FOREWORD

Mild tapering of inflation and a normal monsoon finally paved the way for lowering of REPO rate by 25 basis points, taking it to its lowest level in the last 5 years. The continued fall in both imports and exports, coupled with tepid investment demand has led RBI to pass on the cut. The Y-o-Y GDP growth rate also slowed down from 7.9% in the JFM quarter to 7.1% this quarter. The expected rise in oil prices from next year is also a major concern for the economy, which imports most of the oil it needs. High NPAs in the banking sector and construction delays in infrastructure and real estate also remain as major concerns. However, the economy remains strong despite headwinds facing the world economy and geopolitical turmoil across Asia and Europe. The Manufacturing Purchasing Managers’ Index (PMI) is still above 52 level and GDP growth forecasts till 2020 by various multilateral agencies, remain above 7%. The lowering of Repo rate is expected to bring down both project finance as well as home loan costs, lowering the overall cost of buying a house. The inevitable implementation of Real Estate Regulation and Development (RERA) Act, 2016 has led developers to hasten the delivery of their projects. This trend was clearly evident in the quarterly average prices data of Under Construction (UC) vs Ready-to- Move-in (RM) stock, where the premium commanded by RM properties came down due to increase in RM stock, as a portion of UC projects were delivered over the quarter. RERA is a step in the right direction but will bear fruit only in 2-3 years, and till then the Indian real estate sector remains in turbulent waters, and its health can only be gauged through inferential means like pricing and inflation in the sector. Price, as an end-product of interaction between the underlying demand and supply elements, incorporates all the sector related imperfections like delays and surge/dearth of transactions. Its trend also serves as a guidance to fiscal decision making by the government and RBI and investment decision making by private equity funds and retail home buyers. Real estate in every city is heterogeneous and each locality and project can be mapped to different budget segments and geographies. Each budget segment and geography corresponds to a certain share of supply and consumer preference in the market. Towards this end, Magicbricks presents a holistic price Index for each of the 14 major cities in . The City Index reflects the price movement across localities, geographies and budget segments in the city. This bottom-up approach helps to identify factors affecting demand-supply dynamics of the city. Analysis of City Indices over a 3-year period shows that Navi had the highest gain of 18%, while New Delhi continued to face tough market with a 21% decline. Regionally, Western India performed the best with 8.9% average gain, followed by South with 7.6% increment. North India saw an average decline of 7.4%, while Kolkata had the same average price as eleven quarters ago. It is important to note that any gains made are eroded when benchmarked against inflation in economy, in the study period. Another important sign of our times is the 8% premium commanded by the Ready-to- Move-in (RM) properties over the Under Construction (UC) properties at a pan-India level. This ratio was at 5.1% eleven quarters ago and is a reflection of the falling consumer confidence in timely delivery of projects.

These are changing times and we would love to hear from you. Do write to us at Sudhir Pai [email protected] and share yours views on this report and how we could make CEO, Magicbricks.com PropIndex even better. METHODOLOGY Realistic price discovery has been the pricing. If, on the other hand, you are The Interquartile Range technique biggest problem area in the Indian a seller looking for benchmark pricing, works through measuring variability real estate market. As consumers you will effect the fastest sale if your of each data set, while dividing the and industry struggle to arrive at a asking values are close to the buyer’s data set into quartiles. The technique realistic benchmark pricing to assess paying power. measures the value of data points on the first and third quartiles of the data the true value of their individual units, There are various co-relations of and calculates the difference between Magicbricks, as the largest repository demand and the overall real estate the two. of residential property listings, brings market as well as its future potential. you the trusted Indian Apartment Not only is demand a preceding This range, called ‘IQR’, gives the Price Index in a new and easy to indicator to supply, it is also a fairly effective extent of data set, while use format. Mirroring the Indian good indicator of actual transaction removing the first 25% and the last Real Estate scenario, this price index activity in the region. 25%. Subsequently, a test is applied presents an animated representation to each of the values in the data set. If We have aggregated the 14 cities of the real estate market. a particular data lies within an IQR of covered under the report into various the first and third quartile values, then Magicbricks publishes the quarter-on- localities. While calculating the city that data is considered part of the data quarter inflation and deflation trends level property pricing indicator, we set, otherwise not. The set of listing of the residential real estate prices in have applied demand as weight to values of each locality are statistically India. It collects real estate demand- each locality. This weight is equal to cleaned. supply data on a daily basis for more the locality’s share of the demand than 100 cities in India, of which, the being contributed to the city’s total Magicbricks, on an average, covers fourteen top cities are selected for demand. As a consequence, the more than 500 localities for Tier-I cities computing the National Property Price locality receiving higher demand for of India. Yet for the sake of analysis, Index. residential units will be given a higher we take only those localities where the The National Property Price Index and weightage. Following that, each recipient demand is at least 0.05% of its constituent indices are subjected to city’s price movement is calculated by the city’s total demand. Only localities a series of stringent steps. aggregating the price movements of with at least 50 actively traded individual localities, according to their properties have been included in the Each quarter, Magicbricks measures individual weightages. analysis. Following that process, we the individual property level price shortlisted various localities which changes, which are then aggregated at In terms of checks and balances in some sense, impact the pricing the locality level. While comparing the towards making the data and dynamics of the city. average pricing figures for the current analysis more robust and objective, quarter and comparing with the we have made sure that superfluous We then calculate the average prices of previous one, quarterly price changes information does not deviate the the city for the quarter, while applying are calculated. These price changes are desired results. Hence, we have demand weights to the average prices further aggregated at the city level applied checks and balances at the of each locality. These average prices and even further at an all-India level. locality level listing data collection and at the city level are further aggregated aggregation. to the final outcome of the ‘National As the top receiver and aggregator Price Index’. of residential demand, Magicbricks’ A statistical technique called “Inter- data provides consumers with Quartile Range” (IQR) has been used The difference in Under Construction realistic benchmarks to the assess to ensure that unintentional input and Ready-to-Move-in property has true property pricing. Where demand deviations of house size and price been assessed and included in the exceeds supply, consumers have no figures, which may distort the actual report. Rental yield and affordability chance of negotiating values. value of the house and corrupt the too has been addressed for the top 10 analysis, are addressed. The technique localities by supply in every city. These However, where demand is far lower aims to remove the outlier data sets, are critical tools which well used can than supply, buyers can look for more while securing the correct values. help with realistic price discovery. options and therefore, negotiate GLOSSARY & DEFINITIONS

1. City Property Index :This is a composite index which is a function of supply of properties as well as the average capital appreciation/drop in various localities of the city in the quarter. The City Index is the weighted average of the average rate per square foot in that locality and the supply of properties from that locality. Localities with higher supply of properties will have a bigger impact on the Index. 2. Price trend basis budget segments: To better understand the city’s price trend, the localities have been divided into budget segments basis their capital value (Rs/sq ft). We have tracked the weighted average price for each budget segment for a 2+ year period from quarter ending September 2013 to quarter ending September 2016. Subsequently, the movement of the localities in each price segment is mapped to derive respective short term and long term price change trends. The number of budget segments vary according to the city characteristics. 3. Zone wise distribution of localities: The various localities in the cities are all geographically divided into five key regions: Northern, Southern, Eastern, Western and Central. The localities are analyzed at the local zonal level to better understand the effect of the various drivers of price and demand, which are active mostly at the zonal level rather than at the city level. 4. Zone wise distribution of property budget segments: To better understand how each of the city zones contribute to the city’s supply, and how they are able to provide housing at various price points, the supply is distributed into budget segments across various geographic zones. For instance, if a zone has most of its supply in the premium budget segment, then it naturally becomes a premium destination within the city. The price changes within the various budget segments are also analyzed at the zonal level to go to the depths of the price changes across the city and to easily contribute the price changes to local factors. 5. Capital Value Tables (given in Annexures): This shows the actual range of prices within which properties are available in each locality in the quarter. Prices are shown in Rupees per square foot basis, these are the prevailing rates for properties in each locality. 6. Price trend – Top 10 localities by consumer preference: This section presents the price trend of the Top 10 localities in the city by consumer preference. These localities have the highest consumer focus and assessment of price trend in these localities assists in understanding the prevalent and future price trend in the city. 7. Price trend basis construction status: This Index looks at the movement in prices of Under Construction (UC) and Ready-to-Move-in (RM) properties across localities in the city. It is a weighted price index where weight is assigned to each locality basis its share in the consumer preference in the city. HOW TO USE THE PROPINDEX

base number, the index is said to have fallen. When it is more than that number, the index is said to have gone up. This gives users like you, who are interested in property markets, an idea of how the property market in your city has performed vis-à-vis other cities. When the economic conditions are good and the builder is actively developing and the consumer is actively buying, the index value rises above 100. When markets are flat due to lack of economic activity and therefore developer and consumer disinterest, the index values remain at 100 or drop below that. Very high index values shows a lot of investor activity and therefore severe peaking of property values. As an end user you should avoid buying when there is intense buying and speculative activity. That however, is a good time for you to sell as high property prices will give you good returns on your investment. When the index value comes down dramatically, the chances are that you will not get good returns as a seller. But if you find the property that you like in this cycle, it is a good time to negotiate the best values and buy as the chances are that there will be fewer buyers in the market. Since the PropIndex is now 5-years old, a look at how the index values have moved over the years gives you a good idea of how the market has performed in different quarters. If you are interested in how property markets have performed across a period of time, the PropIndex values give you a fair idea of Jayashree Kurup, Head content the movement. Do I get any specific Advice that helps my property decisions? What is the PropIndex? Magicbricks has a team of data scientists and researchers who are constantly studying the property markets and values to get the trends. In the past two The PropIndex gives you locality-wise property values in two forms – as locality quarters, for instance, they have noticed that ready-to-move-in property has been price ranges for sale and rent in the annexure to every city with additional significantly more expensive than under construction property. This probably information on whether it has gone up or down in the quarter, and what is the indicates that consumers do not want to buy property that is not complete and has rental yield in that locality. These prices are based on the listed prices of properties chances of delayed delivery and prefer to spend more to buy property that they can for sale or rent on the website www.magicbricks.com. This helps you to understand purchase and move into. This is useful to you as a buyer and alerts you to general the average locality price ranges and to assess whether the price of the property trends of other buyers. for sale or rent that you are assessing, lies within the average price ranges in the locality. In a market where data or information is hard to come by, this data helps What is the editorial and how is it useful to me? you to assess whether you are being quoted rational values for the property you are The editorial team of Magicbricks constantly assesses the property market considering. developments and factors such as infrastructure announcements and transport Why do I get locality sale and rent prices and how do I use them? corridor development, to figure out how they can impact values of residential real estate in your city. In each edition of PropIndex they assess what all has happened When you buy a property you must know what the average locality prices are. in the quarter and how it will impact the value of the property that you are When you buy property directly from the developer, the price per sq ft is the value interested in. This analysis gives you an idea of the issues you should consider when you pay. Then there are additional preferred location charges (PLC) such as vastu buying property in that city. related, view related or floor related. When you buy from the secondary market or from an individual seller, the price is determined basis a notional value of the How do I use the different sections of the PropIndex? property. The sale values in the PropIndex help you to establish the price you The key takeaways are useful in getting an overview of the property market in your should demand if you are a seller or what you should pay if you are a buyer. Rental city. The geographical distribution of localities allows you to assess in which areas values, similarly, are the average values that are listed on the website. They serve as property is available for sale. The distribution of properties by capital value allows benchmarks of the expected rental prices in the locality. you to freeze the price segment where you are likely to get the type of property What is rental yield and why is it significant? you are looking for. The budget wise price change helps to compute how the price range that you are looking for has been performing. If values have been rising in If you pay a certain price for a property, there is an amount you earn per annum as your budget of interest you may have to hurry up with your property decision if you rent. When the rental income is expressed as a percentage of the property value, it are an end user. If it has dropped, figure out if there is a problem in that category. is rental yield. It is a good yardstick to compute which property to select as a Buy to This exercise has been done for each part of the city. The price trend by construction Let investment. basis tells you which the best stage is at which you should enter the property Why is it called a Property Index and not Property values? market. The price changes basis construction status takes this analysis a step forward. Read it carefully and you will be able to assess exactly when you should Magicbricks has a very large number of listings. The number per locality depends enter the market as a buyer and as an investor. on market conditions and how many consumers or brokers or developers choose to post their properties for sale or rent. When we are computing values at the locality What is the Corridor of Growth? or city levels we do not want any one locality to skew the index value of the city. Magicbricks has figured that the bulk of new property in any city is developed As a result when any one or more localities have more than usual or less than usual along a few transport corridors leading out of the city. These have been identified number of listings, using the ratio of price to number of listings helps to even and studied for stock, price rise, current status, future potential and its physical out unusual spikes or troughs in the data. This gives you unbiased city or locality and social infrastructure such as water, power, sewerage and drainage facilities, averages. transport links, schools, colleges, hospitals and entertainment centres in the How do I use an index number? vicinity. Advice has been given on the basis of rental and buyer’s demand, the best configurations to buy – 2, 3 and 4BHK, past and future estimated price trends and Magicbricks Index was computed first in 2011. The values in the year 2011 have also how it figures in the master plan of the city. News updates of each corridor been used as the base value and is assumed to be 100. When the value is below that allows you to understand the drivers of those corridors. VOL 6, ISSUE 2; JUL-SEP, FY 2016-17 propindex.magicbricks.com

