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PROPERTY INSIGHTS

India Quarter 4, 2013

Sluggish Market, Slightly Positive Outlook
INDIA MARKET OVERVIEW
The Indian economy registered a growth of 4.8% during July-September 2013, recording a slight improvement over the previous quarter’s growth rate of 4.4%. The improvement in quarterly growth can be primarily attributed to improved performance of the ‘agriculture, forestry and fishing’ sector, which registered a growth of 4.6%. This was due to the good crop production witnessed during the Kharif season. Other economic activities that registered significant growth during the quarter included ‘electricity, gas and water supply’ at 7.7%, ‘construction’ at 4.3%, ‘financing, insurance, real estate and business services’ at 10% and ‘community, social and personal services at 4.2%. The manufacturing sector showed minor signs of recovery, while other sectors such as ‘mining and quarrying’ and ‘trade, hotels, transport and communication’ registered a slowdown in performance compared to the same period last year. Growth in exports over the past few months also aided improvement in GDP growth during the quarter. The GDP growth rate for H1 2013-14 stood at 4.6%, compared to 5.3% during the same period last year. The Reserve Bank of India (RBI) lowered its growth forecast from 5.7% to 4.8% for 2013-14 in October 2013, citing downside risks from domestic factors like weakening consumption and investment demand. This followed the earlier downside revisions
Source: Central Statistical Organisation, Govt. of India
Growth Rate (%)

GROSS DOMESTIC PRODUCT GROWTH RATE

by Prime Minister’s Economic Advisory Council (PMEAC), Asian Development Bank (ADB) and International Monetary Fund (IMF). The Current Account Deficit (CAD) narrowed marginally during the quarter, due to decline in oil and non-oil imports and improvement in exports. However, wholesale and retail inflation soared to 7.52% and 11.74%, respectively by November and added to the woes of the RBI. Considering the macro-economic scenario, although the RBI raised the repo rate initially by 25 basis points to 7.75% in October 2013, the Central Bank maintained it at the same level during December 2013. Further, the RBI cited the need to adopt a waitand-watch approach to gain more clarity on performance of various factors, considering the time lag with which monetary policies affect growth. However, the RBI stated that it will remain vigilant of

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the performance of external markets, and will act even on off-policy dates, if required. The last quarter of the year witnessed certain signs of improvement in the economy, as growth picked-up and some sectors performed better. The office space across top eight cities recorded total net absorption of 6.7 million square feet (msf), registering a 23% quarter-on-quarter (q-o-q) increase. The total leasing activity for the same period was higher at nearly 9.6 msf as over 30% of the transactions comprised of relocations and/or consolidations by occupiers. NCR and Bengaluru topped the charts, recording 1.8 and 1.5 msf of total net absorption respectively during 4Q 2013. Mumbai ranked third, recording a net absorption of 1.1 msf. The overall q-o-q supply increase was nearly 54% at 10.2 msf with NCR,

Hyderabad and Bengaluru contributing 4.0, 2.2 and 1.2 msf of the supply, respectively. Residential markets continued to reel under the effect of cautious sentiment prevailing amongst the stakeholders; launch activity declined by 11% on a q-oq basis and capital and rental values remained stable in all cities. The only exceptions included Bengaluru, which registered 10-25% q-o-q rental appreciation in certain parts of the city. High-end capital values witnessed appreciation upto 12-13% in select areas of Bengaluru and Chennai. Mid-end capital values in Bengaluru and Hyderabad also recorded a positive trend during the quarter. Thus, the residential markets and its stakeholders mostly exhibited a wait-andwatch approach during the quarter with a hope of revival in activity during the coming year.

Trends & Updates
Economic Trends
The general Consumer Price Index (CPI) rose to 11.74% in November 2013, driven by substantial categories. Wholesale Price Index (WPI) also rose significantly to 7.52% in November 2013, rising from 5.16% in June 2013. The WPI and CPI for 2Q 2013-14 were recorded at 7.0% and 10.1%, respectively. As retail inflation surpassed double digits and WPI inflation continued its upswing, the RBI in its monetary policy review in December stated that food prices are likely to ease due to the better supply hitting
INDEX Source: RBI INR/USD

EXCHANGE RATE MOVEMENT (INR/USD)

increases in food prices, non-food and non-fuel

BSE REALTY INDEX
4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 0

the markets post the monsoons. Consequently, it maintained a neutral stance on policy matters, citing the requirement to witness the impact of monetary tightening and an anticipated drop in food prices. The Indian economy registered a GDP growth of 4.8% in July-September 2013 as compared to 5.2% growth recorded during the same period last year. However, the economy showed minor signs of June 2013 quarter, driven mainly by the improvement in agricultural sector due to good Kharif crop season and recovering exports. The decline in oil and non-oil imports, along with an increase in exports brought
*

Source: BSE

FDI INFLOW IN HOUSING AND REAL ESTATE SECTOR

Top eight cities include NCR, Mumbai, Chennai, Kolkata, Bengaluru, Hyderabad, Pune and Ahmedabad Source: Dept. of Industrial Policy & Promotion, Govt. of India

INR Crore

recovery from 4.4% growth registered in the April-

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some respite to the Current Account Deficit (CAD), which moderated to 1.2% of GDP after soaring to 4.9% during April-June 2013. The Rupee stabilized at INR 6163 against the US Dollar over the past three to four months. The RBI stated that over this period, the inflows in swap windows had contributed significantly to rebuilding foreign exchange reserves, which would help the Indian currency stabilize in the foreign exchange market and build resilience against external factors such as the looming US Federal Reserve tapering. However, a very high inflation could also add to the risk of exchange rate volatility. RBI’s stance of maintaining the repo rate, improvement in GDP, along with stabilization of the Indian Rupee, led to a recovery in the Bombay Stock Exchange’s (BSE) Realty Index to 1,475.45 points on 27

December 2013, almost four months after it bottomed to a 52-week low of 1,126.84 points on 28 August, 2013. It increased by nearly 22.5% during the quarter, to close at 1,433.41 points by December end. India witnessed total FDI inflows of INR 373,860 million in 2Q 2013-14 (July-September). The FDI inflows increased by 24.5% from the previous quarter with highest contribution of nearly 9% from the Construction Development sector. In 2Q 2013-14, the Construction Development sector recorded FDI inflows of INR 32,100 million, the highest inflow in the last sixteen quarters. The increase in FDI inflows to the sector during the quarter indicates an improvement in the market sentiment and gradual pick-up in the market activity.

