Visakhapatsa, on the other hand, is one of the most affordable parts of India.
There are two main reasons for the rising prices in the district: (i) the high value of real estate, which has been rising steadily, and (ii) the lack of adequate land supply for building.
But what is causing the rise in prices in Visakhapsa is a shortage of land.
It has been around for over three decades, according to a study by the Centre for Urban Policy and Research (CUPER).
The study said that real estate prices in Pune had doubled from 2000 to 2030, while that in Vizampati had doubled in the same period.
The study also said that the growth in real estate was driven by two factors: (1) the increasing population, and/or (2) the rising price of real property.
In Vizampatnam and Pune, the increase in population was due to a boom in the area around the city.
The area around Vizampatti has a population of about 2.5 lakh and the land area of 2,500 square kilometres.
So the total area of the area of land is about 1,300 sq km, which is equivalent to a city of about 10,000 square kilometres, the study said.
In the city of Vizampattin, the number of houses has grown from about 2,000 in 1990 to nearly 5,000 today, according the report.
The report said that in Panna, the area has grown to 3,600 square kilometres (2,600 sq km).
Vizag, however, is not as large as Panna.
As a result, the density of land has also increased.
The density of real land in Vizags residential districts has grown rapidly, from 8 per cent in 2000 to almost 15 per cent today, the CUPER study said, adding that this is due to the rapid increase in the population.
CUPer’s report also said there was a sharp decline in the number and size of houses in the urban areas.
It said that more than 40 per cent of the total land area in Puducherry, for instance, has been given over to the urban sector.
And the number in the neighbouring areas has also dropped, the report said.
In Pudumalakshmi and Kannur, the urban density in the two districts has also been increasing.
In Kannurs Pudu district, for example, the total population has increased from 1.3 lakh in 2000, to more than 6 lakh today.
Meanwhile, there are two other areas that have seen a rise in real property prices: Visakhipatnam in Panchkula and Kishangpur in Parel.
These districts have seen an increase in land area from 3,000 sq km in 2000 in the Panchkiyapatam area to 6,200 sq km today.
In both of these districts, the land density has increased rapidly from 4 per cent to more like 9 per cent.
Vishag, in contrast, has remained a very low density area.
The land density in Visag has dropped from 4.7 per cent at the beginning of the study to less than 1 per cent now.
And the land is being given to the private sector in the form of land concessions.
This means that land is becoming more and more available to the people, says Suresh Jain, a lawyer and a retired IIT-Delhi graduate.
But the increase is not in terms of land per se.
“Land is not the key issue.
Land is the primary factor behind the increase of real-estate prices.
Land acquisition has been increasing, but the amount of land available has not kept up with this increase.
The increase in private land ownership has been the major cause for the increase,” he said.