99 acres

Indias No.1 Property Portal

Insite
JAN-MAR 2016

Mumbai

2 | MUMBAI

Index
03 From Narasimhas Desk
04 Mumbai vs. Other Cities
05 Union Budget 2016-17 in Focus
06 Mumbai SWOT Analysis
07 Capital and Rental Analysis MMR
08 Capital and Rental Analysis Navi Mumbai
09 Capital and Rental Analysis Thane & Beyond
10 Supply Analysis
14 Annexures
Methodology
99acres Insite studies and analyses the top seven real
estate markets of India - Delhi NCR, Mumbai, Bangalore,
Pune, Chennai, Hyderabad and Kolkata. It captures the
quarterly capital trends and annual rental data for various
property types apartments, land and builder floors.
The report delves into the supply of residential inventory
in each city, basis property type, budget brackets, unit
configuration and construction status. The supply analysis
is a function of variations observed in the number of
listings posted on 99acres.com.

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From Narasimhas Desk...

ndian real estate stands at the pinnacle of a turning

point. The Jan-Mar 2016 quarter has reaffirmed this as
the market has started moving away from shadows of
the slowdown that were looming over the sector in 2015.

The latest quarter marked the onset of a revival in demand

and prices across top metros.
The Union Budget 2016-17 has further fuelled the
recovery process by aligning large-scale funding towards
infrastructure, initiatives to promote affordable housing
and rise in realty investment via implementation of REITs.
The transition will be quicker if interest rates fall further
and if greater tax shields are made available for first-time
home buyers.

Narasimha Jayakumar
Chief Business Officer
99acres.com

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99 acres

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Mumbai vs. Other Cities

Infra upgrades and focus

on affordable housing
buoys market sentiment

NEW DELHI

KOLKATA

MUMBAI
HYDERABAD

Mira Road
-1%

PUNE

Ghodbunder Road
-1%

BANGALORE

CHENNAI

Andheri (East)
2%

Vashi
1%

Kharghar
0%

Chembur
Lower Parel

7%

0%

1%

Capital Values
Rental Values
Supply

* Capital values represent quarterly change

* Rental values represent yearly change
* Supply is basis properties listed on 99acres.com

Ulwe

Malabar Hill
1%

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Union Budget 2016-17

in Focus
Reinforcement of Affordable Housing
Tax exemption of 100 per cent
for houses up to 30 sq mt in
metro cities and 60 sq mt in
other cities

Funding of over Rs 5,000 crore

for 300 urban clusters planned
across the country under Shyama
Prasad Mukherji Rurban Mission

Promotion of Real Estate Investment Trusts (REITS)

Removal of Dividend
Distribution Tax (DDT) has
made REITs financially viable
for investors

The exemption would make

REITs a preferred form of
asset-backed investment,
offering profit and protection

Boost to Infrastructure & Other Developments

Allocation of Rs 97,000 crore
for development of roads
to award 10,000 km of new
road projects in FY 2016-17

Fund allocation of over

Rs 3,000 crore for 100 smart
cities by 2020, and over
Rs 4,000 crore for AMRUT

Initiatives for an Organised Industry

Allocation of Rs 150 crore
for digitization of land
records to usher transparency in the market

Relaxation of FDI norms

to boost overseas
investments and promote
organised growth

Relief to Urban Dwellers

HRA claim limit
increased from Rs
24,000 to Rs 60,000
per annum

Tax rebate of Rs
50,000 on interest of
loans up to Rs 35 lakh,
for first-time buyers

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SWOT Analysis

Strength

Weakness

Localities in Navi
Mumbai and Thane
harvested maximum traction due
to affordability.

Leads and conversions remained

low; daily property
registrations stood
at 30-50 cases only.

State plans to
develop nearly six
lakh units under the affordable housing
scheme; developers buidling such
projects to get financial support.

Only 40,000
new housing units
launched in Mumbai in FY 2015-16, a 35
per cent drop YoY.

As a part of infra development, a budget

of Rs 6.6 crore allocated for metro and
monorail expansion; development of
Mumbai Trans Harbour Link and other
road networks.

