Real estate market showed signs of a comeback with improved sales in the luxury housings. The sluggishness has hampered the real estate market across the country.
Pune real estate market witnessed a steady improvement in the sales of luxury housing. Real estate experts reported that there has been a steady improvement in the luxury housing sales. This is comparatively higher in Pune.
Cushman & Wakefield India reported to Times of India (TOI) that nearly 50% of total luxury housing units are launched in Bangalore. Pune’s contribution is about 8%.
Cushman & Wakefield India’s executive director Shveta Jain said that despite the sluggish behavior of real estate market there has been a demand in the luxury housing segment. According to her this is mainly due to the increased number of HNIs (high net worth individuals).
JLL (Jones Lang Le Salle) India’s Ashutosh Limaye also expressed a similar view. He said that the real estate market India has been relatively stable despite the global economic recession and crises. Increased demand for luxury housing has prompted real estate builders to launch luxury projects worth many cores.
Somehow the demand for luxury housing varies from cities to cities. Cities like Pune, Bangalore and Hyderabad showed improved demand for luxury housing. At the same time, demand for luxury housing in cities like NCR, Kolkata and even in Mumbai fell deep.
Cushman & Wakefield India reported that Goregaon East (Mumbai) and Gurgaon (NCR) stood the top of the list with highest appreciation. Both the areas witnessed a value appreciation 44% and 42% respectively. Hebbal (Bangalore) and some western parts of Hyderabad reached the 3rd and 4th places with a value appreciation of 21% and 13% respectively.
Comparing to the two of 2011, three luxury housing projects are launched in Pune in 2012. Each unit carries a price tag above Rs.1 Cr. The price goes up to Rs.7 Cr. But the total luxury housing units has increased by 250% in Pune. This is well above the increase of total housing units by 170%.
Sanjay Bajaj, MD of JLL Pune opined that Pune holds a relatively better demand ratio for luxury housing segment in the whole country. He pointed to the better amenities and lower and exciting land prices of the area.
Rishabh Siroya, managing director of a real estate firm, told that luxury housing segment is never affected by recession. He opined that market seldom affects the luxury housing segment. Managing director of Lodha real estate group Mr. Abhisheck Lodha stated that luxury housing segment forms only 4% of the country’s total residential market.