[Jul-Sep 2016] n line with general lack of activity in the The worst performer was the North region, 2016 quarter, as three years ago. Only two residential market, the National Property where prices fell by more than 7% in the of the top 14 cities considered for PropIndex IIndex remained stagnant at the same level last three years. The second best gains were saw a price decline in the last three years and as in the last quarter, with prices falling by a witnessed in Southern India, where prices both belonged to Delhi-NCR. While prices in marginal 0.12%. This is in continuation of the moved up by 7.6% over the same period. Ghaziabad fell by 6%, New Delhi performed inactivity seen in the last many quarters. the worst, with a whopping 21% fall in prices. In terms of historical price change, Navi NPI is the weighted average of consumer Mumbai was the best performer with a In terms of quarterly change, Hyderabad preference share of 14 cities and their significant 18% increment over the last three performed the best with a 2.8% increase over individual City Index value. years, followed by Hyderabad and Pune, which the last quarter, followed by Bengaluru at had a 10% gain each. stood fourth with 2.0% and at 1.2%. Overall, the On a quarterly level, South was the only region a 9% gain, while Bengaluru and Ahmedabad Southern region was the best performer, with which inched up substantially in terms of had a 7% gain each. Next were Mumbai and Chennai also giving a 0.7% price increment prices from the last quarter while North fell Chennai with a 5% gain each. and standing fourth in the top 14 cities. the most. Although it cannot be said with certainty that prices have hit rock bottom Gains of lower than 5% were witnessed only In terms of worst performers, four cities saw and will not fall any further, any downward in the North and Eastern regions, with Noida price drop, with the highest drop in Greater movement, going forward, will be restricted. and Greater Noida showing the maximum gain Noida of 1.7%, followed by Noida witnessing in Delhi-NCR of just 4% each. Both, Gurgaon a drop of 1.2%. Mumbai and New Delhi were On a three year scale, Western India has done from Delhi-NCR and Kolkata from the Eastern the other two cities noting a price drop, better than all other regions, with its cities region, had the same price in the Jul-Sep amounting to 0.8% and 0.7%, respectively. having 8.9% price increment, on an average. propindex.magicbricks.com 02 VOL6, ISSUE 2; JUL-SEP, FY 2016-17

[Buyers looking for an exit] he realty sector in India has been tepid for This is reflected in the price differential India level, 69% of RM properties are in the the past few years with low transaction between Under Construction (UC) and Ready- resale bracket while balance 31% are offers of Tvolumes and stagnant price level. Weak to-Move-in (RM) properties. Magicbricks fresh booking or ‘New Properties’. The graph economic scenario, perceived high price tracks the weighted average price for UC and gives the share of resale and new properties level and lack of consumer confidence in the RM properties on a pan-India basis covering for each of the 14 cities analysed. developers with respect to project completion 14 cities. It compares the 3 year trend from Sep The predominance of resale options under led to transaction volumes reducing 2013 to Sep 2016 where Sept 2013 has been RM properties category indicates that many drastically. taken as the base. It also shows the premium buyers who had made purchase from an (discount) of RM properties over UC properties. Magicbricks research shows that consumers investment perspective are looking to exit are willing to pay more for Ready-to-Move- Our national level index for tracking prices their investment. With end-users looking for in (RM) options as compared to under- of RM and UC properties shows that at a RM options to protect themselves from project construction (UC) properties. They’re willing pan India level, RM properties command an completion risk, it is likely that many investors to pay a premium on completed projects average 8% premium over UC properties. This with RM properties see this as the best rather than expose themselves to delivery level of premium for RM properties has held opportunity to liquidate their asset(s). risk. Project delay leads to consumers having for the last three quarters. Most of the investors looking to exit at this to bear additional financial burden of paying Analysis of actively traded properties on point are unlikely to make any gains. In many rent over and above applicable home loan Magicbricks shows that when it comes to cases, when the return is indexed to inflation, instalments for an extended period. All this RM properties, an overwhelming number of the return might actually be negative. This is has made consumers wary of putting money options are in the resale segment. At a pan- because the prices have either been stagnant in Under-Construction projects. or have seen insignificant increment over the last few years. The following graph shows percentage change in the City Price Index for 14 cities from Sep 2013 to Sep 2016. As is evident from the graph, the weighted average price across most cities has seen marginal increment over the last three years. In case of cities like Delhi and Ghaziabad, the price levels have declined. In all other cases, when the price increment is indexed to inflation, there is an implicit price decline. Regional wise analysis of the ratio of ‘New’ and ‘Resale’ options under RM segment shows that VOL6, ISSUE 2; JUL-SEP, FY 2016-17 03 propindex.magicbricks.com

from Under-Construction projects. One set of inventory is getting sold multiple times while another set with the developers remains unsold. This is adding to delay in completion of projects as developers are not keen to complete projects where unsold inventory is on a higher side

l In the prevailing market scenario, large resale inventory also impacts the price level in a project as well as overall market. Price quote in the resale market is lower than the builder’s price and this impacts saleability of the unsold inventory with the developer. Further, the developer cannot increase the price and out-price his inventory vis-à-vis markets which historically had high investor resale options to end-user ratio have corresponding higher l New project launches also have to be percentage of ‘Resale’ options in this segment. sensitive to the prevailing price in the resale Major North Indian markets like Gurgaon and segment in their price segment Noida, which have seen large scale residential development, have 80% or higher ‘resale’ options in the RM segment. Similarly, all Conclusion Western Indian cities have a high share of Ideally, transaction activity in the resale such options in the RM category. Opposite segment gives depth to the primary segment. phenomenon was seen in case of all South It allows investors to book profit and unlock Indian cities – Bengaluru, Chennai and their capital. However, in the present Hyderabad. These markets have had high scenario where transaction activity is low and end-user participation and this reflects in the Market Impact consumers are looking for Ready-to-Move-in Presence of a large number of resale options ratio of ‘New’ and ‘Resale’ options. Both these options, the resale segment is likely to do puts pressure on the market in multiple ways: options have almost equal share in the RM better than the primary market and continue to put pressure on the primary market. segment in these cities. l First, these resale options add to the unsold inventory available with developers, thereby These statistics also indicate that supply in Given the large percentage of resale properties exacerbating an already difficult scenario markets with high ‘resale’ versus ‘new’ options available in the market, this situation is likely to persist in short to medium term. in the RM category was in excess to demand at l Large number of resale options in Ready- the given price points. to-Move-in projects take the demand away MUMBAI propindex.magicbricks.com 04 VOL6, ISSUE 2; JUL-SEP, FY 2016-17

[PROPINDEX - MUMBAI] [Key Takeaways] The City Index witnessed a 1% and this is reflected in the price Under Construction (UC) properties decline in comparison to the decline across most segments in the Jul-Sep 2016 period previous quarter In geographical terms, the North The average difference in prices The Jul-Sep 2016 quarter had more zone in Mumbai consisting of declined by 100 basis points as localities with price decline. At least suburban areas beyond compared to the Apr-Jun 2016 54% localities saw an average price and which account for 45% share quarter. While the weighted average decrease of 2.1%, while balance of consumer preference as well as price of RM properties was Rs 17,997 46% localities saw a price rise of 45% share of supply in th secondary per sq ft, the same for UC properties 2.3%, pushing up the Jul-Sep 2016 market, saw a price decline of 0.2% was Rs 15,467 per sq ft Index by 2% The Central zone, consisting of The average price of RM and UC The overall market sentiment was localities between Mahim and properties have declined in the subdued and five out of twelve Andheri and which has a quarter Jul-Sep 2016 quarter as compared to budget segments witnessed a share of consumer preference in the last quarter price decline; while other budget Mumbai, also saw a price increment In terms of price increase, UC segments saw price increment of about 0.7% properties posted a price increment The price increment ranged from Analysis across 94 localities in of 5% over the Sep 2013 to Sep 0.1% to 1.4% while price decline Mumbai shows that on an average, 2016 period, while the price of RM varied from -0.2% to – 1.9% Ready-to-Move-in (RM) properties properties increased by 8% in the Market sentiment has been weak were 16% more expensive than same period

Mumbai moves ahead EDITORIAL

umbai ensured that home seekers buildings will get an FSI of 3. Two-thirds of sq ft space will be added. New offices mean have something to look forward to in will see cluster re-development. new workforce which in turn means migratory the coming months. Those who have population. The capital and rental markets M While under construction projects are nearing invested in a property and are waiting for around these offices will get a boost once they completion, the market is gearing for new delivery, the state government has allowed become operational. housing units. BMC has approved construction construction work on building projects between activities around Girgaum Chowpatty, This quarter also saw infrastructure 6 am and 10 pm. This extended work hours Prabhadevi, Mahim and , etc. development in the city. PWD approved BMC’s will accelerate project work. Those who have project to shift tetra pods from been waiting for their re-developed units, Buyers looking for affordable housing should Worli to Marine Drive to the proposed coastal the state consumer commission has brought focus on areas such as Tungwa Pawai, road. Other upcoming projects which will ease disputes between them and their developers and old Magathane as close to 972 houses are connectivity of Mumbaikars is the Metro line. under the Consumer Protection Act’s purview. on offer by the MHADA. Metro-7 corridor, covering areas from Andheri With government intervention, hopefully a The existing and upcoming residential (East) to (East), has been scheduled to resolution will surface soon. inventory should have satisfactory demand. be constructed in 30 months. Metro 2B on DN The re-development policy bonanza for old People migrate to Mumbai for jobs. Adding Nagar-Bandra-Mankhurd route and Metro 4 on and dilapidated buildings has been extended. to it, the city is anticipating around 16 million --Thane-Kasarvadavali are some Under the modified DCR 33 (7) (a) scheme for sq ft of fresh office space by the end of 2017. noteworthy projects which could be game re-development, many dilapidated suburban Before this year completes, another 8.5 million changers for the realty sector. Magicbricks Bureau VOL6, ISSUE 2; JUL-SEP, FY 2016-17 05 propindex.magicbricks.com MUMBAI

Geographical distribution of localities The map shows the geographical spread of Northern suburbs continue to remain preferred by consumers localities considered for calculating the City Price Index. Localities have been grouped to understand the zone wise price trend in the city during the quarter Mumbai is a linear city where the price gradient decreases as the distance from the CBD in the southern tip of the city increases. Further, the city has grown in two main directions-along the Western and Central Lines of the The South zone consists of localities in the ‘island city’ part of Mumbai. Central zone covers localities north of the South zone and till Jogeshwari. Further north of this zone along the Western Line is the North zone. It consists of localities from Goregaon to Vasai. North zone accounts for more than 50% share of consumer preference and supply in the secondary market The East zone has localities along the Central Line covering localities short of Thane

This graph shows the distribution of Properties distribution by capital value (Rs/sq ft) actively traded properties by their capital Apr-Jun 2016 to Jul-Sep 2016 values. This reflects the varied price points across localities in Mumbai. A unique feature of supply distribution by budget is that each budget segment has a fairly even share of supply. This points to a market which addresses requirement across different economic strata of the society. Mumbai remains the most expensive realty market in the country As Mumbai has evolved in a linear manner, the price gradient is high to low as one moves from the South zone to the North and Eastern zones South zone consists of localities with budget segments of Rs 18,000-35,000 per sq ft and above. These include localities south of which divides the island city from the suburban areas. In spite of the high price in the zone, it accounts for 20% consumer preference in the city MUMBAI propindex.magicbricks.com 06 VOL6, ISSUE 2; JUL-SEP, FY 2016-17

The Central zone covers localities which are the prime suburban areas along the Western Line as well as the Central Suburbs. This stretches from Bandra (W) to and Matunga (W) to Powai. This segment has properties in the Rs 17,000-35,000 per sq ft range. The Rs 17,000-18,000 per sq ft bracket is the dominant budget segment The North zone consists of all other localities along the Western Line beyond Oshiwara and till Vasai-Virar. This zone has about 45% share of consumer preference. It covers the budget segment of below Rs 5,000-19,000 per sq ft. Dominant budget segments are Rs 15,000-16,000 per sq ft and Rs 5,000-7,000 per sq ft Localities in the East zone are located along and off the Central Line and covers the area from Chembur to Mulund. Two major budget segments in the zone are Rs 14,000-15,000 per sq ft and Rs 15,000-16,000 per sq ft

[CITY INDEX] The City Index saw a 1% decline as compared to the last quarter. The Jul-Sep Jul-Sep 2013 to Jul-Sep 2016 2016 quarter had more localities with price decline. At least 54% localities saw an average decrease of 2.1%, pushing down the Apr-Jun 2016 Index by 1%. The balance 46% localities saw a price rise of 2.3%, pushing up the Apr-Jun 2016 Index by 2% leading to a net drop of 1% in the City Price Index for this quarter

The City Index for Mumbai reflects the traded properties. The weight assigned price movement across 94 prominent to each locality is its share of consumer localities. These localities have been preference. This makes for a broad chosen using the twin criterion of Index which covers localities with high share in overall consumer preference consumer preference as well as high in Mumbai as well as share of actively number of actively traded properties VOL6, ISSUE 2; JUL-SEP, FY 2016-17 07 propindex.magicbricks.com MUMBAI

To understand the contribution of various Budget wise price change budget segments and localities in the Apr-Jun 2016 to Jul-Sep 2016 Index movement, we have grouped 94 localities under the Index into budget segments on the basis of their capital values. A further micro picture of price movement is presented by looking at the price change across different geographies and their constituent budget segments The overall sentiment was subdued and five out of twelve budget segments witnessed a price decline; other budget segments saw price increment The price increment ranged from 0.1% to 1.4% while price decline varied from -0.2% to – 1.9% Market sentiment has been weak which is reflected in the price decline across most of the budget segments Price movement across zones: East Overall sentiment in the East zone was positive with all budget segments Geographic and budget wise price change witnessing price increment Apr-Jun 2016 to Jul-Sep 2016 The highest price rise of 5% was in the Rs 15,000-16,000 per sq ft segment. Lowest rise was in the Rs 14,000-15,000 per sq ft bracket with under 1% increase All major localities in the zone except Kanjurmarg (W), Mulund (E) and Mulund (W) witnessed price increase. Except for Mulund (E) with 3.3% price decline, other localities saw marginal fall in prices Other localities in the zone saw price increment from 3.4% to 5% North Overall price trend in the North zone was negative as six out of eight budget segments in the zone witnessed a price decline in the last quarter The price decline ranges from low of -0.3% in the Rs 8,000-12,000 per sq ft segment to -1.1% decline in both the Rs 7,000-8,000 per sq ft and Rs 15,000- 16,000 segments MUMBAI propindex.magicbricks.com 08 VOL6, ISSUE 2; JUL-SEP, FY 2016-17

All major high consumer preference Price change – Top localities by consumer preference localities like Mira Road, Kandivali (W) Apr-Jun 2016 to Jul-Sep 2016 and Malad (W) saw a decline in the price level in the city South Most of the budget segments in the premium South Zone of the city witnessed price increment Highest price increment of 3.4% was in the Rs 5,000-7,000 per sq ft segment followed by Rs 2.9% per sq ft bracket. Highest price decline of 1.9% was seen in the Rs 35,000 and above price segment Centre Price trend in the Central zone of the city was a mixed bag with 50% budget segments witnessing price increment while the other 50% actually saw price decline in the quarter. The overall price trend was marginally positive as per the latest trends The price trend was positive in the lower budget segments in the zone from Rs 18,000-25,000 per sq ft

