How Cultural Heritage Benefits Real Estate
Preserving cultural heritage is like conserving gold. It is an asset for a country which attracts tourists from all over the world. Not just tourists but it also attracts real estate buyers.
India is a secular country, which itself says that the various cultures here are given utmost importance, and so is the cultural heritage. India is well-known for its historic monuments and tourist attractions. Every year this day we celebrate ‘World Heritage Day’, with an aim to emphasize the importance of preserving cultural heritage for future generations.
Importance of properties in a historic environment
The individual property-level analysis revealed that usually properties that are located in a historic environment are sold at around 30% higher price than the properties elsewhere. Surrounding of the property is particularly is the biggest factor for the price premium of any property. When a historic area is successfully developed, people desire to be in such environments.
In recent years, understanding the need for conservation and development of cultural heritage and marketing them among people has become a point of attention for the government, too. Our former finance minister once in his budget speech had announced plans to preserve cultural heritage, which is India’s pride and worldwide tourist attractions.
The scheme National Heritage City Development and Augmentation Yojana (HRIDAY) was launched in a major way by our Prime Minister Narendra Modi in January 2015 with an aim to conserve and safeguard the heritage cities in India. Since then, these cities are witnessing an upsurge in property prices so much that it has surpassed the prices of the properties even in the capital cities.
Reinvestment to historic properties
We are fortunate enough that the restoration of historic buildings can be created into an attractive environment where people want to work, live or visit. Cultural heritage can be used to attract investment, strengthen the local economy, and to create specific added value of the real estate.
Common research shows that even construction of new objects does not create such a high economic value, as a historical building. Moreover, repeated reconstruction of the heritage sites lessens gas emissions generated during construction, cuts landfilled waste and household waste disposal; resulting in a reduction in the greenhouse gas emission. Reinvestment to historical properties helps to conserve and safeguard inherited buildings and spaces for generations ahead.
Well-developed and maintained heritage sites ensures increased ROI, too much tourist pouring in the cities, the need to accommodate, working spaces, and so on. Thus, demand for more real estate.
Disclaimer: The views expressed above are for informational purposes only based on industry reports and related news stories. Propertypistol does not guarantee the accuracy, completeness, or reliability of the information and shall not be held responsible for any action taken based on the published information.
