Reference post 73619:
Prices are less in phase 7 commercial because market has not realized the potential yet though these have increased around 20% in the last two months; 4 marla commercial file in phase 7 has quietly increased from 125 lacs to todays rate of 155 lacs (see LRE rates today). When i bought commercial in phase 6, similar argument was given for very low prices in phase 6 CCA. In fact this has been true for commercials in Y block phase 3, which were priced lower than H block. Phase 4 and phase 5 commercial were also priced lower and then increased substantially after house construction started. Actually, value of commercial is only when residential has been built; there is no point of having commercial areas without having residential developed and people living in there. On average it takes 7 to 8 years for a phase to get developed and another 4 to 5 years for people to start living there. For phase 7 commercial, 7 to 8 years have passed and it is mostly developed now so now is the time to have huge gains in phase 7 commercial as house construction starts.
Market mostly corrects itself when commercial starts going on rent and then there are huge spikes, which is the reason that investing right now in not developed phases does not make much sense but then very few people think rationally.