Opportunity
The city is witnessing numerous private equity
investors focussing
on residential and
office projects.
In a bid to fast
track stalled infrastructure projects, the
state offered incentives to owners in
Thane to acquire land parcels.
Low-budget housing units, measuring
around 500 sq ft and priced around Rs
20 lakh, in suburbs such as Bhiwandi,
Neral, Badlapur and Palghar
garnered interest from end users.

Thane Municipal Corporation proposed

a 10 per cent hike in property tax.
Developers deferred new project
launches due to uncertainty looming
over Mumbai development plan 2034.

Threat
Absorption in
the luxury segment
is under pressure
due to high price
points and limited
buyer base.
Two-third of
Mumbais unsold inventory is priced
over Rs 1crore and above.
Despite low transaction volume, it is
difficult for developers to cut down
prices due to high construction costs.
Delayed land approvals might hinder the
mission of constructing 5 lakh affordable
homes in Mumbai by 2019.

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Mumbai
Metropolitan Region
Capital Analysis

Rental Analysis

More than 40 per cent of the localities in

MMR recorded a positive trend in capital
values. Those in central suburbs and
Andheri-Dahisar region were the major
contributors towards this growth.

The rental market of MMR registered a

YoY growth of two per cent (Jan-Mar 2016
over Jan-Mar 2015).

Localities with rental values lower than

Rs 50,000 per month made it to the
Multiple flyovers, proposed lengthening
list of best performing regions. Central
of the Santacruz-Chembur Link Road
suburbs such as Chandivali and Powai
(SCLR) and progress on Chembur-Wadala
topped the rental charts and registered
monorail resulted in a significant rise of
a yearly rise of 13 per cent and
seven per cent in average capital values of
12 per cent, respectively.
Chembur in the last two quarters.
Affordability drove demand in Mira
The SCLR also had an impact on the ask
Road and Mira-Bhayandar Road. These
rates in Santacruz West, pushing them up
locations recorded an upward trend of
to nearly Rs 39,000 per sq ft from almost
10 per cent each, YoY.
Rs 36,000 per sq ft in Oct-Dec 2015.
Leasing activity in Andheri and Bandra
Work on multiple metro lines boosted
continued with the same gusto and these
capital prices in areas like Gokuldham,
localities noted a yearly increase of four
Malad West, Andheri East and Borivali.
per cent each in average rental values.

APARTMENTS

APARTMENTS
18

9
8
7
6

Chembur

14 Chandivali

Breach Candy

Colaba

8
Powai

Colaba

12
10

2
1
0
Locality
* Capital values represent quarterly change

Mira Road

Powai

Mira Bhayandar

6
% Change

% Change

16

Santacruz (West)

4
2
0
Locality
* Rental values represent yearly change

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Navi Mumbai
Capital Analysis

Rental Analysis

Navi Mumbai has gradually lost its USP of Unlike the capital market, which remained
being an affordable alternative to Mumbai
under pressure, the rental market in Navi
with prices doubling in the last few years.
Mumbai showed some promise. Localities
The minor fluctuations in the residential
away from the city centre, offering costcapital graph could be attributed to
effective rental options, witnessed higher
market dynamics.
demand and posted some yearly growth.
Capital growth in the zone remained
stagnant with the highest grossers
clocking a rise of just 2-3 per cent in JanMar 2016 against Oct-Dec 2015.

Landlords have been exploiting the

speculation around the Navi Mumbai
airport to quote high rents for quite some
time now. However, the market seems
to have stagnated, at least in the central
Affordable locations such as Khandeshwar
parts of the sub-city.
and Dronagiri recorded capital growth of
three per cent each in property prices.
Rentals in New Panvel posted a yearly
hike of 15 per cent in the last one year.
A few transactions that took place in
Demand has surged due to affordable
projects by established developers led a
rental values in the area.
rise in capital values across prime areas
such as Palm Beach and Seawoods. Both
Rental markets of Kharghar, Taloja
the localities recorded a rise of two per
and Kamothe also picked up steam on
cent each during Jan-Mar 2016 against
the back of relative affordability and
the last quarter of 2015.
registered a 5-12 per cent hike YoY.

