marketbeat residential snapshot q4 2016 snapshot q4 2016 bengaluru, india marketbeat capital values...

Residential Snapshot Q4 2016Ahmedabad

MARKETBEAT

www.cushmanwakefield.com

EconomyRecorded at 7.3% for the July-September quarter, India’s GDP

was up from 7.1% in the preceding quarter. In October, the

Consumer Price Index (CPI), a key price indicator of the Reserve

Bank of India (RBI) for policy purposes, was seen at 4.2% -

slumping to a 14-month low – on the back of lower food inflation.

The stable inflation rate had raised hopes of a rate cut in the

benchmark interbank lending rate by the RBI in December, but

this did not materialize given a slowdown in overall economic

activity post the implementation of a currency demonetization

exercise by the Indian government. However, the demonetization

has resulted in excess liquidity with banks, prompting several

banks to reduce their term-deposit rates. The banks may pass on

the reduced cost of funds in the form of cheaper home loan rates

to customers over the next few months. Further, demonetization

has increased expectations of a price cut in the secondary and

investor-driven markets. Following the rationalization, a pick-up in

residential sales is anticipated in the second half of 2017.

Market OverviewUnabated launch activity; focus on West Peripheral

submarket. Ahmedabad witnessed nearly 2,700 unit launches

during the fourth quarter of 2016, registering a mere 1% decline q-

o-q. While launch activity continued at similar levels, average

number of units per project increased from 253 in the previous

quarter to 343 in the current quarter, indicating a trend of

launching large-sized projects. Majority (43%) of the quarterly unit

launches were spread across locations such as Bopal and Shela

in West Peripheral submarket, which continued to attract

developers interest due to steady demand driven by well

developed physical and social infrastructure.

Affordable segment dominated. Affordable segment formed

nearly two-third of the quarterly unit launches, nearly 80% of

which were concentrated in Ranip (North submarket) and Odhav

(East submarket) due to land availability at relatively lower prices.

Capital and rental values remained stable. Both capital and

rental values maintained status-quo across all submarkets.

OutlookLaunch activity likely to decline. The number of unit launches is

likely to be subdued in the upcoming quarter as developers are

likely to adopt a wait and watch strategy, given the existing high

unsold inventory levels and the impending enforcement of RERA.

<CITY> OFFICERENTAL VALUES AS OF Q4 2016

High-End Segment

Submarket Average Quoted

Rent (INR/Mth)

% Change From Short Term

Outlook3 Mth

Ago

1 Yr Ago

Central 20,000-100,000 0% 0%

West 18,000-100,000 0% 0%

Mid Segment

Central 7,000-25,000 0% 0%

North 5,000-12,000 0% 0%

South 4,500-15,000 0% 0%

West 8,000-30,000 0% 0%

West Peripheral 8,000-30,000 0% 0%

East 4,000-12,000 0% 0%

CAPITAL VALUES AS OF Q4 2016

High-End Segment


Rate (INR/sf)

% Change From Short Term

Outlook3 Mth

Ago

1 Yr Ago

Central 5,500-8,000 0% 0%

West 5,500-8,000 0% 0%

Mid Segment

Central 4,500-6,500 0% 0%

North 2,700-4,500 0% 0%

South 1,900-5,000 0% 0%

West 3,500-6,500 0% 0%

West Peripheral 2,800-5,500 0% 0%

East 1,800-4,000 0% 0%

Increase DecreaseStable

Residential Snapshot Q4 2016Ahmedabad

MARKETBEAT


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Copyright © 2017 Cushman & Wakefield. All rights reserved. The information contained within this report is gathered from mult iple sources considered

to be reliable. The information may contain errors or omissions and is presented without any warranty or representations as to its accuracy.

Siddhart GoelSenior Director

Research Services, India

Tel: +91 80 40465555

[email protected]

STATS ON THE GO

Significant Projects Launched in Q4 2016

Building Location Developer Units Launched Rate* (INR/SF)

Ashray 10 Ranip Keval Vision Buildcon 790 2,057

Sayaji Samruddhi Odhav Sayaji Real Estate 646 1,877

Significant Projects Under Construction in Q4 2016

Building Location Developer Est. Number Of Units Expected Completion

Aaryan Gloria Bopal Aaryan Builders 560 Q1 2017

Ratnaakar Beaumonde Vastrapur Nishant Construction 55 Q1 2017

Significant Construction Completions in Q4 2016

Building Location Developer Est. Number Of Units Unit Size (SF)

Silver Casa

Indraprastha Kadamb

Thaltej

Prahladnagar

Avirat Group

Deep Group

176

42

1,180

3,000

NOTES

Data collated from primary and secondary resources. Estimations are subject to change

* Quoted base capital value and does not include other charges such as Preferential Location Charges, External Development Charges, Internal Development Charges,

etc.