Price trend basis construction status Jul-Sep 2013 to Jul-Sep 2016 VOL6, ISSUE 2; JUL-SEP, FY 2016-17 09 propindex.magicbricks.com MUMBAI

The graph shows the trend in the prices was Rs 17,997 per sq ft, the same for UC by 8% in the same period. The price of ‘Ready-to-Move-in’ properties (RM) properties was Rs 15,467 per sq ft movement in case of both UC and and Under Construction (UC) properties. RM properties was -0.4% and -1.2%, Analysis across 94 localities in Mumbai The average price of Ready-to-Move-in respectively City shows that on an average, RM and Under Construction properties has properties were 16% more expensive declined in the Jul-Sep 2016 quarter as The graph below shows the price trend than UC properties during the compared to the last quarter in the top 10 localities of Mumbai on Jul-Sep 2016 period the basis of consumer preference. It In terms of price increase, Under shows that price movement in Under The average difference in prices has Construciton properties posted a price Construction and Ready-to-Move-in declined by 100 basis points as compared increment of 5% over the Sep 2013 properties was a mixed bag with more to the Apr-Jun 2016 quarter. While the to Sep 2016 period, while the price of localities witnessing price decline while weighted average price of RM properties Ready-to-Move-in properties increased others witnessed price increase

Price change basis construction status Top localities by consumer preference in Jul-Sep 2016 period NAVI MUMBAI propindex.magicbricks.com 10 VOL6, ISSUE 2; JUL-SEP, FY 2016-17

[PROPINDEX - NAVI MUMBAI] [Key Takeaways] The City Index witnessed a marginal the highest increase in price, a climbing by 3.0%, after moving up 1.2% increment over the last significant 2.3% 3.1% in the last quarter quarter. The Jul-Sep 2016 quarter Geographically, the North zone is the The Southern zone forms 16% of had more localities with price biggest source of residential supply, the city’s total supply and caters to increment as against price decline accounting for 41% of the total. a narrow range of properties in the Almost 80% localities saw an Overall, the zone witnessed a price Rs 5,000-6,000 per sq ft segment. average price increase of 2.3%, increase of 0.4% Overall, the zone witnessed price pushing up the Index by 1.6%. East zone is the second biggest increase of 1.4% The balance 23% localities saw price source of real estate supply in the The Central zone forms a very drop of 1.9%, pushing down the city, accounting for 36% of the total, small part of the city’s supply Index by 0.4% and witnessed a significant 1.5% and witnessed a significant 4.1% The high consumer preference price increase over the quarter increment in prices in the quarter budget segment of Rs 7,000-9,000 West zone properties are majorly in On an average, RM properties were per sq ft saw a price increment of the higher budget segments of 8.6% more expensive than UC 0.6%. Surprisingly, not a single Rs 10,000 per sq ft and above. The properties in the Jul-Sep 2016 budget segment witnessed a fall in zone is a relatively smaller market The average price of both RM and UC prices in the quarter. The Rs 5,000- and the average prices here moved 6,000 per sq ft segment witnessed properties increased marginally over up significantly in the quarter, the last quarter by 0.7% and 0.3%

Navi Mumbai upkeeps its momentum EDITORIAL

he office realty of Navi Mumbai has a hand Places where residential inventory has been Navi Mumbai has several upcoming in boosting the demand for housing units. piling up, the developer community is coming infrastructure projects which will impact the TThe city saw improved transactions with up with innovative plans to bump up sales. One realty in future. This quarter, drones were the emergence of new companies. Demand for example is the effort undertaken by CIDCO. It used by the railway ministry to check the office space has increased and is expected to has put up 380 unsold flats for sale at four of its progress of the Seawoods-Nerul-Uran railway continue for the next few years. housing schemes in Kharghar and Ulwe. Most of project. Though the project is underway, it the flats for sale are in the middle income group will be some time before it gets operational. According to experts, demand for Grade-A (MIG) and high income group (HIG) categories, Its impact in Navi Mumbai’s real estate cannot office space is more than the present supply. which did not find takers when bookings had be undermined. The project will provide direct Many tech start-up ventures, MNCs, IT and opened in 2014. access to several interior areas with poor telecom companies prefer to open or extend transport facility. It will leave a direct impact their operations in Navi Mumbai. New job Though no any festive discounts have been on the real estate business in those areas. New opportunities peps up housing demand, and offered for these flats, sources claim that buildings will be developed and people will subsequently generate capital appreciation for these flats have been priced at the 2014 rates. migrate to the city from the peripheral areas. real estate investments. The central location of This is in comparison to private builders, who the place, adequate public transport and the have increased their prices by 15-20% during New office hubs, upcoming infrastructure, presence of all basic and luxurious things have this time period. Whether this offer has been favourable environment conditioned by undoubtedly made Navi Mumbai one of the received well by the home buyers, is something developers were the highlights of the quarter preferred choice for property buyers. only time will tell. for Navi Mumbai. Magicbricks Bureau VOL6, ISSUE 2; JUL-SEP, FY 2016-17 11 propindex.magicbricks.com NAVI MUMBAI

Geographical distribution of localities North and East zone account for maximum share of consumer preference The map shows the geographical spread of localities considered for calculating the City Price Index. The localities have been grouped to understand the zone wise price trend in the city during the quarter

Vashi is the central business district of the city which is home to a mix of commercial, retail and residential development. It first emerged as a major locality in Navi Mumbai. Other developments have evolved north and east of Vashi. For the purpose of this study, CBD Belapur has been taken as the geographic center and Vashi is in the North zone. Price level falls as distance from Vashi increases towards North and East.

The North and East zones together account for almost 80% share of consumer preference and supply in the secondary market. East zone has less average price than the North zone

Properties distribution by capital value (Rs/sq ft) This graph shows the distribution of Apr-Jun 2016 to Jul-Sep 2016 actively traded properties by their capital values. The average price level in the city is on the higher side, with the Rs 7,000- 9,000 per sq ft price bracket forming the largest component with 31% share of supply in the secondary market Other dominant budget segments with more than 15% share of supply in the secondary market are Rs 5,000-6,000 per sq ft and Rs 6,000-7,000 per sq ft Navi Mumbai has emerged as a standalone destination over the last 15 years, and has seen considerable real estate development The highest capital values are found in core localities like Vashi and other adjoining areas like Kopar Khairane, Nerul, Palm Beach and Sanpada. Of these, Kopar Khairane and Sanpada are in North zone while Palm Beach and Nerul fall under the West zone of the city NAVI MUMBAI propindex.magicbricks.com 12 VOL6, ISSUE 2; JUL-SEP, FY 2016-17

Budget segments between Rs 7,000- 9,000 per sq ft range consists of localities which are contiguous to core localities listed earlier. The development from the core localities has spilled over to these localities. Kharghar is a prime example, which has almost 24% consumer preference share in Navi Mumbai properties. It falls under the North zone in the given map In the Rs 6,000-7,000 per sq ft price bracket, localities further east of Kharghar and across the Taloja River are the preferred destinations. These come under the East zone and include localities like Taloja, and Kamothe. Localities in the Rs 5,000-6,000 per sq ft budget segment are situated further East and South of localities such as Ulwe and Panvel Most of the development activity in Navi Mumbai is happening in the Rs 5,000– 9,000 per sq ft range and this segment will determine the movement in the City Price Index

[CITY INDEX] localities. These have been chosen using Jul-Sep 2013 to Jul-Sep 2016 the twin criterion of share in the overall consumer preference as well as share of actively traded properties. The weight assigned to each is its share of consumer preference in the city. This makes for a comprehensive Index which covers localities with high consumer preference as well as high number of actively traded properties in the secondary market

The City Index witnessed 1.2% increment by 1.6%. The balance 23% localities saw over the last quarter, which witnessed price drop of 1.9%, pushing down the significantly more localities with price Index by 0.4% increment than price decline. Almost 80% localities saw an average price The City Index for Navi Mumbai reflects increase of 2.3%, pushing up the Index price movement across 23 prominent VOL6, ISSUE 2; JUL-SEP, FY 2016-17 13 propindex.magicbricks.com NAVI MUMBAI

To understand the contribution of various Budget wise price change budget segments and localities in the Apr-Jun 2016 to Jul-Sep 2016 Index movement, we have grouped 23 localities under the Index into budget segments on the basis of their capital values The high consumer preference budget segment of Rs 7,000-9,000 per sq ft saw a price increment of 0.6%. Surprisingly, not a single budget segment witnessed a fall in prices. The Rs 5,000-6,000 per sq ft segment witnessed the highest increase in prices a significant 2.3% Price movement across zones: East The East zone of the city is the second biggest source of real estate supply in Navi Mumbai, accounting for 36% of the total. It witnessed a significant 1.5% price increase over the last quarter The region is dominated by the Rs 6,000- 7,000 per sq ft budget segment, which forms more than half of the supply here Geographic and budget wise price change Apr-Jun 2016 to Jul-Sep 2016 North The North zone is the biggest source of residential sector supply in Navi Mumbai, accounting for 41% of the total. This zone also has cumulatively the highest share of supply and consumer preference in the Rs 7,000 per sq ft and above budget segment North zone grew by a mild 0.4% this quarter. All five budget segments present here witnessed price increase The main budget segment of the region – the Rs 7,000-9,000 per sq ft segment saw prices climb up by 0.6% In the higher budget segment of Rs 13,000 per sq ft and above, the zone saw a significant increment of 3.8% West West zone properties are majorly in the higher budget segments of Rs 10,000- 13,000 per sq ft. It also has minor NAVI MUMBAI propindex.magicbricks.com 14 VOL6, ISSUE 2; JUL-SEP, FY 2016-17

presence in the Rs 3,000-5,000 per sq ft Price change – Top localities by consumer preference price bracket Apr-Jun 2016 to Jul-Sep 2016 The Western zone is a relatively smaller market and average prices here moved up significantly in the quarter, climbing by 3.0%, after moving up 3.1% in the last quarter South The Southern zone forms 16% of the city’s total supply and caters to a narrow range of properties lying in the budget segment of Rs 5,000-6,000 per sq ft This segment witnessed a significant 1.4% price increment over the last quarter in the city’s latest findings Centre The Central zone forms a very small part of the city’s supply. The region caters to a relatively costlier Rs 9,000-13,000 per sq ft range. It witnessed a significant 4.1% increment in prices in the Jul-Sep 2016 quarter, after moving up by 3.4% in the previous quarter

Price trend basis construction status Jul-Sep 2013 to Jul-Sep 2016 VOL6, ISSUE 2; JUL-SEP, FY 2016-17 15 propindex.magicbricks.com NAVI MUMBAI

The below graph shows the trend in the was Rs 8,341 per sq ft, the same for UC period. Price movement in case of both prices of ‘Ready-to-Move-in’ properties properties was Rs 7,681 per sq ft RM and UC properties has improved due (RM) and Under Construction (UC) to increment over the last three quarters properties. Analysis across 23 localities The average price of both RM and UC in Navi Mumbai shows that on an properties increased marginally over The graph below shows price trend in average, RM properties were 8.6% more the last quarter by 0.7% and 0.3%, the top 10 localities of Navi Mumbai expensive than UC properties in the respectively by consumer preference. Key locality in Jul-Sep 2016 period terms of price decline was Vashi, where In terms of overall price increase, RM both UC and RM prices fell significantly. The average difference in prices has properties posted an increment of Key localities in terms of price increase increased by 50 basis points as compared 16.8% over the Sep 2013 to Sep 2016 were Nerul, Ulwe and Ghansoli, where to the Apr-Jun 2016 quarter. While the period, while the price of UC properties both UC and RM prices rose significantly weighted average price of RM properties increased by only 3.5% in the same

Price change basis construction status Top localities by consumer preference in Jul-Sep 2016 period THANE propindex.magicbricks.com 16 VOL6, ISSUE 2; JUL-SEP, FY 2016-17

[PROPINDEX - THANE] [Key Takeaways] The City Index witnessed a marginal fell by 0.2%. This category also Mumbai. The region accounts for less 0.15% increment over the previous witnessed the biggest fall in the than 5% of the supply in the city, quarter after declining by 1.4% previous quarter and the prices here fell by 0.1% In the Jul-Sep 2016 quarter, 63% East Thane caters to buyers in the South Thane has less development of the localities witnessed a price lower mid and mid segments and space as the city gives way to Navi increase averaging around 2.2%. The accounts for more than a third of Mumbai region. The quarterly prices balance localities witnessed average the city’s total supply. East Thane climbed by 4.9% for this region price decline of 2.0% properties are available in the below Analysis across 42 localities in Thane The quarterly price movement data Rs 3,000 per sq ft budget segment. shows that on an average, Ready-to shows that prices across five out of The region witnessed a quarterly Move-in properties were 16% more seven budget segments improved price increase of 0.9% expensive than Under Construction from the last quarter. Of these, North Thane provides a variety of properties available here during the except the Rs 11,000–12,000 per options with property prices starting Jul-Sep 2016 period sq ft segment, the rest four saw a at Rs 3,000 per sq ft and going Key localities in terms of price significant increment of over 1% upwards of Rs 12,000 per sq ft. increase were Dombivli East, Kalwa, The biggest fall in prices was Prices fell by 0.5% in this region and Ghodbunder Road, where witnessed in the Rs 9,000-11,000 West Thane is the costliest part both UC and RM prices increased per sq ft price range where prices of the city due to its proximity to significantly

