Mumbai new prime residential launches hit record high of over 10,000 units

New launches grew 16% in Q4.

In Q4, 10,011 units were launched in Mumbai’s high-end residential segment, a significant growth of 16% q-o-q, and hitting a record high, according to data from JLL. The Thane submarket led the quarterly new launches, accounting for 44% of the overall launches, followed by Navi Mumbai with 24%.

“Western Suburbs I, Thane and Navi Mumbai saw an increase in new project launches on a q-o-q basis, while other submarkets experienced a decline. Around 12% of all launches in Q4 fell within the price range of INR 30 to 50 million and above,” the analyst added.

Here’s more from JLL:

High-end apartment sales reached a new peak as buyers favoured spacious homes. Industrialists, high-net-worth individuals (HNIs), executives and celebrities purchased luxury apartments in sought-after locations like Lower Parel, Worli and Bandra.

The Thane submarket led the total high-end sales with 25%, followed by Navi Mumbai and Western Suburbs II submarkets. Thane and Navi Mumbai submarkets recorded all-time high sales.

Capital values increase marginally

Capital values were up by 0.5-1.0% q-o-q across all submarkets, as demand remained positive for premium apartments in the city. Navi Mumbai recorded the largest price growth, followed by Western Suburbs II, Eastern Suburbs and Thane.

Rents were also up q-o-q in Q4, with the Navi Mumbai submarket experiencing the largest growth. This was fuelled by growth in the office sector and infrastructure developments, both of which contributed to an increased demand for apartments in this area.

Outlook: Demand for high-end apartments to remain robust

The high-end residential market is expected to be propped up by demand from HNIs, NRIs, industrialists and executives. Infrastructure projects will improve connectivity, enabling easier living and keeping demand for such properties at elevated levels.

Prices are expected to rise as new launches are likely to enter the market at higher prices. Strong sales will support developers as they increase prices for successful projects. Capital values are anticipated to grow at a faster pace y-o-y.