The above values for high-end segment are for units typically of 1,600-3,000 sf

The above values for mid segment are for units typically of 900-1,800 sf

KEY TO SUBMARKETS

High-end Segment

Central: C.G. Road, Ashram Road, Navrangpura, Gulbai Tekda

West: Vastrapur, Satellite, Thaltej, Prahladnagar

Mid Segment

Central: C.G. Road, Ashram Road, Navrangpura, Gulbai Tekda

North: Ram Nagar, Sabarmati, Motera, Chandlodia, Ranip, Chandkheda, Gota, Vaishnodevi

South: Maninagar, Narol, Vatwa, Ghodasar

West: Vastrapur, Satellite, Thaltej, Prahladnagar, Makarba, Vejalpur

West Peripheral: Bopal, South Bopal, Ambli, Ghuma

East: Naroda, Nikol, Hansol, Odhav, Vastral

Residential Snapshot Q4 2016BENGALURU, INDIA

MARKETBEAT



High-End Segment


Rate (INR/Sf)% Change From Short Term

Outlook3 Mth Ago 1 Yr Ago

Central 18,000-30,000 0% 0%

South 7,000-10,500 0% 0%

Off Central 9,000-12,000 0% 11%

East 6,500-10,000 0% 0%

North 7,000-11.000 0% 0%

North-West 8,000-11,000 0% 0%

Mid Segment

Central 9,500-13,000 0% 0%

East 4,300-5,700 0% 0%

South-east 4,500-6,500 0% 0%

North 4,500-6,000 0% 11%

South 4,500-6,500 0% 0%

Off Central-I 7,000-10,000 0% 0%

Off Central-II 6,500-8,500 0% 0%

North-west 6,000-6,750 0% 0%

Far South 3,750-4,500 0% 0%

West 4,000-5,000 0% 13%

RENTAL VALUES AS OF Q4 2016

High-End Segment


Rent (INR/Mth)% Change From Short Term

Outlook3 Mth

Ago

1 Yr Ago

Central 120,000-350,000 0% 0%

South 60,000-120,000 0% -14%

Off Central 60,000-150,000 0% -14%

East 70,000-300,000 0% -18%

North 60,000-150,000 0% -5%

North-West 50,000-100,000 0% 0%

Mid Segment

Central 70,000-100,000 0% 0%

East 25,000-40,000 0% 0%

South-east 25,000-45,000 0% 0%

North 20,000-35,000 0% 0%

South 25,000-40,000 0% 0%

Off Central-I 40,000-70,000 0% 0%

Off Central-II 30,000-50,000 0% 0%

North-west 25,000-35,000 0% 0%

Far South 20,000-30,000 0% 0%

West 20,000-30,000 0% 25%

EconomyRecorded at 7.3% for the July-September quarter, India’s GDP was

up from 7.1% in the preceding quarter. In October, the Consumer

Price Index (CPI), a key price indicator of the Reserve Bank of India

(RBI) for policy purposes, was seen at 4.2% - slumping to a 14-

month low – on the back of lower food inflation. The stable inflation

rate had raised hopes of a rate cut in the benchmark interbank

lending rate by the RBI in December, but this did not materialize

given a slowdown in overall economic activity post the

implementation of a currency demonetization exercise by the Indian

government. However, the demonetization has resulted in excess

liquidity with banks, prompting several banks to reduce their term-

deposit rates. The banks may pass on the reduced cost of funds in

the form of cheaper home loan rates to customers over the next few

months. Further, demonetization has increased expectations of a

price cut in the secondary and investor-driven markets. Following the

rationalization, a pick-up in residential sales is anticipated in the

second half of 2017.

Market OverviewLaunches continued to slide. New launches dropped by a

significant 70% on a sequential basis and noted at 1,400 units during

the quarter. Nearly 45% of the unit launches were witnessed in the

East submarket (mainly concentrated in Whitefield and KR Puram)

followed by North. Further, about 55% of the unit launches were

seen in the affordable and mid segment during the quarter.

Quoted capital and rental values remained steady. Rental values

maintained status quo during this quarter across submarkets and

within segments owing to steady demand-supply scenario.

Meanwhile, quoted capital values remained stable from the previous

quarter as transaction activity slowed down drastically in the wake of

demonetization.

OutlookNew unit launches are likely to be limited. New launches are

expected to be lower in the upcoming quarter as developers focus

on completing existing under-construction projects and await a pick-

up in sales.

While off-take of units are likely to be marginally hit on account of

demonetisation, rental and capital values are expected to remain

largely range-bound in the near term.


Residential Snapshot Q4 2016BENGALURU, INDIA

MARKETBEAT









Copyright © 2017 Cushman & Wakefield. All rights reserved. The information contained within this report is gathered from multiple sources considered




Tel: +91 80 40465555

[email protected]

NOTES


* Quoted base capital value and does not include other charges such as Preferential Location Charges, External Development Charges, Internal Development Charges, etc.