Residential Trends
Residential capital values remained stable across segments in Ahmedabad, Kolkata, Mumbai and Pune during the quarter. However, some sub-markets in the two southern cities of Bengaluru and Chennai registered capital appreciation in high-end segment during the quarter. Bengaluru registered 3-12% q-oq capital appreciation, while Chennai registered an increase of 4-13%. Adyar in Chennai registered a 13% rise in high-end capital values during the
Source: Cushman & Wakefield Research

RESIDENTIAL CAPITAL VALUES GROWTH INDEX

quarter, due to inherent demand for such properties in the micro-market and infusion of new supply at higher price points. The off-central locations in Bengaluru comprising of areas like Benson Town, Frazer Town, Richard Towns and Dollar Colony registered highest q-o-q capital appreciation of 12% in the high-end segment. Noida in NCR registered a minor correction of 1% in the high-end capital values. In mid-end segment capital values, Bengaluru witnessed an uptrend of 3-13% across submarkets during the quarter. Madhapur, Gachibowli and Kukatpally areas of Hyderabad also witnessed a 3% q-o-q appreciation in the mid-end segment, due to relatively better demand for these locations considering their proximity to IT and financial hubs of the city. Rental values remained almost stable in all cities except Bengaluru. Select submarkets of Bengaluru recorded 10-25% capital Approximately 38,900 units were launched in 4Q 2013 across the top eight cities of India. The total unit launches declined by 11% q-o-q and 12% y-o-y. appreciation in mid and high-end rentals due to limited availabilities in these areas, coupled with their connectivity to prominent workplaces.
Source: Cushman & Wakefield Research

NEW RESIDENTIAL UNIT LAUNCHES ACROSS LOCATIONS IN 4Q 2013

Ahmedabad recorded a q-o-q increase of 18% in number of units launched, mainly due to the launch of second phase of a large township in a peripheral location. Bengaluru and Kolkata also recorded 5% and 6% increases respectively in number of units launched during the quarter. Bengaluru witnessed over 13,800 unit launches during the quarter, contributing to nearly 36% of the total launch activity across top eight cities. It was followed by NCR and Mumbai contributing to 20% and 14% of the launches respectively. Pune saw a stable trend in number of launches during the quarter and contributed to 10% of the launches in top eight cities. Hyderabad witnessed less than 750 units

being launched in 4Q 2013, with a q-o-q decline of 61% in the launch activity. It was followed by Chennai registering a 38% decline in q-o-q launches. The residential markets are likely to witness stability in rental and capital values during the next few months with a gradual pick-up in the launch activity, despite subdued demand and cautious sentiment amongst buyers. Whilst capital values and rentals are largely expected to remain stable, prime micromarkets may see marginal uptrend whilst emerging and peripheral locations with substantial supply in the pipelines may see some corrections.

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................................................................ Bengaluru...............................................................................Index Ahmedabad... 41 5 ................................................................................................ 37 Pune......... 33 National Capital Region........................... 28 Mumbai........................................................................................................... 21 Jaipur....................................................................................................................................................................................................................................................................................................................................................................... 17 Hyderabad....... 6 9 Chandigarh......................................................... 14 Chennai..... 25 Kolkata.............................................

Source: Cushman & Wakefield Research Represents Mid and High End segments READY RESIDENTIAL PROPERTY VALUES IN DECEMBER '13 Ahmedabad’s office markets witnessed an overall net absorption of 219. The increase was primarily due to the launch of an additional phase (consisting of 2. launches during the quarter continued to be concentrated along S. the rentals remained stable across all mall locations in the city. Motera and Ranip over other established destinations in the city due to their lower ticket sizes ranging from INR 20 lakhs to 40 lakhs.2 percentage points over the quarter and was recorded at 28. Naroda.500 units launched. 6 . which is more than double the previous quarter. End-users preferred emerging locations on the S.G. As a result. The city’s overall vacancy for retail spaces in malls declined 0. catering mainly to the mid-end segment.G. a 37% decline compared to 2012.Ahmedabad Market Overview During 4Q 2013. Trends & Updates Ready Residential Property Update Demand for ready residential property remained stable in the city. Prices for ready residential properties also continued to remain stable across all micro-markets in the mid and high-end segments. an increase of 18% from the previous quarter.000 sf. Highway. Highway. Given that transaction activity continued to remain low due to limited availability of quality mall spaces. Ahmedabad witnessed approximately 2. primarily due to subdued demand and limited expansions by various companies. Highway (97%).G. driven primarily by demand from the Pharmaceuticals. BFSI and the ITITeS sectors. Net absorption was concentrated in the submarkets of Prahladnagar (70%) and SarkhejGandhinagar Highway (30%). Mall vacancies have steadily declined from 33% in the beginning of 2013 to the current levels.400 square feet (sf) during 4Q 2013. Bopal. Net absorption for 2013 was recorded at approximately 566.5%.300 units) of a large township project along S.