Thane swings into action EDITORIAL hane’s real estate saw on-ground planned spaces cumulatively compel everyone as it will have the capability to fulfil the basic transactions this quarter due to the to expect a growth-oriented 2016. needs of the residents. city-wide development drive. Activities T Property prices are slowly on the rise but going Being so close to Mumbai with its plethora of undertaken included upping the social forward, due to rapid development, these may benefits, the city has beckoned many reputed infrastructure; upgrading water treatment rise. A growing interest from the local workforce developers to launch affordable and premium plants; supply of potable water and and investors might also push prices. housing projects. In future, Thane’s prospects underground drainage network. All these lead seem bright. It has the potential to provide an to impacting the real estate sector positively. Enhanced connectivity will trigger further all-round living experience at affordable costs. development of the real estate. Development The affordable housing segment of Thane can authorities have planned a monorail network Thane has been newly added to the list of 27 expect a facelift this year. Two developers’ to serve as a feeder system to a Metro project Smart Cities. Under this project, it will take associations signed a MoU to build 5.69 lakh planned here. The MMRDA finalised the corridor up work for a new station at Kopri, grade affordable dwelling units across MMR. Despite - from Wadala to Kasarvadavali on Ghodbunder separators at Teen Haath Naka, SATIS at Thane the 6% increase in the ready reckoner rate, Road. The road will provide quick accessibility to East, water metering, strengthening the water experts are of the opinion that infrastructure Mira Road from Thane and other micro-markets supply and sewage disposal, to name a few, will be a driving factor for the city’s realty. such as Mulund, Bhandup and . over the next five years. Also, the entire Kalyan Other influencing aspects such as home loan station, roads, water distribution, closure of The social infrastructure is also undergoing affordability; availability of modern and quality Adharwadi dumping ground, development of a rapid development. In another year or so, Thane building projects; well-designed and efficiently 24-km waterfront will be developed. will easily score over other Mumbai suburbs, Magicbricks Bureau VOL6, ISSUE 2; JUL-SEP, FY 2016-17 17 propindex.magicbricks.com THANE

Geographical distribution of localities The map shows the geographical spread of localities that are considered for calculating the East Thane dominates the development landscape City Price Index

Thane caters largely to spill over demand from the middle income working population of Mumbai, and has price points much lower than the micro markets of Mumbai

Overall, the city has almost three fourth of its supply in under Rs 11,000 per sq ft budget

Unlike other TIER-I cities of India, the micro markets of Thane are widely distributed across the city because of various forest and hilly areas in between various clusters

Unlike other cities, where the prices decline concentrically as one moves away from the city, in Thane premium development is located on the boundary it shares with Mumbai city instead of its centre

It accounts for 89% of consumer preference and 86% of actively traded properties

The graph shows the distribution of Properties distribution by capital value (Rs/sq ft) actively traded properties by their capital Apr-Jun 2016 to Jul-Sep 2016 values. The properties are distributed over a wide range and are dominated primarily by the mid and premium level budget segments. The emergence of various commercial centres close to Thane and away from the expensive has led to the rise of real estate prices in areas like Vartak Nagar and Majiwada The city has developed in a horizontal manner, going towards east, with the start of the development situated at the boundary of Mumbai and Thane cities Although roads like Kalyan-Shilphata Road, Kalyan Road, Agra Road and Kalyan-Badlapur Road, have emerged as prime areas for real estate development, actual residential development has closely followed the railway lines, which act as a lifeline for the working population of Thane THANE propindex.magicbricks.com 18 VOL6, ISSUE 2; JUL-SEP, FY 2016-17

Over the years, real estate prices in Thane have steadily moved up. Currently, a significant two third of the city’s supply has been priced above Rs 8,000 per sq ft, a trend that has become characteristic of the Mumbai Metropolitan Region (MMR) This real estate price boom has unfortunately left only 15 per cent of the supply in the below Rs 5,000 per sq ft budget segment, which is mostly located in the distant developments of localities such as Bhiwandi, Ambernath, Badlapur and Titwala Properties in the budget segment of Rs 5,000-8,000 per sq ft is available in a very narrow stretch of the Dombivli- Kalyan corridor, providing options in the range of Rs 50-80 lakh In spite of Thane’s history of being an outskirt to the city of Mumbai, very few localities in the city have been able to provide properties in the below Rs 3,000 per sq ft segment

[CITY INDEX] localities, chosen using the twin criterion of share in the overall Jul-Sep 2013 to Jul-Sep 2016 consumer preference and actively traded properties. Weightage assigned to each is its share of consumer preference, making a comprehensive Index, covering localities with high consumer preference and high number of actively traded properties in the secondary market

The City Index witnessed a marginal a price increase averaging around 2.2%. 0.15% increment over the previous The balance localities witnessed average quarter after declining by 1.4% in the price decline of 2.0% previous quarter. This quarter had more localities with price increment than price The City Index for Thane reflects the decline. Of the localities 63% witnessed price movement across 42 prominent VOL6, ISSUE 2; JUL-SEP, FY 2016-17 19 propindex.magicbricks.com THANE

To understand the contribution of Budget wise price change various budget segments and localities Apr-Jun 2016 to Jul-Sep 2016 in the Index movement, we have grouped 42 localities under the Index into budget segments on the basis of their capital values. A further micro picture of price movement in Thane is presented by looking at the price change across different geographies and their constituent budget segments The quarterly price movement data shows that prices across five out of seven budget segments improved from the last quarter. Of these, except the Rs 11,000–12,000 per sq ft segment, the remaining four witnessed a significant price increment of more than 1% during the quarter The biggest fall in prices was witnessed in the Rs 9,000-11,000 per sq ft price range where prices fell by 0.2%. This category also witnessed the biggest fall in the previous quarter East Geographic and budget wise price change East Thane caters to buyers in the lower Apr-Jun 2016 to Jul-Sep 2016 mid and mid segments and accounts for more than a third of the total city’s supply. East is the only region in Thane where properties are available in the Rs 3,000 per sq ft budget range East Thane is the most geographically distributed region of all and includes prime areas like Dombivli, Kalyan and Badlapur. Prices climbed by 0.9% in the region in this quarter North North Thane provides a variety of options with property prices starting at Rs 3,000 per sq ft and going upwards of Rs 12,000 per sq ft. North Thane localities, on the Thane- Ghodbunder Road, are much more closely packed compared to the East. Prices fell by 0.5% in this region West West Thane is the costliest part of the city and is in proximity to Mumbai that THANE propindex.magicbricks.com 20 VOL6, ISSUE 2; JUL-SEP, FY 2016-17

provides significant benefits. Almost Price change – Top localities by consumer preference all properties available here are priced Apr-Jun 2016 to Jul-Sep 2016 above Rs 11,000 per sq ft. The region accounts for less than 5% of the total supply of the city and prices here fell by a marginal 0.1% South South Thane has very less development space as the city gives way to Navi Mumbai region. Shilphata and Thane East are the key localities in this region. The quarterly prices climbed by a significant 4.9% for this region Centre Thane is one of the few cities where the central part is not the costliest. Prices in this region actually vary in the range of Rs 8,000-12,000 per sq ft. Majiwada and Kalwa are the key localities in the Central region that fall in the above price structure. Prices in this region increased by a marginal 0.1% over the last quarter

Price trend basis construction status Jul-Sep 2013 to Jul-Sep 2016 VOL6, ISSUE 2; JUL-SEP, FY 2016-17 21 propindex.magicbricks.com THANE

The given graph shows the trend in 2015. While the weighted average price period, while the price of UC properties the prices of ‘Ready-to-Move-in’ (RM) of RM properties was Rs 8,154 per sq ft, moved up by around 11.5% during the properties and Under Construction (UC) the same for UC properties was Rs 7,003 same period properties. Analysis across 42 localities per sq ft. in Thane shows that on an average, RM The below graph shows the price properties were 16% more expensive Average price of UC properties moved up trend in the top 10 areas by consumer than UC properties during the by a significant 2.2% while RM property preference. Key localities in terms of price Jul-Sep 2016 period. prices increased by a marginal 0.2% as increase were Dombivli East, Kalwa and compared to the previous quarter Ghodbunder Road, where both UC and The average percentage difference in RM prices increased significantly. While the UC versus RM property prices has In terms of cumulative price increase, RM prices moved both up and down, all been steadily falling over the last five RM properties posted a price increment major localities had UC prices moving up quarters, from a high of 23% in June of 8.9% over the Sep 2013 to Sep 2016 in the quarter

Price change basis construction status Top localities by consumer preference in Jul-Sep 2016 period MUMBAI propindex.magicbricks.com 22 VOL6, ISSUE 2; JUL-SEP, FY 2016-17

Capital values LOCALITY CAPITAL RENTAL YIELD

Andheri West 16383-26547 37000-60000 2.7% Bandra West 31395-51217 60000-101000 2.4% Bhandup East 11926-16357 28000-36000 2.7% East 11191-17828 25000-37000 2.5% Borivali West 12134-18692 23000-35000 2.3% Colaba 30417-48734 78000-119000 2.8% Dadar East 23235-39731 52000-81000 2.7% Dadar West 25215-40611 57000-88000 2.6% Dahisar East 7970-13034 19000-29000 2.8% Dahisar West 11364-16590 22000-31000 2.3% Ghatkopar East 13080-24034 30000-48000 2.4% Ghatkopar West 14684-21480 31000-44000 2.5% Goregaon East 12317-19383 28000-46000 2.8% Juhu 24088-38273 49000-81000 2.3% Kalina 16763-24322 38000-58000 2.7% Kalyan 4825-7557 8000-14000 2.4% Kandivali East 11946-18430 25000-38000 2.5% Kandivali West 10352-17415 24000-37000 2.6% Kanjurmarg East 11335-18260 29000-40000 2.8% Khar West 29771-48621 57000-94000 2.3% 18036-30131 38000-61000 2.5% Lower Parel 25084-42395 58000-101000 2.8% Mahim 22946-36749 50000-77000 2.6% Mahim West 25640-39292 50000-77000 2.3% Malad East 10898-18173 26000-41000 2.7% Matunga West 24258-41628 54000-80000 2.4% Mira Bhayandar 6029-8671 13000-19000 2.7% Mira Road 6053-8809 13000-20000 2.7% Mulund East 12639-18751 26000-38000 2.4% Mulund West 11430-18787 27000-41000 2.6% Nalasopara 3369-5273 6000-9000 2.1% Nalasopara West 3252-4958 6000-8000 2.1% Pali Hill 36532-58596 70000-122000 2.4% Prabhadevi 28986-48004 66000-111000 2.7% Santacruz East 16214-25054 37000-61000 2.7% Santacruz West 28301-45170 55000-91000 2.4% Shivaji Park 26952-45032 60000-90000 2.6% Sion 12432-22206 31000-49000 2.8% Thakur Complex 13189-17843 26000-37000 2.4% Thakur Village 12383-19939 26000-39000 2.4% Tilak Nagar - Harbour Line 11773-17889 28000-44000 2.7% Vakola 16755-24800 38000-55000 2.6% Vasai 4092-6345 9000-13000 2.5% Vasai East 3921-5697 9000-12000 2.6% Vikhroli East 13639-22138 33000-45000 2.6% Vikhroli West 14050-21003 34000-50000 2.8% East 20784-32987 45000-70000 2.5% Vile Parle West 23378-37055 46000-76000 2.4% Virar 3493-5415 6000-10000 2.2% Virar West 3559-5367 6000-10000 2.1% Worli 27899-45791 63000-104000 2.7% VOL6, ISSUE 2; JUL-SEP, FY 2016-17 23 propindex.magicbricks.com NAVI MUMBAI

Capital values LOCALITY CAPITAL RENTAL YIELD

Airoli 7968-12671 18000-28000 2.7% Belapur 7942-12581 16000-27000 2.7% CBD Belapur 7597-13213 17000-28000 2.7% Ghansoli 7705-11158 17000-26000 2.7% Kalamboli 5044-6952 8000-12000 2.00% Kamothe 5723-7762 9000-14000 2.1% Karanjade 4233-5387 7000-9000 1.9% Kharghar 6380-9725 11000-18000 2.2% Kopar Khairane 7728-12089 18000-28000 2.7% Nerul 9268-14501 18000-30000 2.4% New Panvel 3809-7129 8000-15000 2.6% Palm Beach Road 10092-17754 18000-31000 2.1% Panvel 4304-6917 7000-13000 2.1% Road Pali 5480-7314 8000-11000 1.8% Sanpada 9894-16154 21000-34000 2.4% Seawoods 8395-13164 17000-29000 2.6% Sector 36 6670-8835 9000-13000 1.7% Taloja 3630-5457 6000-10000 2.1% Ulwe 5000-6972 5000-8000 1.3% Vashi 9347-16524 21000-34000 2.4% THANE propindex.magicbricks.com 24 VOL6, ISSUE 2; JUL-SEP, FY 2016-17

Capital values LOCALITY CAPITAL RENTAL YIELD

Ambernath 3053-4852 7000-10000 2.6% Anand Nagar 7435-10897 16000-24000 2.6% Badlapur 2979-4402 6000-9000 2.4% Badlapur East 2952-4308 6000-9000 2.4% Balkum Village 7628-11372 14000-24000 2.6% Bhayanderpada 7093-10023 12000-18000 2.1% Dhokali 8747-12717 18000-26000 2.4% Dombivli 4860-7775 9000-15000 2.2% Dombivli East 4794-7723 9000-15000 2.3% Dombivli West 5401-8311 9000-16000 2.1% Ghodbunder Road 7469-11690 16000-26000 2.6% Hiranandani Estate 10021-16650 20000-29000 2.4% Hiranandani Meadows 15740-23436 23000-33000 1.7% Kalwa 7069-10557 14000-21000 2.5% Kalyan East 4525-7295 8000-14000 2.5% Kalyan West 4836-7445 9000-14000 2.3% Kasarvadavali 6814-9898 14000-21000 2.4% Kavesar 7808-11482 17000-24000 2.5% Kolshet Road 7756-11525 17000-26000 2.8% Majiwada 9578-13935 19000-30000 2.4% Manpada 8926-13213 18000-27000 2.4% Owale 7218-9584 13000-19000 2.3% Panch Pakhadi 11274-16471 23000-32000 2.3% Patlipada 8624-12874 18000-28000 2.6% Pokharan Road No. 2 10299-14095 20000-29000 2.4% Pokhran Road 10329-14845 20000-28000 2.3% Teen Hath Naka 13046-20773 23000-33000 2.2% Thane West 8180-13545 19000-30000 2.6% Titwala 3158-4935 7000-10000 2.7% Vartak Nagar 8572-13709 21000-29000 2.6% Vasant Vihar 10199-14653 20000-29000 2.4% Waghbil 7988-11173 17000-25000 2.6%

26 Corridor of growth (COG)

ANDHERI - GOREGAON

Corridor Description and Rating Areas Included: Andheri (West), Goregaon (West), Andheri (East) and Goregaon (East)

Fig 1: Map of the corridor 27 Corridor of growth (COG)