The above values for mid segment are for units typically of 1,600-2,000 sf

KEY TO SUBMARKETS

High-end Segment

Central: Lavelle Road, Palace Cross Road, Off Cunningham Road, Ulsoor Road, Richmond Road, Sankeys Road

South: Koramangala, Bannerghatta Road, JP Nagar, Banashankari

Off Central: Frazer town, Benson Town, Richards Town, Dollars Colony

East: Whitefield, Old Airport Road

North: Hebbal, Jakkur, Devanahalli

North-west: Malleshwaram, Rajajinagar, Yeshwantpur

Mid Segment

Central: Brunton Road, Artillery Road, Ali Askar Road, Cunningham Road

East: Marathahalli, Whitefield, Old Airport Road, Old Madras Road, Budigere Cross

South-east: Sarjapur Road, Outer Ring Road (Marathahalli- Sarjapur), HSR Layout, Hosur Road

South: Jayanagar, J P Nagar, Kanakapura Road, Bannerghatta Road, BTM Layout, Banashankari

North: Hebbal, Bellary Road, Yelahanka, Doddaballapur Road, Hennur Road, Thanisandara Road

Off Central-I: Vasanth Nagar, Richmond Town, Indiranagar

Off Central-II: Cox Town, Frazer Town, Benson Town, etc.

North-west: Malleshwaram, Rajajinagar, Tumkur Road

Far South: Electronic City

West: Mysore Road, Uttarahalli Main Road, Magadi Road

STATS ON THE GO



Skav Ohana K R Puram Skav Developers 285 4,299



Samruddhi Rhythm Hennur Road Samruddhi Group 200 Q4 2017

Sunrise Park Electronic City Prestige Group 1,900 Q2 2017


Building Location Developer Est. Number of Units Unit Size (SF)

Prestige Tranquility Budigere Cross Prestige Group 2,368 693 – 1,814

Sobha Forest View Kanakpura Road Sobha Developers 890 1,876 – 3,241

Residential Snapshot Q4 2016CHENNAI

MARKETBEAT



High-End Segment



Outlook3 Mth

Ago

1 Yr Ago

Central 23,000-32,000 0% 0%

Off Central-I 16,000-22,000 0% 0%

Besant Nagar 13,500-15,000 0% 0%

Kotturpuram 14,000-20,000 0% 0%

Nungambakkam 14,000-24,000 0% -3%

Anna Nagar 12,000-15,500 0% -5%

Kilpauk 12,000-16,000 0% 0%

East Coast Road 7,500-9,500 0% 3%

Mid Segment

Off Central-I 12,000-16,000 0% 4%

Off Central-II 10,000-17,000 0% 0%

Velachery 6,000-9,500 0% 0%

Mogappair 5,000-8,000 0% 0%

GST 3,200-5,000 0% 0%

Porur 4,000-6,500 0% 0%

Suburban (North) 3,000-5,800 0% -5%

Suburban (South) 3,500-7,100 0% 18%

Rajiv Gandhi Salai-I 5,000-7,000 0% 0%

Rajiv Gandhi Salai-II 3,500-5,000 0% 0%


High-End Segment



Outlook3 Mth

Ago

1 Yr Ago

Central 125,000-250,000 0% -7%

Off Central-I 90,000-130,000 0% -8%

Besant Nagar 90,000-150,000 0% -4%

Nungambakkam 100,000-200,000 0% 0%

Anna Nagar 75,000-100,000 0% 0%

Kilpauk 75,000-100,000 0% 0%

East Coast Road 100,000-250,000 0% -13%

Mid Segment

Off Central-I 45,000-80,000 0% 0%

Off Central-II 30,000-50,000 0% 0%

Nungambakkam 50,000-75,000 0% 0%

Anna Nagar 30,000-55,000 0% 0%

Velachery 30,000-55,000 13% 13%

Rajiv Gandhi Salai-I 22,000-32,000 0% 0%

Rajiv Gandhi Salai-II 18,000-25,000 0% 0%







benchmark interbank lending rate by the RBI in December, but this

did not materialize given a slowdown in overall economic activity

post the implementation of a currency demonetization exercise by

the Indian government. However, the demonetization has resulted

in excess liquidity with banks, prompting several banks to reduce

their term-deposit rates. The banks may pass on the reduced cost

of funds in the form of cheaper home loan rates to customers over

the next few months. Further, demonetization has increased

expectations of a price cut in the secondary and investor-driven

markets. Following the rationalization, a pick-up in residential sales

is anticipated in the second half of 2017.

Market OverviewNew launches declined significantly. New unit launches during

the fourth quarter witnessed a 67% decline from the previous

quarter and stood at about 800 units. This decline in new launches

is largely due to the subdued buying sentiment prevailing in the

markets, which has resulted in increasing the unsold inventory in

existing projects Mid segment constituted the majority share at

87% of the total unit launches, an increase of 32 percentage points

from the previous quarter. High-end segment accounted for 12%

whilst no projects were launched in the affordable segment. The

micro-markets of Kolathur and Ambattur, and Tambaram (GST

Road) witnessed majority of the new launches in the mid segment.

It is pertinent to note that developers launched units of only 2 BHK

configuration in the mid segment during this quarter.

Rental and capital values remained stable in most

submarkets. Rental values remained stable in most of the

submarkets except Velachery, which witnessed a 13% increase in

the mid segment over the previous quarter. Capital values

maintained status quo across all submarkets in both mid and high-

end segments.

OutlookLaunches expected to remain tepid. With the Real Estate

Regulation Act expected to come into effect in 2017, developers

are likely to increase focus on completing existing projects. This is

expected to limit new unit launches in the upcoming quarter. Rental

and capital values are expected to remain stable in most

submarkets in the next quarter due to ample availability of

properties and moderate demand.