0 3.2 2012 2.0 2012 4.2 .0 3.6 2011 2.9 3.6.4.8 .5.6.2 1Q 2013 2.200-1.Highway Prahlad Nagar 2010 4. Highway 80 Apartment Krupal Heritage Prahladnagar 72 Apartment Ratan Paradise S.5 4.G.7 .7 .3 2. whilst 35% were 3 BHK and the balance were 4 BHK.6 .2 .3 4.3 3.3 3.3 . capital values remained stable during the fourth quarter of 2013.5. After a correction of 4-8% during the previous quarter.6 .6.340 Location S.4.3 3.3 3Q 2013 2.0 .2 4Q 2013 4.3 .3 2Q 2013 2.449 2 BHK: 1.2 .2 .368 3 BHK: 1.3.3 Source: Cushman and Wakefield Research Note: The above values for mid-end segment typically include units of 1.8 .6.2 .5.4.5 3. 7 .3 .4.G.7 .4.8 2.3.8 3.3 2011 4. Most of the new launches were in the vicinity of Vaishnodevi Circle on S.400 3 BHK: 1.9 3.2 .3.6.3 .6. Highway.G.2 .7 .4.4.3 3.4.8 .152 3 BHK: 1.6 .Highway Prahlad Nagar 2010 2.3.0 3.2 .0 3.7 .3 .0 .7 .4.000-4.6 .3 3.2 2Q 2013 4.2 3Q 2013 4.4.4.4.4.G.8 3.0 3.0 1Q 2013 4.3 .819 4 BHK: 3.3 2.2 .2 .3.8 2.0 3.7 . Highway Number of Units* 2.5.5.7 .4.8 3.0 3.4.3 2. South Bopal and Vaishnodevi witnessed healthy construction activity in the affordable and mid-end segments.8 .3 .4.5 4.5 4.300 Swarnim Square Gopinath Developers Narayankrupa Infra Ratan Infracon S.2 .0 3.3 2.0 3.3 .2 .3.4.4.G.3.5 4.449 2 BHK: 1.4.2 .4.3 2.0 3.7 .0 3.4.7 .2 Source: Cushman and Wakefield Research Note: The above values for high-end segment typically include units of 2.4.6.4.3 . locations in western Ahmedabad like Bopal.5.Average Capital Values – High End (INR '000/sf) Location Satellite Vastrapur S.4.6.8 .0 3.8 .3 2.5 4.4.6.6 .8 .6.9 3.632 to 1.6 .3.3 3.000 sf Average Capital Values – Mid-Segment (INR ‘000/sf) Location Satellite Vastrapur S. A slowdown in transaction activity continued and developers were seen offering discounts to prospective buyers in order to boost sales.4.9 3.6 .0 .7 . Approximately 63% of the units Project Name Adani Elysium Towers Developer Adani Developers launched were in the 2 BHK configurations.7 .3 . Highway 60 Apartment * Estimated and as per market information Under Construction Residential Property Update During 4Q 2013.8 .6.0 3.7 .3.4.3.7 .800 sf New Residential Launches Ahmedabad witnessed a significant increase in the number of new launches during the fourth quarter with the launch of another phase of Adani Elysium Towers. Type Apartment Area of Units (sf) 2 BHK: 1.0 .5.3 4Q 2013 2.140 to 1.5 4.G.6.

rentals continued to remain stable during 4Q 2013. Outlook The quantum of residential unit launches is expected to remain low until the new Development Control Rules come into effect. the current low vacancy levels in malls at Vastrapur and the upcoming lease renewals are likely to result in increased enquiries from established retailers vying for space in Vastrapur malls. overall vacancies increased 3. Preference for mainstreet locations like Prahladnagar and S. Road. which will lead to overall increase in residential supply during the next year. Prahladnagar and Satellite Road has resulted in low transaction activity at these locations. the city witnessed a commercial office supply of 915. a marginal decline of 6% compared to 2012.7% at the end of the quarter.9 msf. Law Garden. Retail Sector Limited options of quality retail spaces in main street locations like C. which could result in additional pressure on rental values across the city. The existing high vacancy levels in malls will keep rentals under pressure. Overall supply in 2013 continued to remain high despite limited demand and was registered at 1. Highway. especially at locations like S.G. With net absorption remaining low. Road. Moderate demand and high level of unsold inventory is likely to keep a downward pressure on capital values. no new mall is currently underconstruction in the city. Enquiries from Food & Beverages (F&B) and apparel segments remained high in the city. Prahladnagar and Law Garden coupled with low availabilities could result in striking new transactions at high rentals. 8 .G.G. Healthy enquiries by retailers for main-street locations like C. rentals continued to remain stable during the fourth quarter across all submarkets in the city.5 percentage points to 17. remained high among retailers. However. Considering the low preference for malls amongst shoppers.000 sf of Grade A space is expected to become operational at Prahladnagar and Motera during the first quarter of 2014. primarily from the F&B segment. which are in proximity to commercial office locations. but the actual transactions remained limited.G. Overall city-level vacancy is likely to increase with low precommitment levels in these developments. As a result. The new regulations will provide higher FSI and incentives to affordable housing projects. After a correction in the previous quarter.Commercial Office Sector After no supply during the last two quarters. Approximately 700. Highway.000 sf in the fourth quarter of 2013.

Amidst this. In addition to this. there was a q-o-q rise of 12% in rentals for malls in Malleswaram. North-West and mid-end segment capital values like Central. However. Further. rental values for almost all malls remained stable during this quarter. 9 . Off-Central** and Far South. North in high-end and SouthEast. Proximity to IT hubs and developed social infrastructure led to stronger preference for locations in these submarkets. Nevertheless.8 msf for the year 2013. Bengaluru’s residential market witnessed new launches of around 13. demand from IT-ITeS employees led to the rise in Far South submarket. Trends And Updates Ready Residential Property Update Most residential submarkets registered a stable rental trend during this quarter.5% approximately. primarily due to low availability at this location. select submarkets such as South in high-end segment. Owing to deferment of a mall.8 percentage points. Although. The quarter also recorded notable q-o-q capital value increase in the range of 6-13% in high-end locations of Off-Central. Apparels and Food & Beverages (F&B) retailers accounted for majority of demand in the malls.Bengaluru Market Overview Continuing with the momentum of previous quarters. owing to inherent demand in these locations. The absence of new mall supply led to drop in mall vacancies during this quarter. high-end segment capital values in select residential submarkets like Off-Central. North-West and mid-end locations of Central. a q-oq increase of 5%. Meanwhile. Bengaluru’s office space market witnessed a supply of nearly 1. Similar to previous quarters. While connectivity and proximity to IT Source: Cushman & Wakefield Research Represents Mid and High End segments READY RESIDENTIAL PROPERTY VALUES IN DECEMBER '13 hubs was the key reason for healthy residential activity in these locations. submarkets like East. Unlike the previous quarter. this quarter saw no new spaces in SEZs being added to the stock and all the supply belonged to commercial space category only. North-West. most launches (57%) belonged to the mid-end category with the Southern submarket witnessing maximum new launches (58%). a q-o-q drop of 1. other submarkets like South. which was anticipated to become operational in 4Q 2013. existing robust support infrastructure was also instrumental in aiding the demand. adding up to a total supply of 5. South-East and North witnessed completion of several projects in 4Q 2013. limited availability fuelled the rise in rentals for South and Off-Central** locations. 4Q 2013 recorded a q-o-q drop of 19% in new supply. The city level mall vacancy was recorded at 8. Bengaluru’s retail real estate market did not see any supply during 4Q 2013. West in mid-end saw an uptrend of 3-5%. South-West. Central and Off-Central** submarkets. While limited supply governed the uptrend in OffCentral. Off Central* and Far South recorded a notable q-o-q rise in the range of 6-13%.2 million square feet (msf) in the last quarter of the year.800 units in 4Q 2013. The eastern submarket accounted for 30% of the total new launches during this quarter. South-East in mid-end segment and Off-Central** in mid-end segment saw a q-o-q rental appreciation between 10-25%.

