Nearly 80% Navi Mumbai housing launches in affordable, mid-income segment in five years

Nearly 80% of the overall residential projects launched between 2013 to first half of 2018 in Navi Mumbai were in the affordable to mid-income segment with price bracket of less than Rs 40 lakh and Rs 40 lakh to Rs 80 lakh, respectively, showed a report by ANAROCK Property Consultants and developers’ body CREDAI.

“If we focus on the unsold inventory, it emerges that Navi Mumbai has a mere 15% of the overall pent-up housing stock in MMR. This accounts for around 36,400 units as of H1 2018 – most of it in the affordable-to-mid-segment budget range,” said Anuj Puri, Chairman – ANAROCK Property Consultants.

However, according to Puri, the unsold stock has been reducing visibly post 2015, recovering sales momentum after a surfeit of launches between 2013 and 2014 and the political uncertainty prior to the general elections.

Since 2013, residential launches in Navi Mumbai have been in the range of 15-20% of the overall launches in Mumbai Metropolitan Region (MMR).

Residential launches in Navi Mumbai have witnessed a decline of 12% during the first half of 2018 as against a year ago period. Nearly 4,300 new units were launched during the first half of 2018 compared to 4,900 units launched during the corresponding period in the first half of 2017, the report said.

“Navi Mumbai’s real estate market is on a major upswing now, with the proposed development of the international airport, a Special Economic Zone (SEZ) and other major infrastructure initiatives giving a major boost to the region,” said Haresh Chheda, President – CREDAI-BAMN.

The government’s focus on regulating the real estate market with the triple tsunami of regulatory changes (DeMo, GST, RERA) have resulted in the huge decline in launches post the year 2015. The focus of the industry has shifted more towards the completion of their ongoing projects rather than launching new ones and to comply with the new policies.