About the Corridor The area has also been historically blessed construction occupying at least 70% of the Historic Development with strong transport linkages including the available residential land in the corridor. The The Andheri-Goregaon corridor is broadly , Western line of old residential buildings are mostly Ground +2 enclosed between the Chhatrapati Shivaji the Mumbai Suburban Railway providing structures and are poorly maintained while International Airport in the south, the connectivity to both South Mumbai, the the new residential projects are all in the Sanjay Gandhi National Park in the north, northern suburbs and peripheral areas. upper-mid or luxury segments, providing a lot the in the east and the Versova of amenities. Beach and Malad Creek on the west. Much The New Link Road and the Swami Vivekanand of the development in the corridor is quite Road, also running from north to south, have Andheri East, closest to the airport, has old, existing from before 1990s. With the been instrumental in the development of witnessed development of a number of booming of the economy and rising prices residential areas on the west of the Western offices and hotels on both Sri Mathuradas of the commercial sector in South Mumbai line. While the corridor had excellent Vasanji Road and Guru Hargovindji Road and led to many corporate houses shifting to this North-South connectivity but the East-West houses corporates like Hindustan Uniliver and particular area. This provided less congestion, connectivity was abysmally poor. But this Glenpark. Areas along the western railway line proximity to the Airport, better connectivity also changed after the construction of the are congested due to lack of planning in these and less costly real estate for office space as Ghatkopar–Versova line, which has reduced areas. well as employee accommodation. the East-West travel time by more than half. Though due to the presence of the airport, the As an area adjacent to the glamorous Juhu The presence of Versova Beach on the western Western Express Highway witnesses traffic area and having premium localities like side has led to many premium residential congestion during peak hours. Lokhandwala Complex, Andheri West has seen developments like the Lokhandwala Complex. significant re-development in recent years Many new projects were started and with luxury projects like Rustomjee Elements completed in order to attract home buyers. On Upcoming Infrastructure which has apartments starting at Rs 10 the other hand, the eastern side of the corridor This will be further boosted by the crore and is already 70% constructed. Adani witnessed constrain in the development in construction of multiple metro lines and Western Heights, with apartments starting areas above the Jogeshwari–Vikhroli Link the elevated rail corridor. Currently, seven at Rs 3 crore, is also in the advanced stages of Road due to the special land use nature of the other lines are planned to be constructed in construction. area with forests and cattle ranges. the city of Mumbai of which four lines are The average prices for residential properties The Andheri-Goregaon corridor has four passing through the corridor. These lines currently under construction in Andheri West major regions namely Andheri-East, Andheri- are the Dahisar-Charkop-Bandra-Mankhurd ranges between Rs 18,000-20,000 per sq ft West, Goregaon-East and Goregaon-West. Metro Line, the JVLR–Kanjurmarg Metro Line, while projects in Andheri East are priced a Of the four regions, Andheri West is the the Dahisar E-Andheri E Metro Line and the notch lower at Rs 16,000-18,000 per sq ft. The most developed with a number of premium Colaba-Bandra-SEEPZ Metro Line. Work on new properties that are under construction is residential developments avaialble at ease both the Dahisar-Charkop-Bandra-Mankhurd also providing modern amenities and facilities while Goregaon East is the least developed Metro Line and the Dahisar E-Andheri E Metro for the home buyers here. due to a significant portion of its landmass Line is expected to start soon and will get falling under the special land use. completed by 2019. Preliminary Work on the In addition, there are also a number of under Colaba-Bandra-SEEPZ Metro Line has already construction hotels and offices in this area. started and is expected to be finished by 2021. This shows there is also development taking place in teh commercial space as well. The Present Infrastructure In addition, the plan to create an elevated The corridor has had strong infrastructure roads are wider compared to Andheri East and rail corridor between Bandra and Virar was linkages with many key infrastructure the area scores high on social infrastructure also proposed by the Rail Minister during the landmarks present here including the with a large number of hospitals, including the February rail budget this year. Work might Chhatrapati Shivaji International Airport and famous Kokilaben Dhirubhai Ambani Hospital, start as soon as August 2016. All these mass the Santacruz Electronics Export Processing and the 2.5 lakhs Sq ft Infinity Mall. There are transportation systems are going to change Zone (SEEPZ). schools, parks, restaurants including other with the mobility landscape of the corridor, facilities that are easily avilable in this corridor. While the airport has been a strong driver providing opportunity to its residents. of commercial real estate development in Development in West Goregaon is much newer Andheri East as well as along the Western than those of Andheri East and West, and Express Highway (NH-8), the SEEPZ led to Current Development these areas are also prime spots for residential many residential developments in the 90s era. The corridor is a mix of old and new and commercial real estate development. constructions with the old residential Areas on both the New Link Road and the 28 Corridor of growth (COG)

Swami Vivekanand Road are mostly residential The average prices for residential properties in along with cheaper rentals compared to south and high-street. the locality hovers around Rs 13,000-15,000 and central Mumbai. There are number of new per sq ft. The commercial development here projects that are coming up in the commercial The key under construction developments in is mostly witnessed on the Western Express space, which is attracting investors. this area include the Ariisto Sommet, Imperial Highway, in areas like the CAMA Industrial Heights by Radius Developers, Kalpataru Estate. There is plenty of green space in the Radiance, HDIL The Meadows and Sunteck City area, which is an advantage for development Outlook Avenue. On an average, the area is Rs 1000- of this corridor, although the residential The corridor is a prime destination of 2,000 per sq ft cheaper than Andheri even developments near the Film city, on Aarey residential, commercial, retail and hotel though it does not lose out on the location. Road are mostly affordable in nature and but developments in the region and will benefit There is not much commercial development the area is little difficult to commute. greatly from the number of infrastructure taking place in the area, which is mostly in projects active here. New infratsructure Goregaon East. There is no quality mall in projects are already in pipeline such as Goregaon West although both the 6 lakh sq ft Commercial Development extension of metro line, railway line, including Inorbit Mall in Malad and the Oberoi Mall in Mumbai is quite desirable for commercial others. Goregaon East are close by. development. People from far away places However, the current state of traffic congestion migrate to the city for setting up their business Goregaon East has much less development seen on the Western Express Highway is for growth. In fact, many multinational compared to the rest of the corridor with a situation of concern and has resulted in companies are also having their presense in most of it being concentrated on the Western buyers shifting to Central Suburbs (comprising this city, which is helping to generate potential Express Highway and in areas near the Film localities like Mulund and Kanjurmarg) for new employment and revenue for the state of City. The leading developers such as Oberoi home purchases. The corridor does not have . Majority of the commercial Realty, Omkar, Lodha Group and Paranjape any land availability, which is also a concern. development on the corridor has been Schemes have luxury residential projects under But one thing is vital to know about this mushrooming on the narrow stretch of land various stages of construction in the micro corridor is that most of the ongoing projects on both sides of the Western Express Highway, market. The home buyers are also showing are re-developments, providing limited scope benefiting from the connectivity provided by immense interests in these properties. for future development. But, the area is rated the expressway and proximity to the airport, high on social infrastructure.

Overall Connectivity Social Infrastructure Security/Water

Properties available in the corridor he corridor offers a significantly wide of properties here is Rs 80 lakh, making all points of upto Rs 2.5 crore, post which the variety of price ranges, much more than the properties fall in the luxury category contribution to the total pie starts diminishing Tin any other growth corridor across and making this the only corridor catering for each price segment. The corridor is in a India and which also has properties costlier exclusively to the luxury segment. The well-developed part of Mumbai and majority than in any other corridor. The starting price properties are fairly distributed across price of the available listings are ready-to-move-in,

Fig 2: Distribution of properties by price Fig 3: Distribution of properties by delivery status Fig 4: Distribution of properties by bedroom configuration 29 Corridor of growth (COG)

Table 1: Sizes and prices of flats available for providing immediate possession. Given the varying along the length of the corridor, falling various room configurations expensive nature of the residential sector in as one moves north and away from southern Sales Price Covered Area this region, more than 40% of the supply is Mumbai. While the range of apartment sizes ( Lacs) (Sq.ft) in the 2BHK category, followed by the 3BHK is large, the majority of configurations of 1, 2, 1 BHK 75-160 540-710 format with one third of the supply, leaving 3 and 4BHK units are around 630, 1100, 1600 2 BHK 120-280 860-1270 just 10% for 4BHK units and above. and 2600 sq ft respectively. These sizes are slightly more than the average sizes available 3 BHK 220-470 1,280-1,910 The corridor provides a wide range of choices in cities across India. 4 BHK & above 285-865 1,890-3,340 for each bedroom configuration with prices Best sectors to invest in a home Based on rental demand in sectors

Fig 5: Top 10 localities by consumer for renting a house he top 4 localities for rental demand total demand while Goregaon East and West the west of the western rail line, while only are the four key regions located on the account for almost 30%. Of the next six Marol and JVLR lie on the east of the same. Tcorridor with Andheri East and Andheri localities, Versova, Jogeshwari West, Juhu- The property prices available for renting in this West constituting near about 60% of the Versova Link Road and Shastri Nagar all lie on corridor are between Rs 41,300-61,100. Based on home buying demand in sectors

Fig 6: Top 10 localities by consumer for buying a house 30 Corridor of growth (COG)

he home buying tendency follows returns to owners and hence, more people the top ten localities by consumer searches for closely with the rent seeking tendency will be looking to buy in these localities. renting a house. Ton the corridor. All the localities which Consequently, eight of the top ten localities by have high rental demand will give better consumer searches for buying a house, are in

Best bedroom configurations to buy Preferred buying and renting options

Table 2: Demand distribution for buying and renting he corridor is being preferred for buying equal for 1 and 3BHK formats, but there is a Buying Renting and renting purpose as there is a potential renting options available in 1BHK Total (BHKs) Total (BHKs) Tpotential options available for the home format in this particular corridor. The rental 1 BHK 26% 43% buyers . The 2BHK format is the predominant demand for the 1BHK format far outstrips the 2 BHK 43% 35% apartment type in the Andheri-Goregaon 3BHK and even the 2BHK units in this corridor. Corridor, occupying 43% of consumer demand This is in line with the supply, as 1BHK units 3 BHK 23% 20% for buying a house and 35% demand for have a much higher availability for renting as 4 and Above 7% 2% renting. While the buying demand is almost compared to the supply for sale. Price changes and future prospects

Historic Price movement Corridor Average Price Rs/sqft Table 3: Historical Price changes 6 monthly change Yearly change -1% -1% umbai market has been very stable compared to the rest of India, and Mthe price changes have been largely constrained in this market. The Andheri- Goregaon corridor has witnessed sale transactions as well as inventory additions, keeping pricing stable for the corridor. The price changes for the last 5 quarters had a narrow range of -2% to 4.3%. Going forward, in the long term, not only the upcoming supply is going to be restricted in the corridor, but the infrastructure of the corridor will also improve with the upcoming 4 metro lines, putting upward pressure on the prices.

Fig 7: Historical Price changes of corridor 31 Corridor of growth (COG)

Price movement for top localities by Consumer Preference

he last quarter has witnessed the fall in prices for three of the top four key localities in the corridor. However the Tdecline in price did not hold a pattern and has been because of seasonal changes. The only locality, which witnessed a price increase in the last quarter was Goregaon East. However, the price increase is less than 1%. The price movement is happening according to the demand of the consumer preference in the corridor.

Fig 8: Price changes in top localities by consumer demand

Master Plan s a result of space crunch, the city, lot of vertical development in the city. As the of residential/commercial development are on the basis of available support city’s population gets richer, the demand for expected to witness water shortage in future. Ainfrastructure, provides developable bigger homes will rise. As a result, the city Overall, while there is a severe dearth of land area on a plot of land to be between 200% has devised a unique system of increasing the in the corridor for residential use, leading and 800%, in its new development plan developable space in projects. to re-development of industrial areas, 2014-34. This trend is rarely witnessed in which forms around 10% of the city’s total However, vertical development puts direct other cities of India, where the ratio is usually developable area. pressure on the resources and areas with lots between 150% and 300%. This has led to a Infrastructure Updates connectivity to the eastern portions of the Versova–Andheri–Ghat- JVLR–Kanjurmarg Metro . kopar Metro Line Line This line is already operational, connecting This is the connecting line between the Andheri East with Andheri West and runs very Andheri-Dahisar Line in the west, Colaba- Colaba-Bandra-SEEPZ close to the airport. This line actually connects Bandra-SEEPZ Line in the centre and Wadala- the eastern and western suburbs of the city. Metro Line Ghatkopar-Thane-Kasarvadavali Metro Line in Preliminary Work on the Colaba-Bandra-SEEPZ the east. This line runs parallel to the JVLR road. Metro Line has already started and is expected Dahisar-Charkop-Bandra- It will also help to improve the connectivity to to be finished by 2021. This line connects the other parts of the city. corridor with South Mumbai while passing Mankhurd Metro Line through the airport. Work on the line is expected to start soon and to be completed by 2019. The line connects Dahisar E - Andheri E Metro the north of the Western Suburbs with Central Line Bandra-Virar Elevated Rail and East Mumbai regions and it is fully Work on the line is expected to start soon and underground network. Line be completed by 2019. The line runs parallel Although this project has been in the to the Western Express Highway and provides backburner for some time due to it running 32 Corridor of growth (COG)

