With the number of enquiries and deals increasing, the real estate scenario in Andhra Pradesh off late has started looking up. This vitality and market sentiment will help builders tide through to an improved quarter ahead. The past few weeks have been especially eventful, with the number of enquiries rising and a good number of them translating into deals. The IT sector, along with services, is a vital catalyst for increasing investments in twin cities of Hyderabad and Secunderabad, and surrounding areas. According to data, approximately 8.2 million block feet of bureau space is under various stages of development in the state.Upcoming residential developmentsThe Confederation of Real Estate Association of India (CREDAI) and Jones Lang LaSalle's Indian Real Estate Transparency Index (IRETI) rank Andhra Pradesh as the most favoured state for residential development. Initiating a project in the state takes less time, costs less and has fewer procedures. "This encourages a lot of builders to start their projects in the state," believes Murari, Marketing Executive, Praneeth Developers. With the market for residential properties in the state booming, villas are leading the list of demands for properties in the state. Some of these upcoming residential projects include:Raintree Park Dwaraka Krishna: This project is being executed through a JV between IJM (India) Infrastructure Ltd and LEPL Projects Ltd (formerly Lingamaneni Estates (P) Ltd). It comprises a lush landscape of 100 acre offering 3,000 2/3 BHK apartments.Lotus Park: This project by Pranava Avenues India is under construction at Kondapur. It comprises three blocks of G+5 floors having 2/3 BHK apartments with amenities like a swimming pool, clubhouse, gym, etc. It is likely to be completed by May 2013.Divya Sree Shakti: This project by DSG India is under construction at Miyapur. It comprises G+9 floors having 2/3 BHK apartments with amenities like a swimming pool, clubhouse, gym, etc.Upcoming commercial developmentsAndhra Pradesh is regarded as the second best IT destination in India after Karnataka. This has resulted in many large IT companies of the world opening their offices in the state. A massive $3 billion Fab city is taking shape in Hyderabad, housing many large and reputed educational institutions. These include Intel, Infosys, Hyundai, Oracle, ISB, BITS, IIIT and others. Also, the state is upgrading quickly on the infrastructure front and has an international airport as well. All these factors, including a moderate climate, good transport and connectivity have given a great boost to commercial property market in the state with a large number of projects in the pipeline. Some of these upcoming projects include:Taj Vivanta: This is a 182 room hotel being set up by Taj Hotels Resorts and Palaces at Begumpet in Hyderabad.A four-star hotel: Andhra Pradesh Tourism Development Corporation plans to set up a 4-star hotel with a multi-purpose function hall cum convention centre at Tirupati. The project is currently in the planning stage.Manjeera Majestic: This project by the Manjeera Group comprises a tower of stilt+8 floors having office spaces with all the standard amenities. It is likely to be completed by October 2012.