5. JP Nagar Off-Central: Frazer Town.0 6.0 5. Ulsoor Road.5 .0 6.5 .0 .11.5 . etc North-West: Malleshwaram.0 6.0 6.6.8 4.0 3.0 .7.5 7.0 5. Richards Town.5.5 . Richmond Town.8.8 .0 .0 4.8.7 .7.5 3.7.5 3Q 2013 8.5 3Q 2013 18.75 .0 2.5 .0 4.2 3.0 .0 6.0 .10.8.8 . Key to locations: High-end Segment Central: Lavelle Road.18.5 6.5 .5 .3.0 . HSR Layout South: Kormangala.10.0 4.10.0 .9.0 . Frazer Town.28.0 4. Whitefield.8.6.5 2Q 2013 7.0 6.3.9.10.9.10.9.5 6.8 .5 .10.6. Off Cunnigham Road.5 3.4.0 .6.9 .0 4.4 .0 .3.5 .0 6.0 3.10. Bannerghatta Road. Jalahalli Off-Central*: Vasanth Nagar.5 4.7 3.6. Average Capital Values – Mid-Segment (INR’000/sf) Location Central East South-East North South South-West Off-Central* Off-Central** North-West 2008 5. Kanakpura Road.8 5.5 .0 .2 2012 6.6.0 .6.0 .0 6.5 2Q 2013 18.0 .5.12.0 2. Old Airport Road South-East: Sarjapur Road.5 .0 .5 1Q 2013 6.0 6.0 4.8.10.2 .5 4Q 2013 9.5 .0 5.5 .0 3.5 5.5 .000 sf.2 3.4.5 3.0 .8 .30.4.5 3.0 4.0 .8 .0 .5 .6 .0 2. Cunningham Road Off-Central**: Cox Town.5 .0 .0 7.0 6.5.7.10.5 .0 7.10.0 .2 .0 .9.0 6.5.8 .7.5 6.0 .0 6.0 4.8 .0 5. Yelahanka.6.0 .2 2.2 2010 5.0 7.17.9.8.2 3.9.5.5.000 sf.8 .0 .5.5 .5 East North 6.8 .6.2 1Q 2013 18.0 6.9.5.5.0 .9.10.5 2.0 . Jakkur. Benson Town.0 .0 3.6. Richmond Road South: Koramangala.5 4.4 .5 4.0 4.0 .7.6.8.4.0 5.9. Ali Askar Road.6.9.5 .600-2.5.5 6.0 2010 13.6.0 .0 7. Artillery Road.0 .0 5.8 3.5 .7.7 4.10.5.0 2009 12.5 .7 .0 .5.5 5.Average Capital Values – High-end (INR’000/sf) Location Central South 2008 14.5 .14.0 2011 14. Outer Ring Road.0 .5.0 .0 4. Indiranagar Mid-end Segment Central: Brunton Road.5.9 3.0 2.0 .5 5.0 .0 7.4.7.0 .0 .11.0 7. BTM Layout North: Hebbal.0 .0 4.10.0 3.5 .4 4.0 .5 Source: Cushman and Wakefield Research Note: The above values for mid-end segment typically include units of 1. Bannerghatta Road.6.0 .0 .0 .6.5 3.6.9.6 .0 .4.7.0 4.0 6.0 .5 .1 2.5.7 3.5 5.3.5 .9. Yelahanka.9.8.5 .0 6.0 6.5.1 2.9. Benson Town.5 .9 3.0 6.5 .0 6.5.7 .5 .30.7.6 2011 6.5.8.5 6. Rajajinagar 10 .0 .8 2009 5.0 .10.8 .0 6.7 . Bellary Road.5 .0 .4.3 .0 4.000-4. Outer Ring Road.8.5.5 .18.30.5 5.4.6 . Dodballapur Road.5 3.5 .8 . Dollars Colony East: Whitefield (villas) North: Hebbal. Off Palace Road.2.5 6.5.0 6.5 .2 .3.7 2.0 .0 .6.0 .0 .10. HRBR.5 Off-Central 6.0 .0 2012 18.0 6. Jakkasandra South-West: Jayanagar.0 6.7 2.4.6.0 6.7 4.8.0 4.0 . Devanahalli East: Marathalli.5 4Q 2013 18.0 .0 4.5 6.0 .30. J P Nagar.0 .0 6.5 .3 .5 .5 .7.8 5.3 .5 .5 .6.5.8.6.0 .7.8 4.9.4.5 .5 6.5.0 Source: Cushman and Wakefield Research Note: The above values for high-end segment typically include units of 2.0 .5 .8 5.25 8.