APARTMENTS

18
16

Khandeshwar

14

Palm Beach

12

Dronagiri

0
Locality
* Capital values represent quarterly change

Kharghar

Palm Beach

Taloja

6
% Change

% Change

Koperkhairane
1

New Panvel

10

Seawoods

APARTMENTS

Kamothe

4
2
0
Locality

* Rental values represent yearly change

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Thane and Beyond

Capital Analysis

Rental Analysis

Infrastructure upgrades instilled signs of

revival in Thane and the housing market
here has started looking up.

Renting a home in Thane has become

more financially viable due to soaring
capital values. The resultant is a thriving
rental market, which has recorded a rise
of four per cent in average values YoY.

Some of the proposed infra projects

include the fourth phase of the metro and
an underground tunnel from Manpada to
Borivali via Ghondbunder Road.
Improving connectivity surged the
location attrativeness index of localities
along Ghodbunder Road. Patlipada and
Panch Pakhadi recorded a growth of six
and five per cent, respectively in Jan-Mar
2016 over Oct-Dec 2015.
Thane continued to garner steam in the
affordable and mid housing segments.
Both Kalyan East and West recorded
robust demand as values hovered below
Rs 6,000 per sq ft. Capital values in the
locations grew by five per cent each.

Relative affordability, proposed infra

projects and presence of well-endowed
projects have enhanced Thanes rental
landscape in the last few years.
Similar to the capital market, locations
along Ghodbunder Road performed well
in the rental segment too. On the back of
metro expansion and affordable prices,
Kasarvadavali posted a significant rise of
13 per cent in values, while Waghbil noted
a modest hike of five per cent YoY.
Ambernath and Badlapur recorded a 13
and eight per cent rise, respectively, on
the back of affordable rental options.

APARTMENTS

18

16

8
7
6
5

14 Kasarvadavali
Patlipada

12
Kalyan (West)

Panch Pakhadi

Kalyan (East)

Ulhasnagar

0
Locality
* Capital values represent quarterly change

Dhokali

Ambernath

10

% Change

% Change

APARTMENTS

Badlapur
Waghbil

2
0
Locality
* Rental values represent yearly change

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Supply Analysis
New launches were largely concentrated in the fringes of Thane and Navi Mumbai as
developers shifted their focus from luxury properties to affordable and mid-segment
housing segments. Small ticket sizes were popular even in MMR, wherein supply of
mid-segment properties dropped owing to improved absorption in the segment.

By Property Type
Apartments formed the bulk of residential inventory in all zones except Thane and
Beyond, where residential land captured more than 60 per cent share of supply. MMR
continued to record the highest availability of apartments among all zones.
Multiple new launches in Navi Mumbai, particularly in the affordable segment, inched
the supply up by one to three per cent in all categories except land. Ready-to-occupy
units formed more than 80 per cent of the inventory in the builder floor and house/
villa categories, while only about 60 per cent of the supply of society apartments was
ready-to-move-in.

BY PROPERTY TYPE
MMR

Navi Mumbai

Thane and Beyond

100
90

21%

20%
33%

80

30%

29%

26%
55%

70
60

29%

31%
22%

25%

20%

61%

21%

50
40

% Change

30
20

20%
50%

49%

45%

45%

51%

25%

10
0

20%

53%

Oct-Dec
2015

Jan-Mar
2016

Residential Apartments

Oct-Dec
2015

Jan-Mar
2016

Builder Floors

Oct-Dec
2015

Jan-Mar
2016

Independent Houses
and Villas

Oct-Dec
2015

19%
Jan-Mar
2016

Residential Land

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Supply Analysis
By Budget
Supply has largely remained stagnant in MMR across all budget categories except for
properties in the budget range of Rs 60 lakh to Rs 1 crore. A slight drop of three per
cent was recorded in this category, indicating a few absorptions in this price bracket in
the last two quarters.
On the back of several new launches by established developers, particularly in the
fringes, Navi Mumbai noted a rise in supply of housing inventory in almost all budget
ranges expect for the ultra-luxury segment. A rise of one to four per cent was noted
across all categories with high-income housing registering the maximum growth.
Affordability ensured healthy traction in locations in Thane and beyond. This coupled
with limited number of new launches resulted in a slight drop in housing inventory in
Jan-Mar 2016, even though the zone has recorded the maximum unsold inventory.

