Real Estate Trends in Bandra Kurla Complex
The Bandra Kurla complex (BKC) is a well-planned complex in suburban Mumbai. According to the Mumbai Metropolitan Region Development Authority (MMRDA), this complex is the first in the series of growth centres created in South Mumbai. The complex is built on the north side of Mahim Creek with suburbs of Santacruz to its north, Kurla to the east and Bandra to its west. The area is located on either side of the Mithi River, Mahim Creek and Vakola Nalla. The development of this area has contributed to the improved water carrying capacity and reduced pollution in Vakola Nalla and Mithi River. The hydraulic features too have greatly improved here.
The MMRDA has been focusing on the development of ‘E’ block for a long time. It has a number of commercial establishments that include Asian Heart Institute, ICICI Bank, Citibank, Trident Hotel, NABARD Head Office, ESSAR Group, National Stock Exchange and a Dhirubhai Ambani International School. The Bandra Kurla complex is also home to the Mumbai Cricket Association’s cricket ground. A City Park and an Urban Plaza have been developed here. Apart from the ‘E’ block, the focus on development has expanded to the adjacent ‘G’ block where an International Finance and Business Center (IFBC) is set to come up. The goal of IFBC is to create office locations in this area with international standards and provide the employees high quality amenities, safe environment, accessibility and entertainment.
Connectivity:
The complex is located between Bandra and Kurla and hence has excellent connectivity from both Bandra Terminus on the Western line and Lokmanya Tilak Terminus (formerly Kurla Terminus) on the Eastern line. Apart from these two lines, there is a Line II planned as a part of Mumbai Metro project, Phase 1. This line will have 4 stations in and around the Bandra Kurla Complex and will pass through IFBC.
Apart from train service, BKC is also close to the Western Express Highway which can be accessed through the BKC road and Kalanagar Junction.
Real Estate:
The area is constantly being developed. About 14% of the land area is earmarked for housing with a focus on preserving open spaces. A large utility complex has been planned, which will provide amenities such as commercial and public utilities, car parks, taxi and bus stands for the residents. Two level basement parking is also permitted for every building. Real estate developers such as Joy Home Creation, Omkar Realtors and Developers are already present here.
Properties such as 2/3/4 and 5 BHK apartments are currently available here for purchase. With a built up area of approximately 1,200 sft, a 2/3 BHK apartment is available for a price between Rs. 15,750 to Rs. 15,800. A 2 BHK property with a built up area of 1,300 sft is available for Rs. 19,500 per sft. A 3 BHK apartment with an area of 1,560 sft is available for a price range of Rs. 16,600 to Rs. 16,700 per sft. A 4 BHK apartment is available for Rs. 38,100 per sft with an approximate area of 4,800 sft. A 5 BHK apartment with area 4,000 sft is available for Rs. 87,500.
The monthly rental for a commercial space may range from Rs. 200 per sft up to Rs. 28,000 per sft depending on the amenities, vicinity to other MNCs and other factors.
Price Trends:
The recent trends in BKC however do not look encouraging. The economic slowdown has resulted in many corporations such as Gemological Institute of America, Franklin Templeton India and Volkswagen moving out of this locality to cheaper localities in Mumbai. According to a developer, around 15 lakh sft of commercial space is empty in Bandra Kurla Complex. Lease rentals have fallen from over Rs. 300 per sft a month to Rs. 250 or less per sft due to low demand. Though there are some financial companies moving in, the number of corporations moving out is outweighing the companies moving in. The commercial land rates have undergone continuous fluctuations over the last year. However, there has not been any major change in the commercial property trends from what it was last year. The average price per sft is within the range of Rs. 29,800 – 30,000.
With the current uncertainty, it may not be the ideal locality to settle down at the moment. However, with future possibilities of improvement, one can buy a property here from the point of capital investment.