720 to 2.650 to 1.725 to 1. in Southern Bengaluru continued to witness maximum number of launches (58%) followed by locations in the East (mainly Whitefield).472 4 BHK: 1.170 3 BHK: 1.050 to 1.250 3 BHK: 1. Around 57% of the launches belonged to the mid-end category.0 Patel Realty Electronic City 1.410 1 BHK: 750 2 BHK: 1.284 2 BHK: 1.260 4 BHK: 3.937 to 2.145 to 1.015 2 BHK: 1.591 3 BHK: 1.265 1 BHK: 641 to 663 2 BHK: 995 3 BHK: 1.375 4 BHK: 2.005 to 1.604 2 BHK: 1.235 2 BHK: 956 to 1.346 3 BHK: 1.960 2 BHK: 1.200 3 BHK: 1. Sarjapur Road.800 to 3.390 2 BHK: 1.335 to 1.525 4 BHK: 2.150 1 BHK: 720 2 BHK: 915 3 BHK: 1. Electronic City.857 1 BHK: 650 2 BHK: 1.785 4 BHK: 3.885 to 2.250 Apartment Smondo 4.200 2 BHK: 1.510 2 BHK: 1. followed by affordable segment contributing around 22% to the new launches in 4Q 2013.075 to 1.012 Apartment Brigade Cosmopolis Brigade Group Whitefield 880 Apartment Shriram Chirping Woods Monarch Aqua Shriram Group Harlur Road 820 Apartment Monarch Properties KR Puram 593 Apartment Sumadhura Silver Ripples Prabhavati Daffodils Sumadhura Silver Ripples Prabhavati Developers Goyal and Co.125 4 BHK: 4.240 to 1.850 3 BHK: 2.New Residential Launches The residential real estate market of Bengaluru recorded new launches of over 13. etc.250 to 1.680 4 BHK: 2.340 3 BHK: 1.360 2 BHK: 1.358 3 BHK: 1. remained in tandem with the previous quarters of this year.225 3 BHK: 1.586 to 1.585 to 2.524 Road.100 4 BHK: 3. Connectivity to major workplaces and presence of developed support infrastructure continued to drive residential real estate activity in these submarkets.615 3 BHK: 2.285 to 1. Location Whitefield Number of Units* 1.319 SJR Blue Waters SJR Developers Hosa Road 1. Nitesh Estates Golden Gate Properties Whitefield Off Sarjapur Road 475 445 Apartment Apartment Orchid Woods Nitesh British Columbia Golden Panorama Hennur Road Kanakpura Road Kanakpura Road 392 388 363 Apartment Apartment Apartment Prestige Ivy Terraces Prestige Developers Adarsh Premia Purva Skydale Century Ethos Ajmera Stonepark Sterling Ascentia Prestige Jade Pavillion Adarsh Developers Purvankara Century Group Ajmera Developers Sterling Developers Prestige Developers 330 Outer Ring Road (Sarjapur-Marathahalli) Banshankari Harlur Road Hebbal Electronic City Outer Ring Road (Sarjapur-Marathahalli) Outer Ring Road (Sarjapur-Marathahalli) 330 314 308 280 280 272 Apartment Apartment Apartment Apartment Apartment Apartment Apartment 11 .195 3 BHK: 1. Harlur Project Name Skylark Ithaca (Phase-I) Developer Skylark Developers Type Apartment Area of Units (in sf) 1 BHK: 592 2 BHK: 999 3 BHK: 1. The quantum of launches in 4Q 2013.210 to 1.105 3 BHK: 1.044 3 BHK: 1.400 3 BHK: 1.800 units during the last quarter of 2013.440 to 1.550 2 BHK: 1.031 3 BHK: 1. which accounted for 30%.600 1 BHK: 850 2 BHK: 1.

455 3 BHK: 2.143 to 2.832 to 2.382 to 1.216 to 1.065 3 BHK: 1.131 3 BHK: 1.175 3 BHK: 1.165 to 1.792 2 BHK: 1.465 2 BHK: 1.522 to 1.050 to 1.161 2 BHK: 1.500 3 BHK: 1.546 4 BHK: 3.616 2 BHK: 1.498 to 1.466 3 BHK: 2.765 to 2.330 to 1.308 to 1.065 to 1.477 to 2.349 3 BHK: 1.478 4 BHK: 1.178 to 1.830 Wind Fields Prajanpe Schemes Off Old Airport Road 154 Apartment Samruddhi North Square Concorde Wind Rush Shriram Chirping Woods Radiant Elitaire Salarpuria Aspire Another Sky Pushpam Woods JR Nexus Eternity Ecstasy Samruddhi Group Yelahanka 148 Apartment Concorde Group Shriram Group Radiant Developers Salarpuria Developers Living Walls Pushpam Group JR Developers Eternity Structures Electronic City Harlur Road JP Nagar Hennur Road HRBR Layout Sarjapur Road Chandapura Anekal Road Begur Road 143 138 133 120 117 112 108 100 Apartment Villas Apartment Apartment Apartment Villas Apartment Apartment Sarvana Esplanade Vineyard Chrystolite Nakshatra Celestia Surya Shakti 80 Trees Sipani Classic Radiant Silver Oak Chaitanya Sharan Sarvana Buildwell Vineyard Township Nakshatra Developers Surya Shakti Developers Sipani Properties Radiant Developers Chaitanya Developers Yeshwantpur Hennur Road Yelahanka Off Sarjapur Road Kormangala Begur Road Whitefield 80 72 69 68 54 42 27 Apartment Apartment Apartment Apartment Apartment Villas Villas * Estimated and as per market information 12 .075 3 BHK: 1.285 to 1.128 3 BHK: 1.357 1 BHK: 780 2 BHK: 1.259 to 2.349 2 BHK: 1.300 2 BHK: 1.650 2 BHK: 873 3 BHK: 1.660 3 BHK: 1.182 3 BHK: 1.600 5 BHK: 7.220 3 BHK: 1.200 3 BHK: 1.100 3 BHK: 1.113 to 1.118 to 1.740 2 BHK: 1.068 to 2.613 to 1.161 3 BHK: 2.523 2 BHK: 1.704 2 BHK: 1.200 2 BHK: 1.020 3 BHK: 1.575 3 BHK: 1.227 3 BHK: 2.675 4 BHK: 2.023 4 BHK: 2.066 2 BHK: 1.546 4 BHK: 3.250 3 BHK: 1.433 to 1.Mahaveer Amaze Bren Paddington Saroj Symphony Concorde Epitome Purva Sunflower Concorde Tech Turf Mahaveer Oleander Atlantis Liberty Square Salarpuria Clarinet Arge Helios Zonasha Vista Mahaveer Developers Bren Developers Saroj Group Concorde Group Purvankara Developers Concorde Group Mahaveer Developers Atlantis Builders Salarpuria Developers Arge Realty Zonasha Developers Whitefield Sarjapur Road Whitefield Electronic City Rajajinagar Electronic City Hosa Junction (Off Hosur Road) Kanakpura Road Bannerghatta Road Hennur Road Hennur Road 267 264 212 200 200 168 164 164 161 160 160 Apartment Apartment Apartment Apartment Apartment Apartment Apartment Apartment Apartment Apartment Apartment 2 BHK: 1.190 3 BHK: 1.370 to 1.600 2 BHK: 1.200 to 1.350 2 BHK: 1.500 to 1.550 2 BHK: 1.259 to 2.156 3 BHK: 1.150 to 1.051 to 1.380 to 1.256 3 BHK: 1.120 to 1.235 3 BHK: 1.898 to 2.285 to 1.850 4 BHK: 3.795 2 BHK: 800 3 BHK: 1.408 3 BHK: 1.300 1 BHK: 665 2 BHK: 985 to 1.045 3 BHK: 2.650 2 BHK: 900 to 1.

