MA R K E T B E AT Residential Q1 2021

Continued recovery in the residential sector on the back of healthy demand Hyderabad’s residential market continued to observe positive momentum in Q1 2021. More than 6,900 units were launched during the quarter by major developers including DSR Builders and Developers, Brigade Group, Rajapushpa Properties, Aparna Constructions 6,900+ NEW UNIT LAUNCHES (Q1 2021) Vasavi Group across prominent residential catchments like Moti Nagar, , , , Nallagandla, thereby registering a more than 2x rise in launches on y-o-y basis. Mid segment accounted for 50% of the unit launches. Higher demand for 2 and 3 BHK apartments compelled developers to launch more of these configurations which contributed more than 95% of the launched SHARE OF MID-SEGMENT IN UNIT 50% LAUNCHES (Q1 2021) units. Nanakramguda recorded the maximum traction and accounted for 27% of the unit launches while Kompally and together contributed about 23%, thereby indicating a robust recovery in demand in these submarkets on the back of superior connectivity and proximity to IT corridors. INCREASE IN CAPITAL VALUES ACROSS 4-6% MAJOR CATCHMENTS (Q1 2021) Capital values increased across submarkets; stable rentals with increasing tenancy rate Despite major developers ceasing to offer incentives/benefits for homebuyers, there has been a continuous traction in enquiries across all categories and locations. With recovery in demand and higher sales conversion, projects witnessed a 2-3% increase in quoted prices during the quarter. Major residential catchments like Kondapur, Nanakramguda, , witnessed a 4-6% rise in capital values. Given the market momentum, many new launches saw a higher rate of booking and projects across the city are likely to witness MARKET INDICATORS OVERALL Q1 2021 an increase in prices over the next 3-6 months. On the other hand, with work-from-home gradually coming to an end and employees returning to their offices, rentals remained largely stable across all submarkets and this trend is expected to persist for the next few Y-O-Y 12-Months Change Forecast months resulting in higher uptake of rental accommodation in the city.

New Launches Resilient demand for mid and high-end segments With the normalization of construction schedules, projects that are under construction and nearing completion are being constructed at a faster pace. Preference is being given to mid and high-end segments that have seen higher demand from young professionals looking for Units Sold both end-use and investment options, a trend witnessed even during the pandemic amidst low home loan rates and incentives provided by developers. Several mid and high-end projects totaling about 8000+ units are expected to be launched in the next 3-6 months across Average Capital locations in the city. Values (INR/sf)

SIGNIFICANT PROJECTS LAUNCHED IN Q1 2021

BUILDING LOCATION DEVELOPER UNITS LAUNCHED RATE*(INR/SF) Rajapushpa Provincia Nanakramguda Rajapushpa Properties 1908 6,549 Citadel Moti Nagar Brigade Group 624 6,240 Aparna Serenity Kompally Aparna Constructions 400 5,999 W by DSR Kondapur DSR Developers 88 12,000 MA R K E T B E AT HYDERABAD Residential Q1 2021

RENTAL VALUES AS OF Q1 2021 CAPITAL VALUES AS OF Q1 2021 AVERAGE QUOTED AVERAGE QUOTED QoQ CHANGE YoY CHANGE SHORT TERM QoQ CHANGE YoY SHORT TERM SUBMARKET SUBMARKET CAPITAL VALUE RENT (INR / MONTH) (%) (%) OUTLOOK (%) (%) OUTLOOK (IND/MONTH) High-end segment High-end segment 53,400-1,38,300 0% -8% Banjara Hills/ * 8,500-12,500 3% 3% , 32,200-62,500 0% -11% Madhapur, Gachibowli 5,800-8,400 4% 4% 19,200-36,800 0% -8% Kukatpally 6% 6% Himayat Nagar 18,400-33,200 0% -8% 5,300-6,800 Mid segment Mid segment Madhapur, Gachibowli 4,800-6,000 6% 6% Banjara Hills 20,200-29,400 0% -8% 4,200-5,300 4% 4% Madhapur, Gachibowli 16,500-25,400 0% -11% Kukatpally Kukatpally 13,800-21,100 0% -8% Himayat Nagar 4,200-4,900 6% 6% Himayathnagar 12,400-17,100 0% -6% Miyapur 4,400-4,700 3% 3%

SIGNIFICANT CONSTRUCTION COMPLETIONS IN Q1 2021 Kapil Kanala Senior Associate Director, Research Services BUILDING LOCATION DEVELOPER UNITS LAUNCHED UNIT SIZE +91 40 40405555 / [email protected] Hallmark Vicinia Narsingi Hallmark Developers 440 1,270 – 2,205

La PALOMA Mokila EIPL Group 212 3,890 -3,910

SIGNIFICANT PROJECTS UNDER CONSTRUCTION IN Q1 2021

BUILDING LOCATION DEVELOPER ESTD NO. OF UNITS EXPECTED COMPLETION

PVR Urban Life Mokila PVR Developers 99 Q4 2021

Fortune Mayura Fortune Green Homes 384 Q3 2022

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Data collated from primary and secondary resources. Estimations are subject to change A CUSHMAN & WAKEFIELD RESEARCH PUBLICATION * Banjara Hills/Jubilee Hills submarket includes projects from Shaikpet market Cushman & Wakefield (NYSE: CWK) is a leading global real estate services ** Rental and capital values have been depicted only for key submarkets firm that delivers exceptional value for real estate occupiers and ow ners. *** Quoted base capital value does not include other charges such as Preferential Location Charges, External Development Charges, Internal Development Cushman & Wakefield is among the largest real estate services firms w ith Charges, etc. approximately 51,000 employees in 400 offices and 70 countries. In 2018, the firm had revenue of $8.2 billion across core services of property, facilities and The above values for high-end segment are for units typically of 1,200-3,000 sf project management, leasing, capital markets, valuation and other services. The above values for mid segment are for units typically of 800-1,400 sf ^Affordable housing has been defined as units with a carpet area of 60 sq.mt in metros / 90 sq.mt in non-metros and value up to INR 45 lakh ©2021 Cushman & Wakefield. All rights reserved. The information contained within this report is gathered from multiple sources believed to be reliable. The information may contain errors or omissions and is presented without any warranty or representations as to its accuracy.