In Mumbai, with the CBD shifting to BKC and Lower Parel for all practical purposes, even the most attractive parts of the city have not witnessed increased action in terms of sales, relative appreciation and leasing over the last 5-7 years.
In marked contrast to other cities, the dynamics of Luxury housing in Mumbai have changed dramatically over the last decade. Cuffe Parade, Marine Drive, Pedder Road and other premium locations in Mumbai have witnessed a slowdown in demand and price appreciation.
In Mumbai, with the CBD shifting to BKC and Lower Parel for all practical purposes, even the most attractive parts of the city have not witnessed increased action in terms of sales, relative appreciation and leasing over the last 5-7 years. With the CBD and even the Diamond Market moving to Bandra Kurla Complex (BKC), there has been a dramatic shift of preferences for luxury housing in Mumbai. South Mumbai residents now show increasing preference for moving to New Premium Residential Complexes in Mahalaxmi, Jacob Circle, Lower Parel, Worli and Prabhadevi giving up the standalone buildings they have been occupying since security and parking have become a challenge.
The shift towards Worli reflects that a desire to be close to the Sea Link for faster access to BKC is another important market trend. The Bandra-Khar-Santacruz belt and specifically BKC have become the best options for corporate employees who wish to live closer to their workplaces. Diamond traders are also shifting to these areas and to Worli for the same reason.
Few South Mumbai properties that have perennial demand are Samudra Mahal, Beaumonde, Lodha Bellissimo, Planet Godrej, Kalpataru Horizon, Raheja Vivarea, Lodha Primero, Omkar 1973, Signature Island where resale price ranges from Rs. 45000/- psf to Rs. 1 Lac p.s.f
Mumbai’s new Luxury Locations:
A family living in South Mumbai that wants to upgrade from a 2 BHK to 3 BHK or 4 BHK usually operates with a limited additional budget after selling their existing home. After a prolonged stay in plush South Mumbai, very few locations provide comparable appeal / options.
Such families will consider options in Mahalaxmi, Parel, Lower Parel, Prabhadevi and Worli, and tend to be open to locations such as Mazgaon and Byculla as secondary options. The additional investment for exploring these alternatives is usually between Rs. 2-4 crore. Reputed developers like K Raheja Corp., Kalpataru, Lodha and others have luxury projects in these areas and are actively catering to the demand coming from erstwhile residents of South Mumbai.
South Mumbai residents who cannot stretch their budget to accommodate their new space requirement are looking at Parel, Sewri and Wadala as alternate option. With the arrival of the Eastern Freeway, Monorail, and JJ Flyover Parel, Sewri and Wadala have in fact become a hot destination. Reputed developers like L&T, Dosti and Ajmera have projects in these locations. Some of them are completed or near completion.
In the CBD area, the BKC belt has surprised most market pundits over the last decade. With the robust development in this prime location of Mumbai, many families from South Mumbai have been able to move into luxury projects there with just marginal budget additions. In the process, they have gained the advantages of additional bedrooms as well as significantly enhanced luxury living experience. The BKC luxury residential market is being serviced by developers like Sunteck, Kalpataru and Rustomjee.
Lifestyle Property Consultants