Andheri West Outpaces East in Capital Values
Andheri has come a long way from being just one of the suburbs in Western Mumbai to being a populous suburb in recent times. Today, it is one of the most sought after suburbs in Mumbai and is bustling with both commercial and residential developments.
Andheri is a western suburb which is divided into western and eastern zones similar to other Mumbai suburbs. Both the east and west zones are identified as prime real estate markets today. However, Andheri West today has outpaced its eastern counterpart in terms of property values. Several factors have led to the price appreciation in the western part.
1) One of the key reasons why Andheri east has a lower capital value is due to its proximity to the slum while the western zone does not face this issue. On the contrary, the western zone is home to several famous personalities and studios and is known for its lavish lifestyle. This has naturally driven up property prices here.
2) Andheri west is older than the eastern zone and is purely residential. Even though residential development has picked up in recent times, it was always developed as a commercial center. While Andheri west is known for its elite inhabitants, Andheri east is characterized by industrial establishments such as Maharashtra Industrial Development Corporation (MIDC) and Santacruz Electronics Export Processing Zone (SEEPZ). Accordingly, the demographics between these two localities vary.
3) While Andheri east witnesses demand from middle class home buyers, the western zone witnesses demand from upper and rich class home buyers. Demand trends show that 1-BHK units are most preferred in the east while 2-BHK and above is preferred in the west. The supply trends too show that while both zones have similar supply of 2-BHK properties, smaller housing units are more in supply in the east while the west has a large inventory of 3 and 4-BHK properties.
4) Andheri east has also seen traffic snarls as a part of daily life as compared to its western counterpart. Hence, the western zone faces more demand from buyers who look for a calm and peaceful residential location. With increasing demand, there is an increase in property prices.
All these reasons have contributed to the higher capital value of properties in the western zone. Values in Andheri west typically range from 16,600-22,000 per sq-ft whereas in east, values range between Rs. 13,350-16,650 per sq-ft.
Andheri East however has a higher connectivity. It is better connected to the Western Expressway. The Mumbai airport too is close to the eastern side of Andheri. The JVLR (Jogeshwari-Vikhroli Link Road) has improved the accessibility to SEEPZ and MIDC. Andheri east is soon expected to be connected through the metro. With this infrastructure, the capital value is expected to go up eventually.