the rentals for all the submarkets are likely to remain in similar ranges. However. Amidst this. reflecting higher preference for quality spaces amongst occupiers. which might witness appreciation in rentals due to low availability of quality retail spaces. Areas like Sarjapur Road.Under Construction Residential Property Update Capital values of under construction residential projects in Southern and Eastern submarkets witnessed a q-o-q appreciation in the range of 5-10% and 4-8%. which recorded a q-o-q drop of 3% in the main street rentals owing to paucity of optimum sized floor plates. Harlur Road in South. Almost all the net absorption this quarter (98%) took place in peripheral areas such as Outer Ring Road (31%). For the next quarter. The IT-ITeS sector dominated the pre-commitment activity as well with a 76% share in total pre-commitments of approximately 1. Considering the office transaction spillovers from the last quarter of 2013. South-East.1 msf during 4Q 2013. which was recorded to be 1. lower trading densities in select locations like Cunningham Road and Mysore Road might lead to a possible drop in rentals. While proximity to workplaces and good support infrastructure are expected to contribute to the uptrend in East and South-East. Outer Ring Road is expected to 13 continue being a major destination for office leasing activity. Commercial Street being an exception. Kormangala 80 Feet Road and Jayanagar 4th block continued to witness increased enquires from apparels. North and NorthWest are anticipated to see an upward revision in the next quarter. Brigade Road. as a result of the anticipated supply and precommitments. Retail Sector Most main streets witnessed a stable rental trend in the last quarter of 2013. Gopalan Atlantis located in Whitefield and DSR Wood Winds located in Sarjapur are select projects that are nearing completion. Hennur Road and Thanisandara Road in North continued to witness sizeable construction activity. respectively during 4Q 2013.4 percentage points each for all Grade and Grade A properties. the submarkets of North and North-West may record appreciation due to ongoing and proposed infrastructure initiatives. Whitefield (31%) and Electronic City (36%). Majority (72%) of the net absorption took place in Grade A properties. IT-ITeS sector continued to drive majority (80%) of the transaction activity during this quarter. jewellery and footwear retailers. ‘Starbucks’ opened its flagship store in Bengaluru (Kormangala) in 4Q 2013. most main streets are anticipated to record stable rentals except Marathahalli Junction. Further. The rental values remained stable for all submarkets as the vacancy levels witnessed a dip of 0. Outlook Capital values across select mid-end residential submarkets like East. . Most mall submarkets are expected to see stable rentals in the next quarter. Healthy demand from employees of the IT-ITeS sector. Further. primarily due to availability of quality spaces at competitive rentals. owing to proximity of workplaces and presence of strong social infrastructure led to northward movement of capital values. Commercial Office Sector The last quarter of 2013 registered a q-o-q rise of 27% in net absorption. Similarly. the first quarter of 2014 is expected to record significant leasing activity. prominent main streets like MG Road. Whitefield in East.5 msf.

the rentals of Grade A office space remained stable from the previous quarter. capital values for high-end properties declined marginally in Sectors 2-11 and Sector 28. values in Panchkula remained stable and the values in Manimajra increasing by nearly 9%. The absorption during the quarter was mainly from the apparels and footwear retailers. During 4Q 2013. 26 and 35 continued to be favoured by brands looking to expand their market presence. 14 . However. with national and international brands expanding their presence in the Tri-City. Manufacturing and engineering continued to be the main demand drivers for commercial office space in the Tri-City. Despite high vacancy levels and subdued leasing activity.Chandigarh Market Overview Cautious buyer sentiment led to subdued transaction activity in Chandigarh in the fourth quarter of 2013. In the midsegment. ranging from 3-6% in most locations. on a q-o-q basis. the completion of more than 2.500 units in the fourth quarter of 2013 in suburban areas like Panchkula. The sluggish pace of leasing activity in the office segment continued in the fourth quarter of 2013. Source: Cushman & Wakefield Research Represents Mid and High End segments READY RESIDENTIAL PROPERTY VALUES IN DECEMBER '13 Trends And Updates Ready Residential Property Update Demand for ready residential properties remained subdued across the Tri-City. The rental values in malls and main streets remained stable during the fourth quarter from the previous quarter. Prominent main street locations of Sector 17. Mullanpur and Technology Park led to a slight appreciation in the capital values in the suburban areas. This led to capital values remaining largely stable from the previous quarter. The Tri-City did not witness any new launches in the fourth quarter due to inventory pile up in the under-construction projects. the capital values saw marginal increase. However. Developers came up with attractive payment plans and offered discounts during the festive season to attract end-users and investors in underconstruction projects.

000/sf Chandigarh Sector: 28 Panchkula Manimajra Source: Cushman and Wakefield Research Note: The above values for high-end segment typically include units of 2.000 sf.4.000 145.000 .000 3. 6. both apartments and villa *sqyd: Square Yard Average Capital Values – Mid Range (INR/sf ) Location Zirakpur Mohali Dera Bassi Panchkula 4Q 2012 2.000/sqyd 14.700 .000/sf 3Q 2013 160.000/sqyd 140.000/sf 2Q 2013 160.000 145. A few developers extended the period of soft launch of their projects and deferred the official launch by a few more months.4. 15 Mid-end Segment: Mohali: Sectors .200 2.3. 4.000/sqyd 110.600 3.000/sqyd 110.000 160.000 .3.000 145.500 . With the slow pace of construction.4. primarily due to low response from the buyers.600-2.3.000 .000/sqyd 140.000 .000 170.000 170.200 2.000 3. Despite quoting higher rental values in the fourth quarter.200 2. 127 Panchkula: Sector .3.000 180.700 . Rentals values for office spaces in IT Parks and SEZs remained in similar range of INR 45-55 per square feet per month (psf per month) and that of commercial office spaces at INR 70-80 psf per month in the fourth quarter of 2013.000 170.300 2Q 2013 2.700 . 9.3. only one project in the suburban location of Panchkula is expected to be completed in the next quarter.000 170.3.300 4Q 2013 2. 7.000 3.000 .000/sqyd 140.3.000/sqyd 110.000/sqyd 140.000-4.000 .4. Commercial Office Sector The rentals of office space in IT parks and SEZs remained unchanged in the fourth quarter of 2013.000/sqyd 13.300 3Q 2013 2.4.600 3.500 .000/sqyd 13.500 .600 3. transaction activity was witnessed at rental rate prevailing in previous quarter. the Tri-City did not witness any new launches in the fourth quarter of 2013.3.3.200 2.200 .000 145. considering the low response from buyers for existing projects.000 180.000 145.3.500 .000 180.3. 115.200 2.3.500 Source: Cushman and Wakefield Research Note: The above values for mid-segment apartments typically include units of 1.600 3. Under Construction Residential Property Update Many projects scheduled for completion in the first quarter of 2014 have been deferred to later quarters of the year.3.20 New Residential Launches Owing to inventory pile up and cautious buyer sentiments.000 170.000 .Average Capital Values – High End (INR) Location Chandigarh Sector: 2-11 4Q 2012 160.000/sf 4Q 2013 155.000 .3.2.700 . 8.3.114.800 . 15 .600 3.000 sf Key to Locations: High-end Segment: Panchkula: Sectors .000/sqyd 110.300 1Q 2013 2.000/sqyd 140.000/sqyd 13.000/sf 1Q 2013 160.000 .800 .000 3.000 3.000/sqyd 13.000/sqyd 110.000 180.