IN NEWS Goregaon offers attractive housing options Goregaon: Most preferred residential locality in Mumbai Goregaon offers attractive housing options to consumers. Majorly, Today, Goregaon is considered to be the most sought after location for the residential complexes in this locality provide luxury and comfort real estate development and growth. Goregaon has well developed in terms of amenities such as swimming pools, clubs, restaurants, social and physical infrastructure and this has made the locality sports platforms and courts, kids’ club, etc. At the moment, there are one of the most preferred residential localities in Mumbai. The area a number of new residential projects coming up in both, Goregaon has witnessed unprecedented growth in the last few years. It has East and West. Prominent realtors have invested in the area, as they emerged as a sought-after location for potential buyers and investors are quite confident about the return on investment. The fundamental alike. Located in the northern part of Mumbai, this suburb is easily reason behind Goregaon’s growth is that other areas such as accessible. This suburb is close to commercial areas such as Andheri Bandra, Andheri and Powai belts are unaffordable for many. This and Bandra. The Western Express Highway is in proximity making it spills the demand to areas such as Goregaon, as property prices are easy for the residents to reach other parts of the city conveniently. comparatively affordable. n Source:The Times of India n Source: Magicbricks Bureau Property investors are exploring new avenues Andheri West offers new residential supply The property investors are showing interests in the Andheri real estate If you are looking for buying properties in Mumbai then Andheri has market immensely. Actually, a number of start-up firms have set up something to offer. Andheri West is located at a distance of 6 km from their offices in the locations (Andheri), which has fuelled growth for the Western Express Highway ensuring connectivity across the city. housing demand in the surrounding locations. The developers are The nearest railway station is at a distance also providing modern facilities that will attract home buyers. Areas of 4 km and Mumbai International Airport at 7 km. The locality located in the western suburbs have good investment options for a offers a well-fabricated social infrastructure with schools, hospitals, home-buyer to consider. Some of the other factors to consider when commercial complexes and banks. If you are looking to buying investing in a property are connectivity and social infrastructure a property and wish to live in a locality offering a good lifestyle, development in and around the area. Andheri and Goregaon have the developed infrastructure, good connectively and affordable capital future demand, connectivity, infrastructure development and growth, values, Andheri West can be worth considering. which will attract buyers to the location. n Source: Magicbricks Bureau n Source: The Times of India MALAD - DAHISAR

Corridor Description and Rating Areas Included: Malad (E), Malad (W), Kandivali (W), Kandivali (E), Borivali (W), Borivali (E), Dahisar (E) and Dahisar (W)

Fig 1: Map of the corridor 34 Corridor of growth (COG)

About the Corridor Historic development: The Malad-Dahisar The New Link Road and the Swami Vivekanand also broader here compared to Goregaon and a Corridor is broadly enclosed by the Goregaon- Road, running from north to south, have been number of residential and hotel developments Mulund Link Road in the south and the instrumental in the development of residential can be witnessed in the area. There are a Dahisar Toll Naka in the north. The corridor areas on the west of the Western Line. number of luxury residential projects with has Sanjay Gandhi National Park in the east most having completed more than 50% Unlike the Andheri-Goregaon Corridor, and the Manori and Malad Creeks in the west. construction. Rajesh Lifespaces and Sheth which required east-west connectivity, the This corridor was created due to a variety of Creators, are some of the key developers in Malad-Dahisar Corridor expanded in a narrow factors, including sky high prices of real estate this area. The stretch also has the 7 lakh sq ft north-south stretch and did not face such to the south as well as poor land availability. Infiniti Mall, along with well-developed areas problems. Hence, although the corridor does Proximity to the old city of Mumbai as well across it. not have any metro line running through it like as to the airport led to early development of the Ghatkopar–Versova Line in the Andheri- Malad East is a mass of rural developments areas south of the Malad-Dahisar Corridor, Goregaon Corridor, buyers still prefer this to a at the back and premium developments including the Andheri-Goregaon Corridor. certain extent due to cheaper prices and lesser near the Western Express Highway. The As a result, while those areas have mostly traffic congestions. micro-market currently has a number of big older developments as well as problems residential projects witnessing significant of congestion, the Malad-Dahisar Corridor Upcoming Infrastructure: The connectivity construction activity. As most of the projects remains devoid of these to a major extent. Due in the corridor will be further boosted by the here are close to the Western Express Highway, to the presence of Manori and Malad Creeks construction of multiple metro lines and the connectivity is not as big an issue, in spite of in the west and the Sanjay Gandhi National elevated rail corridor. Currently there are seven Malad East being congested in internal areas. Park in the east, the corridor could not expand other lines planned in Mumbai of which two Kanakia Group, Omkar Realtors and JP Infra in the east-west direction and instead grew are passing through this corridor. These are are key developers here with large upcoming northwards till the Thane boundary. the Dahisar-Charkop-Bandra-Mankhurd Metro developments. Except the Infinity IT Park, Line and the Dahisar (E) - Andheri (E) Metro The development of the corridor has happened there is not much commercial development Line. Work on both these lines is expected in a step by step manner and as one moves in the area, when compared to other Western to start soon and be completed by 2019. In from south to north the quantum of older Suburb areas lying on the Western Express addition, the plan to create an elevated rail developments (over a decade), reduces Highway. The average prices of residential corridor between Bandra and Virar was also significantly. properties in Malad East and West ranges proposed by the Rail Minister in the budget between Rs 14,000-15,000 per sq ft. The Malad-Dahisar Corridor has a number of in February this year, where the work might regions as part of the corridor. These are Malad start as soon as August 2016. All these mass Kandivali West has witnessed a relatively East, Malad West, Kandivali West, Kandivali transportation systems are going to change flat development over the last decade and East, Borivali West, Borivali East, Dahisar the mobility landscape of the corridor, much of the residential supply is in the form East and Dahisar West. Of these, the Malad providing tremendous opportunity to its of Cooperative Group Housing Societies. The and Kandivali regions are more developed residents. construction here is fairly new and mostly not and have many old colonies and cooperative more than a decade old. Rustomjee, Mayfair Current Development: The corridor is a group housing societies. Borivali and Dahisar Housing, Royal Realtors, Acme Group, HDIL, mix of old and new residential constructions regions, on the other hand, are fairly recently Mayfair Housing and Ruparel Estates are key with the old occupying 50% of the available developed, though they lack in holistic developers in this area with projects either residential land in the corridor. The old development witnessed in the south. undergoing development or in the possession residential buildings are mostly Ground + 5 to stage. Prices for properties here are a notch Present Infrastructure: The corridor has 10 floor structures, while the new residential lower than Malad at Rs 11,000-12,000 per sq been considered on the outskirts of Mumbai projects are all in the upper-mid or luxury ft. There is no Grade A mall development or city. It has been in the limelight for the last segments, providing a lot of amenities. In commercial development in the area though decade because of the connectivity it provides general, one witnesses less older constructions it has fairly developed retail high streets. The to the rest of the city. The corridor has strong as one moves from Malad to Dahisar and the area also has a number of schools, hospitals infrastructure with both the Western Express price of properties also comes down. and colleges, earning it a high score on social Highway (NH-8) and the Western Line of Malad West and East, is the southern most infrastructure. the Mumbai Suburban Railway running region of the corridor and has a significant through its full length. These have provided Unlike Kandivali West, Kandivali East has amount of older construction, although much connectivity to both South Mumbai and the witnessed a significant amount of high less than the adjacent Goregaon, and also a northern suburbs and peripheral areas. rise developments. Even areas like Thakur number of new developments. The roads are Complex, which houses a number of 35 Corridor of growth (COG)

Cooperative Group Housing Societies, has a projects by Grade A developers like Oberoi Commercial Development: Similar to number of high rises. Lokhandwala Township Realty, Kanakia Group, Sheth Developers and the Andheri-Dahisar Corridor, the region of is another well-developed area with a Rustomjee in this area. Due to unavailability the corridor falling on the west has very few significant residential supply. White City by of space, the locality does not provide much in commercial development as most of these Rajesh LifeSpaces, Epsilon by Shapoorji Pallonji terms of social infrastructure. are on the Western Express Highway. The and Gundecha Greens by Gundecha Group are commercial development on the Western Dahisar West and East, forms the north most some of the under construction developments. Express Highway has been mushrooming portion of the corridor and naturally has A significant portion of the land is used by on the narrow stretch of land on both sides, the cheapest of residential developments Mahindra and Mahindra Manufacturing Plant, benefiting from the connectivity provided (average price of Rs 10,000-12,000 per sq ft) leading to development in areas away from by the expressway and the western railway in the corridor. The area is small compared to the Western Express Highway. Overall, it is a line running parallel to it, along with cheaper other localities in the corridor. premium locality. Prices of projects here are rentals compared to south and central on the west and north of the locality largely more than those in Kahdivali West and almost Mumbai. restricts development. Most of the ongoing equal to those in Malad. developments here are by Grade B and C Outlook : The corridor is a prime destination Development in Borivali West is open as developers. of residential development in the region and compared to Kandivali as the area started is going to benefit greatly from the number of Dahisar East, unlike Dahisar West, has a developing later. Almog by Parinee Developers infrastructure projects active here. Although number of developments even though in size and Wadhwa Aquaria Grande are the key the corridor loses out on commercial retail Dahisar East is similar to Dahisar West. This is under construction projects here, while most and hotel developments, when compared majorly because Dahisar East does not lose other projects are being developed by Grade B to the Andheri-Goregaon corridor, it scores out space to the Dahisar River, like Dahisar developers and are being offered at a discount. much better in terms of land availability West does. The current developments are Except a handful, most development is for fresh construction and is able to provide widely spread across, leading to absence of targeted at mid segment buyers. decent sized apartments at affordable prices. congestion. Sheth Developers, Oyster Living, Hence, the area is not rated very high on social Borivali East suffers from a lack of developable A&O Realty and N Rose Developers are the key infrastructure, it is expected to perform well in area because of the presence of the Sanjay developers. the future. Gandhi National Park. There are a number of

Overall Connectivity Social Infrastructure Security/Water

Properties available in the corridor he corridor offers a significantly wide Goregaon Corridor. The starting price of catering mostly to the luxury segment. The variety of price ranges, except the properties here is Rs 60 lakh, with more than properties are fairly distributed across the TAndheri-Goregaon Corridor. The corridor three fourth of the total properties here falling price points until Rs 1.8 crore, post which the also has properties costlier than any other in the luxury category, making it the second contribution to the total pie starts diminishing corridor in India, again except the Andheri- corridor after the Andheri-Goregaon Corridor, for each price segment. The corridor is well-

Fig 2: Distribution of properties by price Fig 3: Distribution of properties by delivery status Fig 4: Distribution of properties by bedroom configuration 36 Corridor of growth (COG)

Table 1: Sizes and prices of flats available for developed and majority of the available buyers with prices varying along the length various room configurations listings are ready-to-move-in, properties. of the corridor, falling as one moves north Sales Price Covered Area Given the expensive nature of the residential and away from southern Mumbai. There are ( Lacs) (Sq.ft) sector in this region, majority of the supply options available in this corridor. While the 1 BHK 55-130 550-700 is in 2BHK category, followed by the 1BHK range of apartment sizes is rather large, the 2 BHK 100-210 840-1170 format with 28% supply. majority of configurations of 1, 2, 3 and 4BHK units is around 630 sq ft, 1100 sq ft, 1500 sq ft 3 BHK 160-315 1200-1770 The corridor provides a wide range of choices and 2400 sq ft, respectively. 4 BHK & above 220-640 1680-3190 for each bedroom configuration to the home Best sectors to invest in a home Based on rental demand in sectors

Fig 5: Top localities by consumer for renting a house he rental demand for the corridor strongly Dahisar West, which loses out to Dahisar East Line to the east portion for Dahisar, lending its tilts in favour of the western portions by a significant margin as Dahisar East is more development to it. Additionally, the western Tof Malad, Borivali and Kandivali, with easily accessible. Also, the Swami Vivekanand portions have two key roads – The New Link these three constituting almost 65% of the Marg, which lies in the western portion for all Road and the Swami Vivekanand Road, easing corridor’s total demand. The only exception is other regions, swings over the Western Rail connectivity. Based on home buying demand in sectors

Fig 6: Top 10 localitie by consumer for buying a house 37 Corridor of growth (COG)

he home buying tendency follows closely on investment to the owners and hence, more buying demand, as was witnessed for renting with the rent seeking tendency on the people will be looking to buy in properties in demand. The home buyers are showing Tcorridor. All the localities which have these localities. Consequently, the position interests in these localities for both buying and high rental demand will give better returns of most regions remain the same for home renting purpose.

Best bedroom configurations to buy Preferred buying and renting options

Table 2: Demand distribution for buying and renting he 2BHK format is the predominant share of 3BHK units is very less as compared Buying Renting apartment type in the Malad-Dahisar to the corridor., which means it is not prefered Total (BHKs) Total (BHKs) TCorridor, occupying 47% of consumer as much as 1 and 2BHKs. The figures are even 1 BHK 36% 47% demand for buying a house and 43% demand lower than those for the Andheri-Goregaon 2 BHK 47% 43% for renting a house. Units of 1BHK are the most Corridor and are unique to this corridor. sought after for renting, being responsible for Overall, the corridor witnesses much less 3 BHK 15% 10% 47% of the total. But, for buying 2BHK is more demand for the 4BHK and above category. 4 and Above 2% 1% preferred then 1BHK units in the corridor. The Price changes and future prospects

Historic Price movement Corridor Average Price Rs/sqft Table 3: Historical Price changes

6 monthly change Yearly change 0% 2% umbai market has been very stable compared to the rest of India, and Mthe price changes have been largely constrained in this market. The Malad-Dahisar corridor has witnessed sale transactions as well as inventory additions, keeping pricing stable for the corridor. The price changes for the last 5 quarters had a narrow range of -1% to 2%. While the price remained stagnant in last 6 months, it improved marginally by 2% over last year. Going forward, the upcoming supply will keep the prices range bound.

Fig 7: Historical Price changes of corridor 38 Corridor of growth (COG)

Price movement for top localities by Consumer Preference he corridor witnessed a fall of 0.8% in average prices in the last quarter, which was also reflected in the major regions of the corridor. TOf the eight key regions of the corridor, except Malad East, Dahisar West, and Dahisar East, all the other five regions witnessed a drop in prices in the range of 0.6% to 3.2%. Although, the fall in prices was witnessed after a continuous rise for the previous four quarters. Hence, going forward, the prices in the corridor are not expected to be under much downward pressure, and will be moving up mildly.

Fig 8: Price changes in top localities by consumer demand

Master Plan s a result of crunch in space, the city, India, where the ratio is usually between 150% of Natural areas, No Development Zones and on the basis of available support and 300%.There is a severe dearth of land in Natural Water Course, leading to restrictions in Ainfrastructure, provides for developable the corridor for residential use, leading to re- development. Overall, the corridor has more area on a plot of land to be between 200% and development of industrial areas, which forms developable land than the Andheri-Goregaon 800% in its new development plan 2014-34. around 10% of the city’s total developable Corridor, and the percentage of industrial area This trend is rarely witnessed in other cities of area. The corridor has significant percentage of the total area is also less.