BY BUDGET
MMR

Navi Mumbai

Thane and Beyond

100
90
80

32%

30%

24%

23%

23%

22%

70
60
50

31%

33%

48%

49%

41%

21%

19%

21%

23%

% Change

30
37%

37%

Oct-Dec
2015

Jan-Mar
2016

10
0

Aordable Housing
(Within Rs 40 Lakh)

28%

Oct-Dec
2015

28%

Jan-Mar
2016

Mid-Income Housing
(Rs 40-60 Lakh)

6%

5%

5%

89%

89%

Oct-Dec
2015

Jan-Mar
2016

45%

40

20

6%

36%

33%

Oct-Dec
2015

Jan-Mar
2016

High-Income Housing
(Rs 60 Lakh - Rs 1 Crore)

58%

58%

Oct-Dec
2015

Jan-Mar
2016

Luxury Housing
(Rs 1-2 Crore)

Ultra-Luxury Housing
(Rs 2 Crore and Above)

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Supply Analysis
By Configuration Type
MMR and Thane witnessed a drop in supply of smaller configurations. The supply of
1BHK and 2BHK units dipped by one to two per cent in Jan-Mar 2016 as against the
last quarter of 2015. On the other hand, Navi Mumbai witnessed a rise in supply
across all configurations.
The 2BHK configuration continued to capture the highest market share in both MMR
and Navi Mumbai, while 1BHK units were more popular in Thane.
Interestingly, in MMR and Thane, majority of the houses and builder floor units
were configured as 1BHKs, indicating the dearth of developable land in the main
areas of the city.

BY CONFIGURATION TYPE
MMR

Navi Mumbai

Thane and Beyond

100
90

23%

25%

21%

19%

17%

18%

80
70
60

30%

33%

19%

19%

63%

64%

Oct-Dec
2015

Jan-Mar
2016

11%

11%

12%

13%

77%

76%

Oct-Dec
2015

Jan-Mar
2016

36%

33%

50
40

% Change

30
20

45%

44%

46%

45%

Oct-Dec
2015

Jan-Mar
2016

10
0

Oct-Dec
2015

Jan-Mar
2016

1BHK

2BHK

3BHK

4BHK

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13 | MUMBAI

Indias No.1 Property Portal

Supply Analysis
By Construction Status
Across the city, ready-to-move-in units were more common across all zones as
compared to under-construction units. This indicated that new launches are
still sparse in the city and sentiments continue to be under pressure for
under-construction projects.
Out of the total ready properties available in Mumbai, almost half were present in
MMR. Thane also witnessed a marginal drop in the share of ready units during the first
quarter of 2016.
Navi Mumbai registered an improvement in the share of both ready as well as underconstruction properties, insinuating a few launches in the city in Jan-Mar 2016.

BY CONSTRUCTION STATUS

18%

21%
22%

21%

50% 48%

50%

28%

32%

31%

29%

Under Construction

Ready to Move

Oct-Dec 2015

MMR

Navi Mumbai

Thane and Beyond

Jan-Mar 2016

MMR

Navi Mumbai

Thane and Beyond

50%

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Annexures
Capital Values
Mumbai Metropolitan Region (MMR)
RESIDENTIAL
APARTMENTS

