Q1 2014: New home launches hit high by 43% in India
Good news waves in for the real estate fraternity of India, as the number of new launches in the country climbs up to 55000 units, signalling a 53% rise across the major eight cities in the country. With increased sales volume in the H2 2014 on the cards foreseeing economic stability, which is likely to fuel the purchase decision of the end-users, realtors and developers have taken a conscious decision to launch a slew of new projects in the first quarter of 2014
Given the market reports and figures, Bangalore in Karnataka has emerged as the fastest growing urban sprawl in the country, hands down. Riding on the back of Information Technology, the real estate market of the city has been has been growing at an aggressive rate and has been above par. Recording the largest number of housing units launched (16838), Bangalore has topped the chart with a 22% increase, in comparison to other cities.
City wise differentiation
Winning the rat race with 16838 units, Bangalore was followed by Mumbai and Chennai with 10698 units and 7436 units new launches, gluing a growth rate of 93% and 191% respectively in Q1 2014. NCR witnessed the steepest decline of new launches by 18%, standing at 6555 units. The luxury segment, on a welcome note, grew by 120% in Q1 2014.
RESIDENTIAL LAUNCHES
|
City |
Q4 2013 |
Q1 2014 |
% Change |
|
(No. of Units) |
(No. of Units) |
||
|
Ahmedabad |
2,512 |
2,311 |
-8% |
|
Bengaluru |
13,851 |
16,838 |
22% |
|
Chennai |
2,554 |
7,436 |
191% |
|
Hyderabad |
744 |
930 |
25% |
|
Kolkata |
1,937 |
6,724 |
247% |
|
Mumbai |
5,549 |
10,698 |
93% |
|
NCR |
7,969 |
6,555 |
-18% |
|
Pune |
3,782 |
3,946 |
4% |
|
Total |
38,898 |
55,438 |
43% |
Bangalore
Recording a quarter-on-quarter increase of 22%, Bangalore witnessed a slew of new launches in the sub-markets of the South (namely Electronic City and Sarjapur Road) and East (like Varthur Road). The preference to dwell near the workplaces coupled with state-of-the art infrastructure, triggered the demand for residential units in such submarkets. The mid-end segment contributed to 75% of the new launches, while the affordable segment accounted for 18%.
The capital value in the mid-end segment in the North and North-West Bangalore has hit an all time high, riding on the back of enhanced infrastructure, which includes the metro rail (Peenya-Sampige Road: phase I, part 2) and Hebbal-Airport Expressway. On account of the paucity of supply, capital value got a shot in the arm in the mid-end segment in Of Central areas, while far South registered demand from the IT-Ites population.