Infrastructure Updates Dahisar-Charkop-Bandra- Dahisar-Charkop-Bandra- Bandra-Virar Elevated Rail Mankhurd Metro Line Mankhurd Metro Line Line Work on the line is expected to start soon and Although this project has been in the is expected to be completed by 2019. The line Work on the line is expected to start soon and backburner for some time due to it running connects the north of the Western Suburbs to be completed by 2019. The line connects the parallel to the Dahisar E - Andheri E Metro Line with Central and East Mumbai regions, which north of the Western Suburbs with Central and and the Dahisar-Charkop-Bandra-Mankhurd will help the commuters in the near future. East Mumbai regions and it is fully under- Metro Line, e Rail minister in the February ground network. 39 Corridor of growth (COG)

IN NEWS What Kandivali West has in store for you important road ensuring swift connectivity. The BEST (Brihanmumbai Electric Supply and Transport) buses also ensure smooth connectivity Kandivali West is a very good location in Mumbai. It is very well with other Mumbai localities and Thane too. connected to the rest of Mumbai through an extensive network of roads such as Malad-Andheri Link Road, Mulund-Goregaon Link n Source: Magicbricks Bureau Road and the Western Express Highway. Kandivali West offers a : The new realty magnet wide array of property options. Located at the junction of Mahatma Gandhi Road and Link Road, the locality is a highly preferred area Infrastructure development acts as a catalyst for growth of the among prospective home buyers. In the recent times, Kandivali West residential and commercial property segments. The Phase -1 has undergone a huge transformation wherein several commercial of the Mumbai Metro has played a pivotal role in this context. centers have made their base here. It is an amazing location where the The development of metro and its connectivity will increase the property buyers can think of investing in order to reap heavy return on buyers’ interests in the locality. Further, the metro will attract investment and have quality homes. people in its vicinity. Hence, industry experts believe that there is an enormous scope for real estate development in and around n Source: Magicbricks Bureau the metro. Additionally, property prices in the area are expected Mira Road and Kandivali an affordable options available to rise significantly once the project gets underway. The metro has helped in better east-west connectivity within the city and helped Both Mira Road and Kandivali are well connected to different parts in saving precious time commuting between work and home. The of the city by the state transport buses. The areas have significant infrastructural initiatives have always contributed to the real estate demand from the home buyers. Social infrastructure is quite robust in boom in the city. both the areas. It is well-equipped with schools, hospitals and markets catering to the basic needs of the residents. Mira Road and Kandivali n Source: Magicbricks Bureau on the Northern parts of Mumbai are the two most talked about Mira Road, the next new active locality localities by buyers looking from investment perspective. Both the areas are very affordable as compared to other localities of Mumbai. Mira road provides good connectivity to the locations and it is quite Kandivali is well-connected via Malad-Andheri Link Road, Mulund- helpful for the home buyers. It enjoys established connectivity to all Goregaon Link Road and Western Express Highway. And, Mira Road is parts of the city, be it Navi Mumbai, Mumbai or Thane. The Western connected to Western Express Highway, SV Road and Link Road. Express Highway connects it with the Western Suburbs of Mumbai and also with Mumbai International Airport. On the other hand, n Source: Magicbricks Bureau the Ghodbunder Road ensures swift connectivity of the area with Borivali West: Rising high on capital values Navi Mumbai and Thane. The locality is well-equipped with social infrastructure. Several schools, hospitals and markets are present here, Borivali west in north-west part of Mumbai is one of the preferred catering well to the basic needs of residents. Further, there are several areas of the city to buy properties despite consistent rise of its shopping complexes and malls in the area such as Reliance Fresh, property values. As compared to the rest of the localities, this area Thakur Mall, D-mart, Cinemax and Rassaz Mall, among others. witnessed the highest increase in capital values. The presence of wide roads ensures smooth movement of traffic. The locality rarely n Source: Magicbricks Bureau witnesses congestion of traffic. The Western Express Highway is an PANVEL - KHARGAR

Corridor Description and Rating Areas Included: Panvel West, Panvel East, New Panvel, Mumbai-Pune Expressway, Seawoods, Belapur, JNPT Road, Pali, Khanda Colony, Khandeshwar, Kalamboli, Nerul, Navade, Kharghar, CBD Belapur, Ulwe, and Kamothe

Fig 1: Map of the corridor 41 Corridor of growth (COG)

About the Corridor Historic Development: Navi L&T’s 2 million sq ft Seawood Grand developments like Lodha-Palawa Mumbai city, conceptualized by the Central in the Seawoods Area. Many City and Hiranandani Estate could City and Industrial Development corporates, which were earlier happen. Though this is changing Corporation (CIDCO) in 1970s operating from Mumbai, have with the upcoming townships in to decongest Mumbai, is one of shifted to Navi Mumbai in the last the outskirts of Panvel. the most planned cities in the half decade and more are shifting. Advantages: Unlike Thane, Navi country. , opened in This is to save cost as the area is Mumbai has witnessed strong 1973, connected Navi Mumbai well connected by road and rail to commercial developments with to the Island city, resulting in Mumbai as well as Thane and offers many large corporate houses significant development across quality commercial office spaces at like Hindustan Uniliver, L&T and 14 nodes carved out by CIDCO. competitive rental values. Reliance among others operating Further, construction of the Sion- Further on the Sion-Panvel from here. The area also has Panvel Expressway strengthened Expressway, Kharghar, Kamothe decent quality malls, scoring the connectivity between the two and Kalamboli areas are housing better than Thane. The city is also cities. numerous residential complexes, much more planned and most of Current Status of the corridor: shopping centres, educational the development is concentrated Navi Mumbai has witnessed institutions and Golf Course. along the Sion-Panvel Expressway, impressive physical and social Challenges: Although Navi providing easy mobility. infrastructure development over Mumbai is also well connected via Upcoming Infrastructure the last two decades although the the rail network to other areas of Development: Navi Mumbai has a recent spurt in development is MMR, the rail connectivity of Thane number of proposed developments more recent than Thane. Access to to the South Mumbai region is including an International Airport Mumbai through the Vashi Bridge smoother in comparison. The city and the Mumbai Trans Harbor has resulted in development of was originally an industrial hub Link. After years of delay, the premium localities on the Palm and hence, there are still a number work is finally going to start on Beach Road like Vashi, Sanpada of industries scattered across Navi the International Airport, likely to and Nerul, with average prices Mumbai. The present access to result in significant development above Rs 10,000 per sSq ft. The Mumbai is also a challenge and in areas neighbouring the airport Thane-Belapur Road has in turn the Sion-Panvel Expressway gets site. Another much delayed project, become the office hub, with areas congested during peak hours, the Mumbai Trans Harbor Link like Airoli, Mahape and Ghansoli leading vehicles to use the Mulund- which will connect Sewri from the becoming hubs of commercial Airoli Road instead. Navi Mumbai Mumbai end to Nhava Seva in Navi development, housing Mindspace has also historically lost out on Mumbai, finally got in-principle SEZ, Reliance Corporate park and big residential developments approval from the Union Ministry of Dhirubhai Ambani Knowledge due to the constraint from CIDCO Environment and Forests (MoEF) in City. There is significant amount providing only smaller sized January this year and is expected to of upcoming office supply, led by plots, unlike Thane, where mega be completed by 2019. This 42 Corridor of growth (COG) proposed harbor link is expected to complexes in these areas also boast offer affordable residential options affect the southern Navi Mumbai of impressive occupancy levels. The currently priced in the range of Rs areas. While Navi Mumbai clearly current capital values for residential 4,000-5,000 per sq ft. Panvel is also stands out with these big-bang properties in these areas hover a fast developing node of the city projects and given their size their around Rs 6,000-10,000 per sq ft. housing several upcoming projects time-bound implementation Pricing levels exceeds the Rs 10,000 by leading developers such as remains a challenge. Hence, these per sq ft mark in areas of Kharghar, Godrej Properties, Indiabulls etc. projects should be kept in mind housing Central Park and Golf Outlook: The prices in the city are more by the end users as compared Course. Leading developers in these slightly more than those in Thane, to short term investors. areas include Adhiraj Constructions, but much lower than Mumbai. Present Residential Paradise Group, Neelsiddhi Group Given the quantum of existing Development: Real estate and Haware among others. and upcoming office supply here, development in Navi Mumbai Areas like Seawoods, Palm Beach the city is expected to fare well. is well organized with self- Marg and Vashi are premium However, the city’s residential sustainable nodes planned localities housing many luxury sector is majorly spread across a by CIDCO. Kharghar, Kamothe residential projects currently priced smaller area between Khargar in and Kalamboli areas can be in the range of Rs 10,000-12,000 the North and Panvel in South. seen housing several high rise per sq ft. On the other hand, residential complexes, shopping pockets like Ulwe and Adaigaon centers, hospitals etc. Residential located in the outskirts of the city

Overall Connectivity Social Infrastructure Security/Water

Properties available in the corridor he corridor offers a wide variety of price 30% of the supply is priced above Rs 1 crore, providing houses in the Rs 40-80 lakh price ranges, providing housing supply for originating from areas closer to Mumbai on range. The corridor is well-developed and Tall segments. Th corrdior has various the Sion-Panvel Expressway and specially majority of the available listings are ready- properties available in varied sizes and prices, the Palm Beach Road area. The highest share to-move-in properties that are providing which is helping the home buyers . Around of supply is retained by the mid segment, immediate possession. Given the expensive

Fig 2: Distribution of properties by price Fig 3: Distribution of properties by delivery status Fig 4: Distribution of properties by bedroom configuration 43 Corridor of growth (COG)

Table 1: Sizes and prices of flats available for nature of the residential sector in this region, it and away from Southern Mumbai. While various room configurations majority of the supply is in 2BHK category, the range of apartment sizes is rather large, Sales Price Covered Area followed by the 1BHK format, while leaving majority of configurations of 1, 2, 3 and 4BHK ( Lacs) (Sq.ft) just 18% for the 3BHK and above segment. units are around 650 sq ft, 1100 sq ft, 1600 sq 1 BHK 30-60 580-690 ft and 2750 sq ft, respectively. These sizes are The corridor provides a wide range of choices slightly larger than the average sizes available 2 BHK 55-120 940-1210 for each bedroom configuration to the home in cities across India. 3 BHK 80-230 1340-1810 buyers with prices varying along the length 4 BHK 145-535 1970-3630 of the corridor, falling as one moves north on Best sectors to invest in a home Based on rental demand in sectors

Fig 5: Top 10 localities by consumer for renting a house nvariably, all the top corridors by demand from proximity to Mumbai. Khargar, which maintain good connectivity. Overall, the are physically located closer to the Sion- tops the chart is going to be connected to corridor provides rental yields in the range of IPanvel Expressway. Of the top 10 localities, the upcoming metro. Kalamboli, Kamothe, 1.8% to 3%, with the average being 2.3%. Nerul, CBD Belapur and Seawoods are all Khandeshwar and New Panvel are relatively There is no specific trends in yields and rents located at the start of the corridor and benefit distant from the Mumbai border but still vary mostly in accordance with the sale value. Based on home buying demand in sectors

Fig 6: Top 10 localities by consumer for buying a house 44 Corridor of growth (COG)

he home buying tendency follows returns to owners and hence, more people the top ten localities by consumer searches closely with the rent seeking tendency will be looking to buy in these localities. for renting a house. Most of the demand is Tin the corridor. All localities which Consequently, all the top ten localities by concentrated here that is providing good have high rental demand will give better consumer searches for buying a house are in return to the owners.

Best bedroom configurations to buy Preferred buying and renting options

Table 2: Demand distribution for buying and renting he 2BHK format is the predominant higher compared to their buying demand. Buying Renting apartment type in the Navi Mumbai The demand is also avilable for 1BHK Total (BHKs) Total (BHKs) TCorridor, occupying 55% of consumer configurations. The consumer deamnd for 1 BHK 26% 23% demand for buying and renting a house. buying 1BHK is 26% and renting for the same 2 BHK 55% 55% The home buyers are interested in the is 23%. Overall, there is very less demand for 2BHK category. The demand for 3BHK units buying or renting a 4BHK or higher bedroom 3 BHK 16% 19% are minimal but still there is supply. The apartment in the corridor. 4 and Above 2% 2% renting demand for 3BHK units is a little Price changes and future prospects

Historic Price movement Corridor Average Price Rs/sqft Table 3: Historical Price changes

6 monthly change Yearly change 2% -3%

he Navi Mumbai corridor has been through moderate price upheavals in Tthe last 5 quarters with average price increasing for three quarters while falling for two in the study period. Overall, the price changes in the corridor have been constrained in the +/- 3% price range. Although the prices have fallen by 3% in the last one year, the trend in the last half year has been positive, and the prices are expected to reach the level of last year within a couple of quarters. The operationalization of the upcoming infrastructure will also be supporting the prices.

Fig 7: Historical Price changes of corridor 45 Corridor of growth (COG)

Price movement for top localities by Consumer Preference n line with the average price movement of the corridor, four of the five localities in the chart above witnessed a positive price change, although Ithe price changes have been mostly muted. Of the five localities in the Figure 8, Seawoods and Nerul, which are located at the start of the corridor, and adjacent to Mumbai, witnessed positive price change. Khargar, which is located in the middle of the corridor was the only market which witnessed negative movement in prices, which was mostly due to prices of newly launched projects being launched at a slight discount to the average price of the locality.