RESIDENTIAL
APARTMENTS
Locality

Jan-Mar 2016

% Change

Andheri (East)
18500
2
Andheri (West)
22300
2
Bandra (East)
27550
-2
Bandra (West)
45700
-2
Bhandup (East)
12000
0
Bhandup (West)
14900
-1
Bhayander (East)
7550
1
Bhayander (West)
8100
1
Boisar
3200
-6
Borivali (East)
16050
0
Borivali (West)
16483
2
Breach Candy
65000
6
Byculla
24750
-1
Chembur
16250 7
Colaba
43775
4
Cuffe Parade
65300
1
Dadar
37800
2
Dahisar 10100
1
Ghatkopar (East)
17000
1
Ghatkopar (West)
20250
3
Goregaon (East)
17700
-2
Goregaon (West)
17100
0
Jogeshwari (East)
14550
-7
Jogeshwari (West)
16450
2
Juhu
37350
-5
Kandivali (East)
15975
-2
Kandivali (West)
14300
-4
Kanjur Marg (East)
11850
3
Kanjur Marg (west) 13825
2
Khar
40100 -4
Kurla (East)
14000
0

Locality

Kurla (West)
Lower Parel
Mahalaxmi
Mahim (West)
Malabar Hill
Malad (East)
Malad (West)
Mira Bhayandar
Mira Road
Mulund
Naigaon (East)
Naigaon (West)
Nallasopara
Napean Sea Road
Palghar
Parel
Powai
Prabhadevi
Santacruz (East)
Santacruz (West)
Sewri
Sion (East)
Vasai
Versova
Vikhroli (East)
Vikhroli (West)
Vile Parle (East)
Vile Parle (West)
Virar
Wadala
Worli

Jan-Mar 2016

% Change

13867
2
36150
0
39175 -2
30000
0
67350
1
16650
0
15600
3
8150
1
8300
-1
15600
2
4600
-5
4000
-2
4217 -2
66650
-2
3100 0
25250
0
21450 3
42050
2
21875
1
38800
7
33350 -2
17850
-1
5450 0
21800
-2
19000
-7
17900
-4
29350
-2
32950
-3
4800 3
23700
1
38550 -2

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Annexures
Capital Values - Navi Mumbai
RESIDENTIAL
APARTMENTS
Locality

Airoli
Belapur
Dronagiri
Ghansoli
Kalamboli
Kamothe
Karanjade
Khanda Colony
Khandeshwar
Kharghar
Koperkhairane
Nerul
New Panvel
Palm Beach
Panvel
Roadpali
Sanpada
Seawoods
Shilphata
Taloja
Ulwe
Vashi

Jan-Mar 2016

RESIDENTIAL
APARTMENTS
% Change

10400
1
9950 -1
4733
3
10500 -2
6450
2
6825 -1
5217
-2
7600
0
7000
3
8650 0
10225
2
13050 2
5400
-2
18817
3
6125
0
6650 -1
14025
-1
11700 2
5500
-3
4950 -4
6300
1
12900 1

Capital Values
Thane and Beyond
Ambernath
Anand Nagar
Badlapur
Balkum
Bhiwandi

3500
4
9400
1
3500
4
9450 1
4000
0

Locality

Charai
Dhokali
Dombivli (East)
Dombivli (West)
Ghodbunder Road
Kalher
Kalwa
Kalyan (East)
Kalyan (West)
Kapurbawadi
Karjat
Kasar Vadavali
Kavesar
Khadakpada
Khopat
Kolshet
Kolshet Road
Majiwada
Manpada
Naupada
Neral
Panch Pakhadi
Patlipada
Pokharan Road
Pokhran-2
Teen Haath Naka
Thakurli
Titwala
Ulhasnagar
Vartak Nagar
Vasant Vihar
Waghbil

Jan-Mar 2016

% Change

11900 3
10900
3
6150
-2
6700
3
9800
-1
3800 0
9000 -1
4300
5
5950
5
12600
-3
2986 4
8600
-5
9850 2
6000
1
12850 -7
8925
3
9725
-6
11300
-2
11430 -3
15050
2
3100 3
14500
5
12950 6
12550
0
12350 2
15900
6
5850 -5
3350
5
4200 5
11175
1
12500
-2
9978
0

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Indias No.1 Property Portal

Annexures
Rental Values
Mumbai Metropolitan Region (MMR)
RESIDENTIAL
APARTMENTS
Locality

