The real estate sector in Rajasthan's Kota, dubbed the country's coaching hub for competitive exams, has two unique options when it comes to properties — hostel plots and coaching villas.
With over two lakh students moving to the city to prepare for the exams, Kota's real estate sector has grown with the coaching industry as people invest in building hostels and other forms of temporary accommodations for those coming here, reported PTI.
While hostel plots are bought mostly by locals aspiring to start their businesses, coaching villas are popular among well-off families who move to the city to stay with their children as they complete their coaching for competitive exams as well as schooling.
"The plot sizes that can be converted into hostels with 30, 50 and 70 rooms are the most popular. Each hostel room comprises a bed, study table and wardrobe. Each hostel has a mess, common area for recreation and some extra rooms that are designated 'parents rooms' and are occupied by them whenever they are visiting their children," Shahbad Khan, a property dealer in Kota, told PTI while explaining the concept of "hostel plots".
The monthly charge for each room ranges between Rs 13,000 and Rs 15,000 and hence, an owner can make a decent income, he said. "Either the locals buy hostel plots or people who want to set up a business here. It is a lucrative earning opportunity. People can construct hostel buildings of up to seven stories," Khan told PTI. These two real estate options, "hostel plots and coaching villas", have been in demand in the past 10 years, except during the years of the Covid pandemic, he claimed.
According to PTI, once an industrial hub, Kota is now home to a Rs 6,000-crore worth coaching industry. Over two lakh students move to Kota annually to prepare for competitive exams such as the JEE for engineering and the NEET for admission to medical colleges.
There are 3,500 hostels and 25,000 paying guest (PG) accommodations in Kota, according to Naveen Mittal, president of the Kota Hostel Association. "While the hostel sector is completely formal, the PG business is quite unregulated. Hence, hostels are more popular as they have more facilities," he told PTI.
However, not all parents are comfortable with their children staying in hostels or PGs and they move in with them by moving into "coaching villas". Coaching villas are a popular concept here as some parents want to stay with their children while they complete Class IX to XII schooling along with coaching for competitive exams, Ram Kishan Gaur, another property dealer in the area, said. Some stay till their children clear a competitive exam, he told PTI, adding, "Rather than renting, these families buy these houses for a few years and later, sell it."
Those in the real estate sector in Kota said coaching villas are available in two and three-bedroom formats, and are priced between Rs 50 lakh to Rs 70 lakh. "The families get good appreciation (of their properties) and during their stay here, they are relieved from renting woes. Locals mostly prefer renting out to students rather than families as that is more pocket friendly for them," Gaur told PTI.