Fig 8: Price changes in top localities by consumer demand

Master Plan

Fig 9: Land use of various localities in the corridor s per the land use plan available with develop in the North-east direction towards Ulwe lag behind. Most of the commercial CIDCO, the corridor is equally divided Taloje, in the South-east direction towards land use area is concentrated near Belapur, Abetween residential and other land Panvel and in the South-west direction although only the area lying near the Sion- uses (forest/reserved areas/riverbank areas). towards Ulwe. Of these areas, only the Panvel Expressway has been developed. There is plenty of forest/reserved areas to localities in and near Panvel are lying on On the contrary, a significant portion of the north of Khargar, limiting development the Sion-Panvel Expressway and hence, the erstwhile industrial usage area is now in that direction. Given that the north-west witnessing development as well as demand housing offices on the Thane-Belapur Road. of the city is already developed, it can from buyers, while localities like Taloja and 46 Corridor of growth (COG)

Infrastructure Updates Navi Mumbai International Airport Sewri-Nhava Sheva Mumbai Trans completed along with the construction of the airport in 2019. After a long delay, there is finally movement Harbor Link on the Navi Mumbai International Airport The link is expected to connect South-east front and as per the expected timelines by the Mumbai with South-west Navi Mumbai, The Navi Mumbai Metro has two phases of government, the airport is expected to start but has seen multiple delays in its planning which the first phase is under implementation operations by 2019. There is much expectation phase. In January this year, the link was finally currently and is expected to start operations in from the development of the airportand granted in-principle approval by the Union a year. Below are the details of the phases of CIDCO aims to build 30 Smart Cities on the Ministry of Environment and Forests (MoEF). the metro: 562 sq km land around the upcoming airport. As the link will connect the Navi Mumbai Maharashtra state government is looking at International Airport with Mumbai, the state’s options to connect the Mumbai and the Navi Chief Minister expressed in January that Mumbai airports through the metro. work on the link will start soon and is to be

Phase Connecting Length Stations I Belapur to Pendhar 11.10 Km 11 II MIDC Taloja to Khandeshwar 10.30 Km 8 III Pendhar to MIDC 2 Km 1 IN NEWS Panvel is getting popular among home buyers Kharghar, an instant hit among home buyers Panvel is a growing area and many new residential developments The growing housing projects are today offering multi-storeyed are taking place. Several developers are launching their projects in apartments, and these have made Kharghar an instant hit among this area. Easy availability of land banks has attracted developers to potential home-buyers. Kharghar in Navi Mumbai is still developing. come up with villas and bungalows at a starting price of Rs 40 lakh. Some sectors of this locality are developed while others are witnessing Several developers are pitching the soft launch of their projects at even rampant construction activities. Some of the surrounding areas lesser prices than this in this locality. But, there is still more that can include Kamothe, Panvel and Kopra. Kharghar is situated on NH-4 be done to enhance the growth of the area. There should be further and is very close to the Navi Mumbai International Airport (4km). It is infrastructure development. Currently, Panvel could be a profitable also referred to as the Central Business District (CBD) of Navi Mumbai. option and the home buyers can invest in this location freely. There is Apart from infrastructural reasons, Kharghar is also considered a scenic an immense opportunity for investment in Panvel area area, which is an attraction for buyers. n Source: Magicbricks Bureau n Source: Magicbricks Bureau What is special about Mumbai’s Kharghar, Mira Road? Buying a property in Panvel Kharghar, a node city of Navi Mumbai, has significant development Despite the presence of growth drivers, the development cycle in the residential sector. Kharghar and Mira Road have properties in in Panvel has been a bit slow. Delay in several major proposed the price brackets of Rs 6,000-10,000 per sq ft. Both the locations infrastructure, overall drop in demand leading to a fall in realty are relatively affordable, which becomes clear when we compare transactions are some of the reasons. Apart from investors, the locality the values in Kharghar and Mira Road to other preferred localities. is slowly gaining preference amongst the first time home buyers, Kharghar has a number of ready and under-construction projects retirees and second home buyers. The local train connectivity from both in the commercial and residential segments. The transport Thane, Western Suburbs and South Mumbai is a boon for Panvel. connectivity is also good. Kharghar railway station lies on the Harbour Moreover, the upcoming international airport in the area is another Line, a part of the Mumbai suburban railway. With better connectivity, advantageous feature for the investor. Followed by the airport, metro there are increase interests among home buyers to invest in the rail connecting Mumbai’s key business district is expected to come up location and reap huge return on investment. that will further encourage the development in the area. n Source: Magicbricks Bureau n Source: Magicbricks Bureau DOMBIVLI - KALYAN

Corridor Description and Rating Areas Included: Tilak Nagar, Pokharan Road No. 2, Balkum Village, Bhivpuri Road, Kapurbawdi, Hiranandani Meadows, Katemanivali, Kasheli, Kolshet Road, Kalyan East, Dombivli East, Dombivli, Majiwada, Kapur Bawdi, Vasant Vihar, Dombivli West, Thakurli, Dhokali, Manpada, Eden Woods, Kolshet, Kalyan West and Bhiwandi

Fig 1: Map of the corridor 48 Corridor of growth (COG)

About the Corridor Thane Market Overview: Thane city developers. On the other hand, Thane East has Historic Trends: The current capital values for witnessed a spurt in real estate activity over seen limited developments on account of few residential properties along the Ghodbunder the last decade and has gained prominence on land parcels available. Road and Thane West pockets ranges account of limited affordable options available between Rs 8,000-12,000 per sq ft, and have Infrastructure and connectivity: within the Mumbai municipal limits. Seamless appreciated by more than two times over the Ghodbunder Road, a 20 km long stretch connectivity offered by the two national last decade. Appreciation in property prices comprising four flyovers at Kapurbawdi, highways (NH-3 and NH-8) connecting resulted in the properties located in Thane Manpada, Patlipada and Waghbil, has served Mumbai’s Eastern and Western Suburbs to main region (Thane west and Ghodbunder as a lifeline for the daily commuters between Thane via Ghodbunder Road has fuelled Road) leaving their affordable tag, leading Mumbai and Thane. significant development of the city. to mass development of townships in the The Mumbai Metropolitan Region outskirts of Thane, including pockets like Development Landscape: The strategic Development Authority (MMRDA) approved Bhiwandi, Kalyan and Dombivali. location of Ghodbunder Road resulted in the construction of the Wadala-Ghatkopar- leading real estate developers of the Mumbai Directions of Growth: While Bhiwandi has Thane-Kasarvadavali line, also known as Line- Metropolitan Region to develop many many low-rise developments, one can see 4, in November 2014. Once completed, the Grade A residential as well as commercial growing number of high-rise developments line will provide seamless metro connectivity developments along the stretch. Hiranandani starting from the Kalyan-Bhiwandi Junction to Thane, although the challenges remain in Estates was one of the first such township on the Kalyan-Shilphata Road leading to completing the project by 2020. The work is developments on the stretch comprising of Dombivali East. Large townships - Lodha’s yet to start on this line. There is also a plan to world class housing and social infrastructure Palava City and Runwal My City - are being construct a Borivali-Thane Tunnel connecting facilities. Development seen along the developed in the Dombivali East region of Tikujiniwadi in Thane to Ekta Nagar in Borivali. Ghodbunder Road propelled the real estate Thane City. The current capital values for There is a plan to construct 5-km elevated activity in other pockets of Thane West, residential properties in these micro markets road on the narrow stretch of the Ghodbunder resulting in mushrooming of several real range between Rs 5,000-5,500 per sq ft. Road, between Chena Creek and Oval although estate developments by Grade A and B this project is also in the nascent stage.

Overall Connectivity Social Infrastructure Security/Water

Properties available in corridor he corridor offers a significantly wide Thane as a cheaper alternative to Mumbai. as affordable and a significant 35% of the variety of price ranges, giving buyers This is reflected by the fact that more than properties are priced more than a crore. This Tplenty of options to buy properties 40% of the supply is priced less than Rs 60 leaves the relatively mid segment supply although much of these are in the affordable lakh. Although areas closer to Mumbai on of properties costing between Rs 60 lakh to segment, in line with the positioning of the Ghodbunder Road cannot be considered Rs 1 crore, to form less than quarter of the

Fig 2: Distribution of properties by price Fig 3: Distribution of properties by delivery status Fig 4: Distribution of properties by bedroom configuration 49 Corridor of growth (COG)

Table 1: Sizes and prices of flats available for total supply of the corridor. Most of what The corridor provides a wide range of various room configurations is available in the corridor is multi-storey properties with prices varying across the Sales Price Covered Area apartments by reputed builders. Of this, corridor, falling as one moves east on it and ( Lacs) (Sq.ft) 1-2BHK apartments, together forms more away from Godhbunder Road and Mumbai 1 BHK 25-70 550-680 than 80% of the corridor’s total supply. Overall, boundary. While the range of apartment sizes 2 BHK 50-134 810-1120 the corridor is well developed and almost is large, the majority of configurations i.e. 1, 2, 3 BHK 109-243 1200-1760 three quarters of the supply is ready-to-move- 3 and 4BHK units are around 630 sq ft, 1000 in properties. sq ft, 1500 sq ft and 2200 sq ft respectively. 4 BHK 153-463 1710-2720 Best sectors to invest in a home Based on rental demand in sectors

Fig 5: Top 10 localities by consumer for renting a house he highest rental demand is being Ghodbunder Road and it has well-developed Manpada and the fifth place Vasant Vihar, witnessed in Majiwada, followed closely social infrastructure. Dombivli East stands out both are on Ghodbunder Road and derive Tby Dombivli East. While Majiwada stands because of the significant supply of houses benefits similar to Majiwada. There is a huge first on account of its favourable locality on on rent at affordable rates. The third place investment scope available along the corridor. Based on home buying demand in sectors

Fig 6: Top 10 localities by consumer for buying a house 50 Corridor of growth (COG)

he home buying tendency follows closely on investment to the owners and hence, buying a house are in the top ten localities by with the rent seeking tendency on the more people will be looking to buy in these consumer searches for renting a house. The Tcorridor. All the localities which have localities. Consequently, eight out of the rental prices are quite reasonable along the high rental demand will give better return top ten localities by consumer searches for corridor, which is boosting demand.

Best bedroom configurations to buy Preferred buying and renting options

Table 2: Demand distribution for buying and renting iven that Thane has always been Ghodbunder Road. Overall, 2BHK units are the Buying Renting marketed as a cheaper alternative to dominant apartment types in the corridor, Total (BHKs) Total (BHKs) GMumbai, developers have historically forming almost half the listings as well as 1 BHK 38% 31% tried to keep the prices low by reducing the consumer searches. Most of the premium 2 BHK 44% 50% size of the apartments. As a result, more than supply of apartments is in the 2 and 3BHK one third of the apartments are 1BHK units, categories with a few 4 BHK and above types 3 BHK 16% 18% although the concentration of 1BHK format is in the corridor. 4 and Above 3% 1% more in the outskirts of the city and away from Price changes and future prospects

Historic Price movement Corridor Average Price Rs/sqft Table 3: Historical Price changes

6 monthly change Yearly change 4% 6% he Thane corridor has witnessed decent price appreciation over the last five Tquarters, moving up for each of these quarters. The connectivity with Mumbai has made Thane a preferred destination for affordable housing, and the general slowdown in economy has pushed home buyers as well as people looking to rent apartments, to look for affordable housing in Thane. This, has led to a steady demand in market, resulting in a steady stream of new launches in the market, and has supported the prices in the market, resulting in 6% increase in prices over the last year.

Fig 7: Historical Price changes of corridor 51 Corridor of growth (COG)

Price movement for top localities by Consumer Preference he localities on the chart above are dispersed geographically, with Manpada and Majiwada being located in the more developed part Tof Thane, which is closer to Ghodhbunder Road while Dombivli and Kalyan locations are located in East Thane, which is the outskirts to the main Thane city. Prices in the localities in main Thane have fallen slightly, while the prices in the Dombivli-Kaalyan region have mostly increased on account of new projects being launched at a slight premium to average city prices due to their favourable locations

Fig 8: Price changes in top localities by consumer demand

Master Plan he current Master Plan of the corridor is lies to the north of it. The Master Plan has land uses. Although the current Master Plan greatly restricted by the with allocated majority of the developable land for provides some pockets of commercial usage, Tmost development in the south of the either residential or industrial use and even the the quantum is not very high. river. While the main Thane city, Dombivli and 2052 concept plan of the Mumbai Metropolitan Kalyan lie on the south of the river, Bhiwandi Region (MMR) has these two as the prime Infrastructure Updates Mumbai Metro - Wadala-Ghatkopar-Teen Hath Naka -Kasarwadavli Metro Table 3: Mumbai Metro details he Mumbai-Thane metro project was Particulars Remarks approved in 2014 and post the Chief Stations Bhakti Park, Anik Nagar, Priyadarshini, Kurla Nehar Nagar, Minister’s assurance of speedy execution LTT, Vidyavihar, Ghatkopar -, R-City, Godrej Colony, Vikhoroli, T Gandhi Nagar, Kanjur Marg, Janta Market, Bhandup, Shangrila, in January 2016, the actual ground work Sonapur, Johnson & Johnson, Mulund Naka, Thane Teen Haath is expected to start soon. There was also a Naka (Thane), RTO Thane, Mahapalika Marg, Majiwada, proposal under study by the Delhi Metro Rail Kapurbawdi, Manpada, Tikuji-Ni-Wadi, Patlipada, Waghbil, Corporation to extend the metro link from Anand Nagar, Kasarwadavli Wadala up to the proposed location of CST, Construction start data (expected) 2017 but that has been put on hold as of now. Operational date 2023 Mumbai Metro Line 4 will connect stations Construction completed (till Dec 2015) 15% such as Bhakti Park, Anik Nagar, Priyadarshini, Length 32 Kms Kurla Nehar Nagar, Godrej Colony, Janta Total Stations 22 Market, Johnson & Johnson including others. Time to cover the stretch 64 minutes The stretch of this new metro route will be 32 kilometers.

DON’T SPECULATE! CALCULATE ACCURATE PROPERTY PRICE. INTRODUCING PropWorth

1.8 Cr

78 Lac 90 Lac

85 Lac

80 Lac 75 Lac

70 Lac 52 Lac 65 Lac

For the rst time in India, magicbricks brings to you a tool to calculate accurate property prices- Propworth! It uses smart algorithms and data science techniques, riding on the vast underlying data of magicbricks to estimate the property price. Thus, allowing you to determine the ongoing rates of apartments and localities across the country. To know your PropWorth, give a missed call on 92060-72848 CONTACT US PROPINDEX TEAM l Post your feedback to - l Content & Research: propindex @timesgroup.com E Jayashree Kurup, Subodh Kumar, Rohit Vats, Devendra Lohmor, Bhawna Mongia, Namrata Ekka, l Join our discussion forum at - Renu Arya, Preeti Sharma, Puneet Kukreja & Bikash Kumar openhouse.magicbricks.com l Layout Design: l For business enquiries - [email protected] Harsha Khattar l You may also share your opinion with #PropIndex on our Twitter handle @magicbricks or connect with us on Facebook at www.facebook.com/magicbricksTOI

D I S C L A I M E R

Every effort has been made to make this Index as complete and as accurate as possible. MagicBricks accepts no responsibility for inaccuracies in the information/data contained in this book. It shall have neither liability nor responsibility to any person or entity with respect to any loss or damage caused, or alleged to have been caused, directly or indirectly, by the information contained in this book. The information/data in this book is subject to change from time to time due to market condition.