Ganesh Housing shares surge after Ahmedabad named Commonwealth Games host
What's the story
Ganesh Housing Ltd., a real estate developer, witnessed a massive surge in its share price on Thursday. The company's shares gained nearly 6% to close at ₹851 apiece. The spike comes after Ahmedabad was officially awarded the hosting rights for the Commonwealth Games in 2030.
Investor presentation
Ganesh Housing's potential benefits from the Commonwealth Games
In its recent investor presentation, Ganesh Housing had highlighted its potential to benefit from the Commonwealth Games. The company said, "The city's selection as a host venue for the 2030 Commonwealth Games is set to further boost infrastructure development and investor sentiment." This statement clearly indicates that they see this event as a major opportunity for growth.
Real estate prospects
Ganesh Housing's extensive land bank in Ahmedabad
Ganesh Housing also revealed that it has one of the largest developable land banks in Ahmedabad, spanning 500 acres. The company said these lands are located in key growth areas of the city and have a total developable area between 36 million to 40 million square feet. This strategic position puts them at an advantage as infrastructure development picks up pace ahead of the Commonwealth Games.
Market growth
Ahmedabad's real estate market and future prospects
Ganesh Housing noted that Ahmedabad's real estate market is witnessing growth due to rising project registrations and strong infrastructure development. The company specifically mentioned Metro Phase II and proximity to GIFT City as key factors driving this growth. They predict property values in Gujarat will appreciate by 10-15% annually, making it a lucrative market for residential and commercial projects.
Event impact
Commonwealth Games 2030: A catalyst for infrastructure and real estate
The Commonwealth Games 2030 is expected to trigger a major infrastructure and real estate boom in Ahmedabad. Such large sporting events usually lead to construction, hotel expansion, urban development, and sustained demand for retail, residential, and commercial real estate. PT Usha, President of the Commonwealth Games Association of India (CGAI) said they are "deeply honored by the trust shown by Commonwealth Sport."