positive outlook in the sector.