Residential Snapshot Q4 2016CHENNAI

MARKETBEAT













Tel: +91 80 40465555

[email protected]

STATS ON THE GO



Ferns Tambaram Casa Grande 288 3,250 - 3,350

Lemongraz Ambattur Ramky WavooDevelopers

129 3,899



Sidharth Upscale Porur Sidharth Housing 388 Q1 2017

Ruby Landmark Vandalur Ruby Builders 298 Q1 2017



Mandarin Thoraipakkam Radiance Realty 360 1,575 – 2,375

NOTES





KEY TO SUBMARKETS

Central: Boat Club, Poes Garden, Venus Colony, and Kasturi Rangan Road

Off Central-I: R.A. Puram, Abhiramapuram, Alwarpet and Adyar

Off Central-II: T.Nagar and Mylapore

Suburban (North): Madhavaram, Moolakadai, Perambur, Kolathur, Tondiarpet, Korukkupet, Tiruvottiyur, Periyar Nagar and Thiruvika Nagar

Suburban (South): Alandur, Ekkatuthangal, Adambakkam, Nanganallur, Medavakkam, Perumbakkam, Pallavaram, 200 ft. Road, Vandalur-Kelambakkam Road

Rajiv Gandhi Salai-1: Till Sholinganallur

Rajiv Gandhi Salai-II: After Sholinganallur

Residential Snapshot Q4 2016DELHI-NCR, INDIA

MARKETBEAT



High-End Segment


Rate (Inr/Sf)% Change From Short Term

Outlook3 Mth

Ago

1 Yr Ago

South-west 38,000-53,000 0% -3%

South-east 24,000-35,000 0% -4%

South-central 25,700-43,000 0% -1%

Central 60,000-90,000 0% 0%

Gurgaon Luxury 19,500-26,000 0% 0%

Gurgaon High-end 11,000-16,500 0% 0%

Noida 7,500-9,000 0% 0%

Mid Segment

South-east 20,900-25,700 0% 0%

South-central 23,800-33,300 0% 0%

Gurgaon 8,000-10,000 0% 0%

Noida 4,500-6,500 0% -4%


High-End Segment


Rent (Inr/Mth)% Change From Short Term

Outlook3 Mth

Ago

1 Yr Ago

South-west 225,000-425,000 0% -13%

South-east 90,000-225,000 0% -17%

South-central 150,000-275,000 0% -11%

Central 250,000-550,000 0% -3%

Gurgaon Luxury 200,000-275,000 0% -10%

Gurgaon High-end 65,000-175,000 0% -11%

Noida 50,000-100,000 0% 0%

Mid Segment

South-east 85,000-160,000 0% -6%

South-central 90,000-170,000 0% -5%

Gurgaon 40,000-90,000 0% 0%

Noida 25,000-45,000 0% 0%















price cut in the secondary and investor-driven markets. Following

the rationalization, a pick-up in residential sales is anticipated in the


Market OverviewNew launch activity improves marginally. While new unit

launches improved by 13% to 2,000 units on a sequential basis, it

continues to be significantly lower than the average quarterly

launches in the past 3 years. Gurgaon constituted 54% of the unit

launches during the quarter, led by a large project in Dwarka

Expressway. Within Noida, the micro-markets of sector 113, Noida

Extension and Greater Noida witnessed majority of the new

launches. Affordable segment accounted for the majority share

(75%) of new launches during the quarter; the balance was

contributed by high-end segment.

Stable capital and rental values. Capital values maintained status

quo in both mid and high-end segments across all submarkets

during the quarter. Rental values also remained unchanged during

the quarter owing to steady demand.

OutlookNew launches to remain tepid. A high level of unsold inventory in

the market is expected to slowdown launch activity. The recent

currency demonetization is expected to further hit sales velocity;

capital and rental values will largely remain range-bound in the next

quarter.


Residential Snapshot Q4 2016DELHI-NCR, INDIA

MARKETBEAT













Tel: +91 80 40465555

[email protected]

STATS ON THE GO



Golf Link Villas - Crest Greater Noida Godrej Properties 296 4,849 – 5,499

Conac Noida Airwil 200 7,700



Capital Greens Ph-2 Delhi DLF 1,248 Q1 2017

Diplomatic Greens Ph-1 Gurgaon Puri Construction 300 Q1 2017



Paras Seasons Noida Paras Buildtech 300 650 – 2,100

NOTES



etc.



KEY TO SUBMARKETS

High-end Segment

South-west: Shanti Niketan, Westend, Anand Niketan, Vasant Vihar, etc.

South-east: Friends Colony East, Friends Colony West, Maharani Bagh, Greater Kailash – I, Greater Kailash – II, etc.

South-central: Defence Colony, Anand Lok, Niti Bagh, Gulmohar Park, Hauz Khas Enclave, Safdarjung Development Area, Mayfair Gardens, Panchsheel Park, Soami

Nagar, Sarvaodaya Enclave, etc.