Mohali.Retail Sector Demand remained stable in the retail sector with brands like Adidas. More than 450. the capital values are expected to improve in the second half of the year. The demand for quality retail spaces is expected to remain stable in Chandigarh. Despite steady demand. vacancy levels remained high in malls across the city.000 square feet (sf) of new office supply is anticipated in 1Q 2014. Zirakpur and Panchkula. Main street locations witnessed demand from Banking and F&B (Food & Beverages) sector with brands like Pizza hut. capital values are expected to remain largely stable in Chandigarh in the short term with possible upward price movements in only suburban areas like Mullanpur. Allen Solly. However. the addition of such huge supply would affect overall vacancy levels and might adversely affect the rentals in Mohali. Moreover. Due to this the rental values in malls maintained status quo at INR 300 psf per month in the fourth quarter of 2013. with the government expediting the process of land acquisition for Medi City and IT city. Although a number of retailers have pre-committed to this supply. In view of the subdued demand. with a number of projects scheduled for completion in 2014. 16 . The first quarter of 2014 is expected to see new mall supply of nearly 1. development of infrastructure is also expected to provide necessary boost to demand and drive the capital values northwards. The demand for office space is expected to remain sluggish in the first quarter of 2014. Dominos and Sagar Ratna increasing their footprints in the market. which is likely to keep rentals stable in the next quarter.1 million square feet (msf) in Mohali. and Van Heusen to name a few expanding their market presence in the Tri-City. this would result in higher vacancy levels and stable rental values in the Tri-City. Outlook In the residential sector.

Chennai’s retail real estate market witnessed 311. Though the leasing activity decreased from the previous quarter. Arihant Foundations. of which 56% belong to the mid-end category. Velachery. Chennai’s office property market witnessed a slowdown as the overall (all Grades) leasing activity during this quarter decreased by 67% on a q-o-q basis and was noted at around 1. 17 . while in Adyar an increase of 13% was noted.Chennai Market Overview Chennai’s residential property market slowed down in 4Q 2013 and witnessed a 38% q-o-q decline in the number of new residential units launches. GST Road and Rajiv Gandhi Salai (RGS). mainly in suburban and peripheral locations. During 4Q 2013.5% during this period.0 msf.000 sf infusion of new mall space in Velachery.1 percentage points rise in the city’s mall vacancy levels. 84% occupancy.400 square feet (sf).000 residential units are expected to have been completed during 4Q 2013. While mid-end category accounted for 93% of the total units launched during this quarter. Anitech Foundations and XS Real became available for possession in locations such as Adyar. Inherent demand for high-end properties in locations like Boat Club. accessories and cosmetic brands remained strong for select shopping malls in Chennai-CBD and Chennai-South micromarkets. The overall vacancy rate in Chennai dipped by 0. launches in high-end category increased by 100% during this quarter. Nearly 2. it recorded a q-o-q decline of 38%. as 86% of the total leasing transactions and 92% of the net absorption was registered for Grade A assets. Source: Cushman & Wakefield Research Represents Mid and High End segments READY RESIDENTIAL PROPERTY VALUES IN DECEMBER '13 Trends And Updates Ready Residential Property Update Many prominent projects by developers like Adroit Urban Developers. which was noted at 6. Enquiries from apparels.000 sf of new office supply was infused in this quarter. It is anticipated that nearly 5. Capital values in the mid-end category remained stable due to ample supply and significant number of new launches. around 31% were in the Rajiv Gandhi Salai micromarket. all of which belonged to Grade A in CBD and Off-CBD micro-markets. In comparison to the previous quarter. A clear preference for Grade A office spaces was evident in 4Q 2013.500 residential units were launched.2 percentage points and was noted at 16. the overall net absorption for all grades remained at par with last quarter and was registered at 766. High-end residential units accounted for the remaining 7% of new residential unit launches and were primarily concentrated in East Coast Road (ECR) and Nandambakkam. The vacancy in the new mall coupled with some churn in Chennai’s CBD resulted in 1. Only 30. Of the total units launched. Kotturpuram and Kilpauk led to a 4-6% increase in capital values.1%. and the new mall became operational with approx.

