Chennai, popularly known as Madras till 1996, is the fourth largest metropolitan city of India. Located on the Coromandel Coast, it serves as the capital of Tamil Nadu. Chennai has been an important city for more than three centuries now. The rapid growth in economy and industrial activities in recent times has led to improved employment opportunities, which has in turn led to the migration of people from different parts of Tamil Nadu and India. The past decade has seen over two lakh people migrating to Tamil Nadu from Karnataka and Kerala alone, most of them settling in Chennai.

Chennai’s economy is well-balanced between manufacturing and the service sector. The diverse industrial sectors include automobile, IT/ITeS, healthcare, hardware manufacturing and financial service industries. By 2025, the city’s economy is expected to grow to 100 million dollars.

South Chennai has seen a growing influx of IT companies in the recent years. Interestingly, Chennai’s Tidel Park is the largest IT Park built in Asia. A number of software companies have their offsets here with some having Chennai as their main base. These include Infosys, BMW, Ford, to name a few.

For user convenience, CommonFloor has divided Chennai into 4 different zones - Central, North, South and West.
• Central Zone: Prominent micro markets include Egmore, T Nagar, Mylapore, Anna Salai, Nungambakkam, Mambalam, Triplicane, among others
• North Zone: Prominent micro markets include Ennore, George Town, Kolathur, Madhavaram, Perambur, Purasaivakkam, Red Hills, Vyasarpadi, among others
• South Zone: Prominent micro markets include Adyar, Tambaram, East Coast Road, GST road, Medavakkam, OMR, Sholinganallur, Velachery, among others.
• West Zone: Prominent micro markets include Kilpauk, Anna Nagar, Poonamallee, Koyambedu, Oragadam, Porur, Sriperumbudur, Villivakkam, among others.
• As per data with CommonFloor, in 2014, Central and North Chennai top the list of projects that, on an average, have the highest number of floors. This is closely followed by west and south part of the city.

• Chennai witnessed the launch of about 360 projects in 2014, out of which 66 per cent projects were launched in South Chennai, followed by 25 per cent in West and 6 per cent in Central part of the city.
• Interestingly, over 80 per cent of the new supply in Chennai comprised of small-size projects that had less than 100 units each. This could be due to the fact that Chennai market is essentially driven by the presence of several local developers. Additionally, the city boasts of having maximum demand for ‘affordable’ properties.
• Further, only 4 per cent of the new supply comprise of large-size projects having more than 500 units each. These projects are largely spread in southern and western part of the city mainly because of the lifestyle amenities they offer within the affordable price range.
• IT/ITeS sectors are the major growth drivers for maximum housing demand in South Chennai. Besides this, the manufacturing and the automobile industry is also leading to unprecedented housing demand in the region.

• OMR, Sriperumbudur, Pallavaram, ECR (East Coast Road), Guindy and GST Road, among others were the influencing micro markets in South Chennai. Interestingly, in the southern region almost 85 per cent of the new supply comprised of small-size projects that had less than 100 units each.
• Owing to its proximity to GST road, a popular IT/ITeS SEZ and ancillary manufacturing industry hotspot, West Chennai is also seeing demand by professionals working in commercial spaces on this stretch. This region is particularly driven by professionals who are looking for affordable properties.
• The key micro markets that witnessed maximum activity during the year in West Chennai included Poonamallee, Oragadam, Avadi, Ambattur, and Valarpuram, amongst others.
• Furthermore, Central Chennai has seen a whopping 99 per cent supply of small-size projects comprising less than 100 units each. Absence of large tracts of land in this part of the city is one of the key reasons for this. Egmore and Ashok Nagar were the showstopper for maximum supply in 2014 in this region.

• Data indicates that South Chennai has emerged as the front-runner that houses the top localities in the city based on both projects and units launched over the year. However, Pallavaram, Perumbakkam and Poonamallee are the top localities based on both unit supply as well as number of projects launched.
• IT/ITeS sectors are one of the major growth drivers in the city. As suggested by data, Perumbakkam, Medavakkam, Velachery, Thoraipakkam, Pallikaranai, Tambaram, Urapakkam and Pallavaram are the top localities in South Chennai with maximum project launches in 2014. Demand in Tambaram, Urapakkam and Pallavaram is largely driven by the IT/ITeS and manufacturing professionals along the GST Road while the other remaining localities are influenced by the developments along OMR.

• Interestingly, data further indicates that property prices in Velachery and Thoraipakkam are reasonably high as compared to other top localities in the South. Situated close to the city centre, Velachery has an added advantage of the proposed metro line passing through the area. On the other hand, Thoraipakkam's strategic location on the OMR may have led to the increase in the property prices.
• Furthermore, the top localities in West Chennai include Ambattur and Poonamallee. The former micro market has the advantage of Chennai Expressway, Chennai-Trivalur Road and the city metro in the vicinity. While the latter is situated close to the Bangalore-Chennai Highway and ORR.
• Top localities based on overall unit supply in 2014 are OMR, Mambakkam, Perungudi, Guindy, Avadi and Oragadam. Due to large tracts of available land, most of these localities witnessed the launch of large-size projects (over 500 units each). Orgadam, on the other hand, saw the launch of several small-size projects over the year.