Central: Jorbagh, Golf Links, Amrita Shergil Marg, Aurangzeb Road, Prithviraj Road, Sikandara Road, Tilak Marg, Ferozshah Road, Mann Singh Road, Sunder Nagar,

Nizamuddin, Tees January Marg, Chanakyapuri, etc.

Gurgaon-Luxury: Golf Course Road

Gurgaon-High end: Golf Course Road, Mehrauli-Gurgaon Road, Golf Course Extension Road, Sohna Road, Central Gurgaon and Dwarka Expressway

Noida: Sectors 34-37, 39-41, 44, 50, 51, 92, 93, 96-98, 128 and 133

Mid Segment

South-east: New Friends Colony, Kalindi Colony, Ishwar Nagar, Sukhdev Vihar, Kailash Colony, Pamposh Enclave, etc.

South-central: Uday Park, Green Park, Saket, Asiad Village, Geetanjali Enclave, Safdarjung Enclave, Sarvapriya Vihar, Panchsheel Enclave, Navjeevan Vihar, etc.

Gurgaon: Sohna Road (Sectors 38, 47-49), Southern Peripheral Road, New Gurgaon, Dwarka and Sohna

Noida: Sectors 50, 74-79, 82, 83, 110, 112, 115-121, 134, 135, 137, 143, 150, 151 and 168), Greater Noida and Yamuna Expressway

Road

Residential Snapshot Q4 2016HYDERABAD

MARKETBEAT


Miyapur, Nizampet 9,000-17,500 0% 0%


High-End Segment



Outlook3 Mth

Ago

1 Yr

Ago

Banjara Hills 8,000-11,000 0% 12%

Jubilee Hills 8,000-11,000 0% 12%

Himayathnagar 4,500-5,500 0% 0%

West & East

Marredpally4,000-5,500 0% 0%

Begumpet, Somajiguda 4,500-6,500 0% 0%

Madhapur, Gachibowli 4,500-6,500 0% 0%

Kukatpally 4,000-6,000 0% 0%

Kompally 3,200-4,200 0% 0%

Mid Segment

Banjara Hills 4,000-6,000 0% 0%

Jubilee Hills 4,000-5,500 0% 0%

Himayathnagar 3,500-4,500 0% 7%

West & East Marredpally 3,500-4,250 0% 11%



Kukatpally 3,500-4,300 0% 7%

Miyapur, Nizampet 3,000-3,750 0% 2%


High-End Segment



Outlook3 Mth

Ago

1 Yr

Ago

Banjara Hills 58,000-150,000 0% 0%

Jubilee Hills 57,000-150,000 0% 0%

Himayathnagar 20,000-36,000 0% 4%




Kukatpally 20,000-39,000 0% 0%

Mid Segment

Banjara Hills 22,000-30,000 0% 4%

Jubilee Hills 23,000-30,000 0% 4%

Himayathnagar 13,500-16,000 0% 2%




Kukatpally 13,500-17,500 0% 0%















price cut in the secondary and investor-driven markets. Following

the rationalization, a pick-up in residential sales is anticipated in the


Market OverviewPick up in launch activity. New unit launches increased by 19.3%

from the previous quarter and stood at nearly 2,100 units. This

growth was driven by the launch of a large project in Hi-tech city. All

the launches in the quarter were noted in the mid segment. The

sub-markets of Madhapur and Gachibowli together accounted for

majority (60%) of the new units launched during the quarter owing

to steady demand, driven by IT-BPM employees working in the

office markets of Madhapur and Hi-tech city.

Rental and capital values remained stable. The average rental

values remained stable across sub-markets due to higher

availability of rental spaces in relation to demand. At the same time,

capital values also remained stable across all the sub-markets

owing to consistent flow of new supply coupled with steady

demand.

OutlookCapital values to remain stable. The first quarter of 2017 is

expected to witness a marginal decline in new launches as most of

the developers are focused on completing their existing projects.

Demonetization is expected to result in deferment of purchasing

decisions and capital values are expected to remain range-bound.


Residential Snapshot Q4 2016HYDERABAD

MARKETBEAT













Tel: +91 80 40465555

[email protected]

STATS ON THE GO



Marina Skies Hi-tech City Cybercity Builders & Developers Pvt. Ltd

1,240 4,299

Honer Homes Tellapur Honer Homes 780 3,699



My Home Vihanga Phase I Gachibowli My Home Constructions 800 Q1 2017

Atria Phase I Kokapet Rajapushpa Properties 550 Q1 2017



Ashvitha Kukatpally Mahindra Lifespace Developers 664 1,218 – 2,018

NOTES





Residential Snapshot Q4 2016KOLKATA, INDIA

MARKETBEAT



High-End Segment



Outlook3 Mth

Ago

1 Yr Ago

South 63,000-85,000 0% 0%

South-central 100,000-165,000 0% 0%

South-east# 40,000–85,000 0% 0%

South-west 100,000-185,000 0% 0%

Central 85,000-155,000 0% 0%

East 38,000-68,000 0% 0%

North 35,000-70,000 0% 0%

North-east 43,000-66,000 0% 0%

Mid Segment

South 20,000-35,000 0% 0%

South-central 28,000-36,000 0% 0%

South-east# 20,000-35,000 0% 0%

North-east# 15,000-25,000 0% 0%

North 16,500-31,000 0% 0%







benchmark interbank lending rate by the RBI in December, but

this did not materialize given a slowdown in overall economic

activity post the implementation of a currency demonetization

exercise by the Indian government. However, the demonetization

has resulted in excess liquidity with banks, prompting several

banks to reduce their term-deposit rates. The banks may pass on

the reduced cost of funds in the form of cheaper home loan rates

to customers over the next few months. Further, demonetization

has increased expectations of a price cut in the secondary and

investor-driven markets. Following the rationalization, a pick-up

in residential sales is anticipated in the second half of 2017.