4 Bunglows
7 Bunglow
Andheri (East)
Andheri (West)
Bandra (East)
Bandra (West)
Bhandup (East)
Bhandup (West)
Borivali (East)
Borivali (West)
Chandivali
Charkop
Chembur
Colaba
Cuffe Parade
Dadar
Dahisar
Gamdevi
Ghatkopar (East)
Ghatkopar (West)
Goregaon (East)
Goregaon (West)
Jogeshwari (East)
Jogeshwari (West)
Juhu
Kalina
Kandivali (East)
Kandivali (West)
Kanjur Marg (East)
Kanjur Marg (West)
Khar

Jan-Mar 2016

RESIDENTIAL
APARTMENTS
% Change

51
10
53
-2
43
6
51
2
61
6
85
1
31
3
35
5
33
2
29
2
45 13
25 0
40
8
106 12
129
5
79 4
24
2
97 -3
38
0
40
5
38
-5
39
3
47
0
46
3
74
2
49 2
33
3
31
-2
35
-1
40
4
82
1

Locality

Jan-Mar 2016

Kurla (East)
Kurla (West)
Lower Parel
Mahalaxmi
Mahim (West)
Malabar Hill
Malad (East)
Malad (West)
Marol
Mira Bhayandar
Mira Road
Mulund
Nallasopara
Pali Hill
Parel
Powai
Prabhadevi
Santacruz (East)
Santacruz (West)
Sewri
Sion (East)
Thakur Village
Vasai
Versova
Vikhroli (East)
Vikhroli (West)
Vile Parle (East)
Vile Parle (West)
Virar
Wadala
Worli

% Change

33
5
40
-1
91
-3
109
2
65
5
128
-1
38
3
37
3
42 9
17
10
17
10
32
3
10 -5
92
2
71 -5
48
12
86 5
50
8
72
-5
80
3
38
3
36
-1
10 -5
50
6
38
0
43
1
62
3
65
-2
8 0
50
2
84 2

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Indias No.1 Property Portal

Annexures
Rental Values
Navi Mumbai

Rental Values
Thane & Beyond

RESIDENTIAL
APARTMENTS
Locality

New Panvel
Kharghar
Palm Beach
Taloja
Kamothe
Panvel
Nerul
Vashi
Sanpada
Ghansoli
Koperkhairane
Seawoods
Kalamboli
Roadpali
Belapur
Ulwe
Airoli

Jan-Mar 2016

RESIDENTIAL
APARTMENTS
% Change

12
15
15 12
30
9
7 8
11 5
11 5
23
5
26 4
27
4
21 3
23
2
22 0
9
0
9 0
21
0
6 0
23
-4

*All prices are per sq ft rates

*Capital values represent quarterly change
*Rental values represent yearly change

Locality

Ambernath
Badlapur
Dhokali
Ghodbunder Road
Kalyan (West)
Kasar Vadavali
Kolshet Road
Majiwada
Manpada
Panch Pakhadi
Patlipada
Pokharan Road
Pokhran-2
Teen Haath Naka
Vartak Nagar
Vasant Vihar
Waghbil

Jan-Mar 2016

% Change

9
13
7 8
22
8
19
6
12
5
17
13
20
0
24 2
22
5
28
4
25
2
24
4
23
0
29
10
24
2
24
0
20
5

99 acres
Indias No.1 Property Portal

Our Heritage
First Internet Company to be Listed
Info Edge (India) Ltd is Indias premier
online classifieds company in recruitment,
real estate, matrimony and education.
A USD 1.5 Billion listed Indian Internet
Conglomerate.

Credentials of 99acres.com

5 Million Unique Visitors a month

9 Million Visitors a month

9 Lakh Residential and Commercial P

roperties

1.3 Lakh New Projects

20% NRI Visitors

2.5 Million Registered Database

1.3 Lakh Verified Listings

3.1 Lakh Live Owner Listings

Contact Us
0120 308 2248
Monday - Friday
9:30 AM to 6:30 PM IST

Email: content@99acres.com

*Disclaimer: The report reflects the overall market sentiment.

Considering the volatile nature of the housing sector, price
points mentioned here might vary with the market dynamics.