Home launches in city rise by 29 per cent

While the first half of 2016 has witnessed drop of nine per cent in terms of new residential launches in the top eight cities in the last three years, Mumbai has witnessed an increase of 29 per cent in case home launches followed by 23 per cent rise in sales in the first half of 2016, stated a report by Knight Frank India, a real estate research firm.

It further claimed that the demand in Thane and Western suburbs grew by 47 per cent and 29 per cent, respectively. While Navi Mumbai witnessed a 28 per cent rise in demand. Further, peripheral Central and peripheral Western suburbs grew at nine and 21 per cent, respectively.

The report further stated that demand in premium market grew by 13 per cent in the first half on 2016 compared to first half to 2015.

Commenting on this, Samantak Das, chief economist and national director, Knight Frank India, said, “The residential market of Mumbai Metropolitan Region (MMR) is on a new growth path. Considering that the new launches and sales are still 50 per cent and 13 per cent lower respectively than last five years average, these are early days to rejoice. The growth should be of 16 per cent growth in sales in 2016 over 2015.

The officer market in the city has recorded a remarkable growth in transactions as well as new completions in the first half of 2016. New completions increased 115 per cent and transactions increased by 51 per cent during first half of 2016, the report said.

“While the residential segment in general witnessed a downfall, Mumbai with its growth in new launches has proved to be a revelation. Though the numbers have been lowest in the past five years we believe that the worst is behind us,” said Fali Poncha, director of Knight Frank India.