Market OverviewNew launches continued at a sturdy momentum. The fourth

quarter witnessed a 22% increase in new unit launches over the

previous quarter and stood at nearly 4,100 units. Average

number of units per project increased from 304 in the previous

quarter to 582 in the current quarter, indicating a trend of

launching large-sized projects. The north-east micro-markets of

Hatisala, Newtown and Rajarhat witnessed almost all (98%) the

launches during the quarter.

Affordable segment constituted 93% of the total new launches,

with developers maintaining a high thrust on this segment. The

segment noted a sharp increase of 37 percentage points from

the previous quarter. On an annual basis, the share of launches

in the mid segment reduced significantly from 66% in 2015 to

23% at the end of 2016.

Capital and rental values maintained status quo.

Capital values in both high-end and mid segments remained

stable during the quarter. Rental values also remained broadly

unchanged from the previous quarter due to steady demand and

adequate availability in the market.

OutlookPrices likely to remain range-bound. Capital and rental values

are expected to remain stable over the next quarter. With RERA

in the offing, developers are expected to increase focus on

completing under-construction projects.


High-End Segment


Rate (INR/sf)% Change From Short Term

Outlook3 Mth

Ago

1 Yr Ago

South 7,500-13,000 0% 0%

South-central 12,500-18,500 0% 0%

South-east 6,200-12,500Cap 0% 6%

South-west 12,000-17,000 0% 0%

Central 12,000-19,500 0% 0%

North 6,500-9,500 0% 0%

East 5,000-7,750 0% 0%

North-east 4,350-6,500 0% 0%

Mid Segment

South 4,000-6,700 0% 0%

South-central 5,900-9,250 0% 0%

South-east 3,000-5,550 0% 0%

North-east 2,900-4,250 0% 0%

North 3,150-6,200 0% 0%

Increase Stable Decrease

# Rental values have been recalibrated historically in Q2 2016

Residential Snapshot Q4 2016KOLKATA, INDIA

MARKETBEAT













Tel: +91 80 40465555

[email protected]

STATS ON THE GO



Usashi Prince Town Hatisala Usashi Real Estate 800 2,190

Bengal Swan Court Newtown Emami Realty 220 4,320



Ideal Exotica New Alipore Ideal Group 156 Q1 2017



Clubtown Gateway New Town Space Group 190 888 – 2,484

NOTES





KEY TO SUBMARKETS

High-end Segment

South: Southern Avenue, Hindustan Park, Triangular Park, Lake Terrace

South-central: Ballygunge, Queens Park, Rainy Park, Gurusaday Road, Ballyguange Circular Road, Dover Lane

South-east: EM Bypass - Science City, Christopher Road, Pancha Sayar

South-west: Alipore Park Road, Ashoka Road, Burdwan Road, Belvedere Road

Central: Park Street, Camac Street, Shakespeare Sarani, Minto Park, Elgin Road, Lee Road, Loudon Street, Rowdon Street

North: Kankurgachi, Lake Town, VIP Road, Ultadanga, Narkeldanga Main Road

East: Salt Lake

North-east: New Town, Rajarhat

Mid Segment

South: Golf Green, Tollygunge, Lake Gardens, Jodhpur Park

South-central: Deshpriya Park, Hazra Road, Bhawanipur

South-east: Ajoy Nagar, Hiland Park, PA Shah Connector

North-east: Rajarhat, Rajarhat Chowmatha

South-west: Tollyguange Circular Road, New Alipore, Behala, Jones Lang Sarani

North: Jessore Road, Ultadanga, Shyambazar, Bagbazar, Girish Park, Manicktala, Dum Dum

North-peripheral: BT Road, Barasat, Madhyamgram, Sodepur

South-peripheral: Garia, Narendrapur, Sonarpur,

South-west peripheral**: Joka, Maheshtala, Budge Budge, Thakurpukur

Residential Snapshot Q4 2016MUMBAI, INDIA

MARKETBEAT


Economy

Recorded at 7.3% for the July-September quarter, India’s GDP was



(RBI) for policy purposes, was seen at 4.2% - slumping to a 14-month

low – on the back of lower food inflation. The stable inflation rate had

raised hopes of a rate cut in the benchmark interbank lending rate by

the RBI in December, but this did not materialize given a slowdown in

overall economic activity post the implementation of a currency

demonetization exercise by the Indian government. However, the

demonetization has resulted in excess liquidity with banks, prompting

several banks to reduce their term-deposit rates. The banks may pass

on the reduced cost of funds in the form of cheaper home loan rates

to customers over the next few months. Further, demonetization has

increased expectations of a price cut in the secondary and investor-

driven markets. Following the rationalization, a pick-up in residential

sales is anticipated in the second half of 2017.

