Prime residential launches in Mumbai nearly tripled in Q2 | Real Estate Asia
, India

Prime residential launches in Mumbai nearly tripled in Q2

Launches increased 192% to 3,044 units during the quarter.

A total of 3,044 units were launched in the high-end segment of Mumbai’s residential sector in 2Q22, an increase of 192.1% q-o-q and 187.7% y-o-y. 

According to JLL, Eastern Suburbs I, Navi Mumbai and Western Suburbs I submarkets recorded significant growth in the number of new launches over the previous quarter.

Here’s more from JLL:

Navi Mumbai contributed the most to quarterly launches, with a 33.2% share, followed by Western Suburbs I submarket with a share of 23%. Some of the major projects launched in 2Q22 in the high-end segment were Arihant Aakarshan Phase 1 in Navi Mumbai and 72 Marina in the Western Suburbs I submarket.

Demand increases by 6.8% q-o-q

The demand for the high-end residential segment improved slightly in 2Q22, as buyers took advantage of buying apartments during the quarter, ahead of the expected price hike caused by the input material cost hike. The primary reason for the increase in price is due to increased cost of input materials, and a hike in ready reckoner rates.

Eastern Suburb I, Navi Mumbai and Thane together contributed to 57% of the overall sales in 2Q22. Improved market sentiments and increased appetite for bigger homes have led to sales growth in the high end segment in 2Q22.

Capital values increase slightly

Capital values increased slightly for the high-end residential market. Developers increased the capital values for select projects, due mainly to the rise in input material cost. The revision in ready reckoner rates and increased stamp duty charges have also led to the rise in the capital values.

Rents increased slightly in most submarkets during 2Q22, as the returning workforce caused a surge in demand for rental housing, thereby supporting rent increases.

Outlook: Market sentiment to remain healthy for remainder of 2022

The high-end residential market is likely to continue its momentum going forward, on the back of improved market sentiments and increasing appetite for bigger homes.

The cost of key raw materials such as steel, iron and cement will be a key influencing factor for a projected rise in capital values, as commodity prices are on an upswing and the current geopolitical volatility may also add to this uncertainty.

 

Note: Mumbai Residential refers to Mumbai's prime residential market.

Follow the link for more news on

Join Real Estate Asia community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Exclusives

How Metland Indonesia deals with weaker residential purchasing power
The real estate firm continues to expand with residences that are attractive to consumers because of pricing, the ‘growing house’ concept, and sustainable features.

Event News

Event News

Real Estate Asia Awards 2023 Winner: Henderson Land Development Company Limited
Henderson Land Development Company Limited wins big at the Real Estate Asia Awards 2023 taking home 3 notable accolades, the Developer of the Year, Mixed-Use Development of the Year, and Residential Development of the Year awards for Hong Kong.
Real Estate Asia Awards 2023 Winner: Henderson Land Development Company Limited
Henderson Land Development Company Limited wins big at the Real Estate Asia Awards 2023 taking home 3 notable accolades, the Developer of the Year, Mixed-Use Development of the Year, and Residential Development of the Year awards for Hong Kong.