Track2Realty Exclusive: If you ever thought religious sentiments only affect the home buyers in affordable category, then probably you have neither been exposed to the India’s costliest property market trends in South Mumbai, nor have you monitored the transactions in this region during Akshay Tirtiya.
Though Akshay Tirtiya is a festival that sweeps the buyers’ sentiments across Maharashtra and even Gujarat also, what makes this festivals special in South Mumbai is the fact that the properties at the top of the pyramid in residential segment are witness to as much upward movement as the commercial properties in Central Business Districts (CBDs) and Secondary Business Districts (SBDs), thus making sure that both the transaction volume and value is realistic.
Today, when the market sentiments are subdued due to negative macro-economic outlook, the question is whether Akshay Tirtiya this year will be any different in and around South Mumbai property market. Analysts tracking the property market in the region nevertheless believe that the property market in this belt is buoyant this year on the eve of Akshay Tirtiya for two specific reasons.
While there is enough supply in the market with choice of inventory galore for the buyers, the overall subdued macro-economic indicators are also making sure that there has been not much price appreciation on the eve of one of the most important Marathi festivals known for property buying.
Conventional wisdom of property market suggests that properties around Cuff Parade, Colaba, Worli and Bandra have never been a buyers’ market, but this Akshay Tirtiya it can easily be vouchsafed as an equal opportunity market, if not completely the buyers’ market. After all, South Mumbai is the 10th most expensive place in the world and matching to its pace is the real estate belt outside the island city, with Bandra-Khar (West) being one of the city’s costliest real estate belt due to its close proximity to the CBD & SBD.
The location which is also referred to as the queen of suburbs is the fashion capital of Mumbai and is known as the choicest suburb for film-stars and entrepreneurs. Several colleges, multiplexes, fine dining restaurants, high-end boutiques, designer jewellery showrooms, 5-star hotels, convention and exhibition centres are located in the vicinity. With the town planning of Bandra East, BKC by the MMRDA and the kind of road connectivity and open spaces reserved for recreation, etc., the property rates in Bandra have gone up substantially in the last few years.
Hiral Sheth, Director, Marketing, Sheth Creators says that most of the protruding areas in Bandra like Carter Road, Hill Road, Bandstand and Pali Hill are fast trying to catch up with the areas of Cuffe Parade and Malabar Hill. Prices in these upmarket suburban enclaves have spiralled to between Rs 40,000 and Rs 60,000 a sq ft approximately from around Rs 15,000 per sq ft few years ago.
“Homebuyers and investors typically have predetermined sets of indications while investing in Bandra. The projects in Bandra are thereby classified into various sub categories of luxury and super luxury homes. The real estate market in Bandra has been steady in terms of prices. In all, there has been a constant demand for well-located and well-built properties with modern amenities; prices are also increasing due to good demand. While Bandra has emerged as the most sought after residential area, the Bandra-Worli Sea Link is proving to be the icing on the property market cake. The demand in these markets has been stable but festive spirit is bound to bring in new array of demand for the housing projects,” says Shah.
Dibyendu Banerjea, CEO West Zone, Pashmina Developers agrees that home buying is a very important decision as it involves an emotional as well as a rational aspect in the minds of Indian consumer. Festivals are considered to be prosperous and promising time for investments, especially Akshay Tirtiya. According to him, since Akshay Tirtiya is considered as an auspicious occasion for wealth creation and good fortune, developers at this time seek to capitalise on these festive sentiments via increased marketing efforts. In that respect, festivals like Akshaya Tirtiya can act as a powerful market force.
“Worli is considered as a prime location for residential, commercial and an elite shopping destination in Mumbai. Thanks to excellent connectivity with suburbs, it is considered to be one of the finest areas to reside. There is a lot of supply in the market currently, making the market buoyant with expectations. We just have to wait and see how the same is perceived and received by the buyers in the current economy,” says Banerjea.
So, while Akshay Tirtiya holds importance in the emotional quotient of property acquisition, it is not just about the buyers at the bottom of the property market who are enthused in buying affordable housing. As a matter of fact, the festival has the emotional traction power even among the property buyers at the top of the pyramid, not to forget about the buyers of commercial properties. At least, the property market trends in South Mumbai areas like Cuff Parade, Colaba, Worli and Bandra indicate this. Akshay Tirtiya is definitely igniting the red hot properties of Mumbai.