Market Overview

Unit launches continued to decline. Unit launches dropped by 16%

from the previous quarter and stood at 5,700. Developers adopted a

cautious approach on the back of the recent demonetisation and

postponed majority of their launches. Thane continued to garner

majority of unit launches (40%), followed by the Eastern Suburbs

(28%) and Western Suburbs (23%). 1 and 2 Bedroom-Hall-Kitchen

(BHKs) units together constituted majority (74%) of the launches.

Nearly 80% of the unit launches were witnessed in the mid segment,

followed by the high-end segment (20%). It is pertinent to note that

the affordable segment did not see any launches during the quarter.

Thane continued its momentum and recorded the maximum unit

launches (49%) within the mid segment, followed by Eastern Suburbs

and Western Suburbs submarkets. A large project launch in Kalyan-

Dombivli belt buoyed the growth of launches in Thane. It is interesting

to note that the launches in the high-end segment were equally

spread in the Eastern Suburbs and South Central submarkets.

Rental and capital values remained range-bound. Rental and

capital values continued to remain range-bound across all submarkets

during the quarter as buyers and sellers are in a wait-and-watch mode

to realize the complete impact of demonetisation.

Outlook

Launches to remain subdued. The number of new launches is

expected to decline as developers are assessing the impact of

demonetisation in a market which is also gearing up to enforce RERA.

<CITY> OFFICERENTAL VALUES AS OF Q4 2016

High-End Segment


Rent (INR/Mth)

% Change From Short

Term

Outlook3 Mth

Ago

1 Yr

Ago

South 60,000-700,000 0% 0%

South Central 50,000-550,000 0% 0%

Eastern Suburbs 25,000-400,000 0% 0%

Western Suburbs

– Prime50,000-800,000 0% 0%

Western Suburbs 25,000-220,000 0% 0%

Mid Segment

Eastern Suburbs 18,000-70,000 0% 0%

Western Suburbs 20,000-80,000 0% 0%

Thane 14,000-28,000 0% 0%

Navi Mumbai 10,000-50,000 0% 0%


High-End Segment


Rate (INR/sf)

% Change From Short

Term

Outlook3 Mth

Ago

1 Yr

Ago

South 40,000-83,000 0% 0%

South Central 23,000-80,000 0% 0%


Western Suburbs

– Prime18,000-50,000 0% 0%

Western Suburbs 12,000-35,000 0% -6%

Mid Segment


Western Suburbs 9,000-26,000 0% 0%

Thane 7,000-14,000 0% 0%

Navi Mumbai 5,000-15,000 0% 0%


Residential Snapshot Q4 2016MUMBAI, INDIA

MARKETBEAT









Copyright © 2017 Cushman & Wakefield. All rights reserved. The information contained within this report is gathered from multiple sources considered


STATS ON THE GO



Codename Golden Tomorrow Dombivli Lodha Group 1,500 9,300

Salsette 27 Byculla Peninsula Land Ltd. 494 26,750



The Trees Vikhroli Godrej Properties 370 Q4 2019

Lodha World One Lower Parel Lodha Group 330 Q4 2018



Sanghavi Eco City – Phase I Mira Road Sanghvi Builders 230 710-1,255

NOTES





KEY TO SUBMARKETS

High-end Segment

South: Colaba, Cuffe Parade, Nariman Point, Churchgate, Altamount Road, Carmichael Road, Malabar Hill, Napeansea Road, Breach Candy, Pedder Road, Tardeo

South Central: Worli, Prabhadevi, Lower Parel / Parel, Dadar, Matunga

Eastern Suburbs: Wadala, Sion, Kurla, Chembur, Ghatkopar, Vikhroli, Powai, Chandivali

Western Suburbs - Prime: Bandra, Khar, Santacruz, Juhu

Western Suburbs: Andheri, Vile Parle, Jogeshwari, Goregaon, JVLR, Malad

Mid Segment

Eastern Suburbs: Sion, Wadala, Kurla, Chembur, Ghatkopar, Vikhroli, Powai, Chandivali, Kanjurmarg, Bhandup, Mulund

Western Suburbs: Andheri, Jogeshwari, Goregaon, JVLR, Malad, Kandivali, Borivali, Dahisar

Thane: Thane, Ghodbunder Road

Navi Mumbai: Airoli, Ghansoli, Rabale, Koparkhairane, Vashi, Turbhe, Sanpada, Nerul, Belapur, Kharghar, Panvel



Tel: +91 80 40465555

[email protected]

Residential Snapshot Q4 2016Pune

MARKETBEAT


Economy

Recorded at 7.3% for the July-September quarter, India’s GDP was














price cut in the secondary and investor-driven markets. Following the

rationalization, a pick-up in residential sales is anticipated in the


Market Overview

Decline in launch activity. Pune witnessed launch of nearly 4,300

units during the fourth quarter of 2016, a 7% decline from the

previous quarter. Comparatively, smaller sized projects were

launched as the average number of units per project reduced from

244 in the previous quarter to 180 in the current quarter.

Developers focused on affordable segment, primarily in PCMC.

Majority (69%) of the quarterly unit launches were in the affordable

segment, nearly 96% of which were concentrated in the submarkets

of NH4 Bypass (North) and Pimpri, both of them falling under the

jurisdiction of Pimpri-Chinchwad Municipal Corporation (PCMC). It is

pertinent to note that locations such as Talegaon, Chikhali and

Gahunje within PCMC are emerging as affordable housing

destinations, with nearly 57% of the affordable units launched during

2016 being concentrated in these areas.

Quoted capital and rental values remained stable. Quoted capital

and rental values across all submarkets maintained status-quo

during the quarter.

Outlook

Launch activity to remain subdued. New launches are expected to

be restricted in the upcoming quarter as developers are likely to

focus on completing existing under-construction projects and clearing

the high unsold inventory levels. While off-take of units are likely to

be further hit on account of demonetisation, rental and capital values

are expected to remain largely range-bound in the near term.

<CITY> OFFICE


High-End Segment



Outlook3 Mth

Ago

1 Yr Ago

Koregaon Park –

Boat Club100,000-220,000 0% 0%

Aundh-Baner 75,000-130,000 0% 0%

Nagar Road 70,000-140,000 0% 0%

East 55,000-140,000 0% 0%

Mid Segment

Koregaon Park - Boat

Club 30,000-45,000 0% 0%

Aundh-Baner 17,000-32,000 0% 4%

Kothrud 14,000-21,000 0% 0%

Nagar Road 15,000-35,000 0% 0%

North-East 12,000-20,000 0% 0%

East 11,500-20,000 0% 0%

South-East – I 13,000-22,000 0% 0%

South-East II 8,500-13,000 0% 0%

NH4 Bypass (North) 11,000-18,500 0% 2%

Pimpri 10,500-17,000 0% 4%

<CITY> OFFICECAPITAL VALUES AS OF Q4 2016

High-End Segment


Rate (INR/sf)% Change From Short Term

Outlook3 Mth

Ago

1 Yr Ago

Koregaon Park -

Boat Club14,000-19,000 0% 0%

Aundh-Baner 8,500-13,000 0% 0%

Nagar Road 9,500-14,500 0% 0%

East 8,500-13,000 0% 0%

West 13,000-17,500 0% 0%

Mid Segment

Koregaon Park -

Boat Club 8,500-10,500 0% 0%

Aundh-Baner 6,500-8,200 0% 0%

Kothrud 8,500-11,250 0% 0%

Nagar Road 6,000-7,800 0% 0%

North-East 3,600-6,200 0% 2%

East 4,300-5,800 0% 0%

South-East – I 5,300-7,200 0% 0%

South-East – II 3,750-5,500 0% 0%

NH4 Bypass (North) 4,200-6,100 0% 2%

Pimpri 4,000-6,000 0% 0%


Residential Snapshot Q4 2016Pune

MARKETBEAT













Tel: +91 80 40465555

[email protected]

STATS ON THE GO



Skyi Star Towers Bhugaon Skyi Developers 464 4,414

Hill Shire Wagholi Guardian Developers 128 4,300



Panchshil Towers Kharadi Panchshil Realty 1,044 Q1 2017

24K Glitterati Pimple Nilakh Kolte-Patil Developers 224 Q1 2017



Sukhwani Gracia Pashan Sukhwani Constructions 116 883-1,022

Gera Isle Royale Bavdhan Gera Developments 60 2,355-4,255

NOTES



etc.

The above values for high-end segment are for units typically of 1,600 sf and above


KEY TO SUBMARKETS

High-end Segment

Koregaon Park-Boat Club: Koregaon Park, Bund Garden Road, Boat Club Road, Mangaldas Road

Aundh-Baner: Aundh, Baner

Nagar Road: Kalyani Nagar, Viman Nagar

East: Sopan Baug, Uday Baug, Hadapsar

West: Deccan Gymkhana, Model Colony, Prabhat Road, Erandwane, Bhosale Nagar

Mid Segment

Koregaon Park-Boat Club: Koregaon Park, Bund Garden Road, Boat Club Road, Mangaldas Road

Aundh-Baner: Baner, Baner Road

Kothrud: Kothrud

Nagar Road: Kalyani Nagar, Yerwada, Shashtri Nagar, Viman Nagar, Old Airport Road, Vishrantwadi

North-East: Kharadi, Wagholi, Wadgaon Sheri

East: Hadapsar, Manjri, Mundhwa, Keshavnagar

South-East - I: Wanowrie, NIBM Road, Lulla Nagar

South-East - II: Undri, Kondhwa, Pisoli

NH4 Bypass (North): Balewadi, Mahalunge, Wakad, Hinjewadi, Punawale, Kiwale, Ravet, Tathawade, Bhugaon, Bavdhan, Pashan, Sus

marketbeat residential snapshot q4 2016 snapshot q4 2016 bengaluru, india marketbeat capital values...

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