6. mid-end segment accounted for 93% of the new launches.0 5.0 .0 14.17.4.0 20.0 .5 14.0 .15.0 .0 .24.24.8.5 12.21.30.0 4Q 2013 10.0 .3.0 .5 9.8.5 2.5 .0 NA NA 5.0 .0 12.0 13.5 17.0 . Anitech Foundations.15.5 13.0 12.5 .0 8.8.0 .6.0 13.0 .0 18.5 9.12.19.14.14.0 2009 4.0 20.6.15.28.5 .10.0 .5.0 .0 5.0 13. 18 .0 12.30.5 .0 .13.20.5 .30.0 .14.0 14.11.6 3.0 .16.8 .9.0 14.0 .5 2.000 sf The time series have been adjusted to reflect the updated values *RA Puram also includes Alwarpet and Abhiramapuram **Poes Garden also includes Venus Colony and Kasturi Rangan Road Average Capital Values – Mid Segment (INR ’000/sf) Location Adyar Rajiv Gandhi Salai (Perungudi) Velachery T.15.0 .5 15.6.0 .0 13.0 .0 2011 8.5 .0 .0 20.5 9.28.0 .5 .5 .500 new residential units were launched in Chennai.20.0 5.0 4.0 14.0 23.5 3.0 12.5 .0 .7.0 5.5 .0 11.0 .5 .13.0 .0 .15.0 4.0 .0 .5 14.0 10.0 5.0 13.0 12.25.0 14.0 .0 5.Average Capital Values – High End (INR ‘000/sf) Location Boat Club R.10.0 10.9.0 .15.0 .0 .6.5 NA NA 6.25.15.5 .6.25.15.0 .0 12.5 .5 14.0 5.5. etc.0 .12.0 .0 14.16.18.0 .7.16.14.0 12.5 NA NA 4.0 .0 Anna Nagar Kilpauk 6.0 .5 8.0 14.0 4.4.0 12.0 .17.0 14.0 .0 .5 .0 2010 6.0 5. around 2.0 10.5 9.23.18.000 sf The time series have been adjusted to reflect the updated values New Residential Launches During 4Q 2013.0 .14.25.0 13.0 23.16.4.27.0 .8.0 12. Nagar Mylapore Mogappair Kilpauk 2008 4.0 .0 Source: Cushman & Wakefield Research Note: The above values for high-end segment typically include units of 1.11.0 13. This included projects from developers such as Urban Tree Infrastructure.A Puram* Besant Nagar Kotturpuram Adyar Poes Garden** 2008 18.5 .9.0 17.5 7.0 .0 .6.17.0 .3 4.5 .5 NA NA 8.0 .12. registering a q-o-q decline of 38%.3 6.5 .8.0 .0 .0 .0 13.17.0 2009 18.5 .0 .5 .15.0 .5 .0 .8.0 10.0 .0 .0 .17.0 14.0 12.0 .5 .0 .5 7.5 .0 .5 .0 .0 .3 6.17.0 13.0 .17.0 .6.13.14.14.5 8.5 .5 9.15.8 3.0 .0 .20.0 2010 2011 2012 1Q 2013 2Q 2013 3Q 2013 4Q 2013 18.16.0 7.0 .5 5.17.16.0 .5 .3 6.0 .0 .0 .8.0 .0 17.5 .6.0 4. Of the units launched.9.5 13.0 .16.0 .0 20.6.12.16.18.0 .0 3Q 2013 10.33.16.5 2012 9.0 Nungambakkam 13.2 4.0 14.0 2Q 2013 10.0 .0 .25.0 14.0 .0 10.15.11.0 .20.0 23.5 3. StepStone Promoters.12.0 .25.8.0 5.0 .0 5.6.14.5 NA NA 4.0 6.5 3.23.6.0 .0 .0 17.15.0 .15.0 13.5 8.0 12.17.6.0 12.5 .0 20.0 .0 13.5 .5.000-2.0 .0 .2.5 .18.17.7.21.12.5 .5 9.0 .15.14.15.0 .20.5 13.10.0 .0 17.0 .0 .0 .17.5 13.7.0 23.16.5 8.5 .0 12.3 6.5 .0 Source: Cushman & Wakefield Research Note: The above values for mid segment typically include units of 1.0 .0 12.21.5.0 12. Vijay Shanthi.5 .800-4.28.0 .0 .0 .12.0 1Q 2013 10.0 .0 NA NA 5.12.0 17.28.0 23.

100 3 BHK: 1. The city's weighted average rental showed a marginal uptick of 1.274 2 BHK: 895 to 1.257 2 BHK: 980 to 1. 19 . all belonging to Grade A. Peripheral-RGS and SuburbanGuindy accounted for nearly 44% and 23%.363 3 BHK: 1.035 3 BHK: 1.804 2 BHK: 774 to 1.531 1 BHK: 547 to 611 2 BHK: 892 to 1.010 3 BHK: 1.171 3 BHK: 1.681 3 BHK: 1. Only 30.270 to 2.896 4 BHK: 5.000 3 BHK: 3.600 1 BHK: 466 2 BHK: 851 to 1. etc.299 to 5. Evocon Private Limited Arihant Foundations Mayances Construction & Engineering Arihant Foundations Color Homes StepStone Promoters Kay Arr Builders Atikramya Developers VJS Associates Anitech Foundations Kolathur Kundrathur Tambaram Nandambakkam East Coast Road Maraimalai Nagar Perumbakkam Perumbakkam Thoraipakkam Tambaram Thoraipakkam Maraimalai Nagar 188 157 148 96 73 42 40 36 20 8 8 5 Villas Apartments Apartments Apartments Villas Villas Apartments Apartments Apartments Apartments Apartments Apartments * Estimated and as per market information Under Construction Residential Property Update Due to subdued market sentiments and rising input costs.Project Name Mahidhara Supreme .209 3 BHK: 1. Commercial Office Sector Of all the locations.063 2 BHK: 778 to 1.110 2 BHK: 869 to 1.121 3 BHK: 1.395 2 BHK: 1.010 to 1. was infused in the market in CBD and Off-CBD locations.000 sf commercial space. Mogappair.352 2 BHK: 973 to 1.293 3 BHK: 1. Construction delays have deferred completion dates for many projects in locations like RGS.308 2 BHK: 930 to 980 2 BHK: 1. owing to availability of good quality Grade A spaces and higher demand for this micro-market.356 Love Blue Bells Vijay Shanthi Builders Shri Janani Homes (P) Ltd.264 4 BHK: 3. Mambakkam. The IT-ITeS sector accounted for 60% of the total gross absorption.310 2 BHK: 1.602 to 1. mainly due to an 11% increase in weighted average rentals for Suburban-Perungudi Taramani. respectively of the overall net absorption.276 to 2.036 3 BHK: 1. Sriperumbudur Padur 377 288 Apartments Apartments Urbantree Oxygen – Phase I Meadow Ville (Phase II B) Rock Ville Eden Gardens Tiara Myans Arihant Villa Viviana –II Color Castle Peru's Tranquility Iha Casa Abri Anitech Sunflower Urban Tree Infrastructure Perumbakkam 284 Apartments Sare Homes Raba Promoters (P) Ltd. followed by healthcare and engineering at 7% and 5% respectively.202 to 1.200 to 1.5%. underconstruction projects that typically are considered risky propositions due to uncertain time lines.390 to 1.429 1 BHK: 600 to 630 2 BHK: 829 to 1. construction activity progressed at a slow pace during this quarter in most micro-markets.256 to 1.434 3 BHK: 2.100 to 1. Though the demand for residential properties has been slow.121 to 4.005 3 BHK: 1.121 to 1. GST Road.271 to 1.508 to 2. Phase – I Aashira – Phase I Developer Mahidhara Projects Malles Construction Location Oragadam Perumbakkam Number of Units* 400 384 Type Villas Apartments Area of Units (in sf) 2 BHK: 988 3 BHK: 1. end-users are willing to pay an additional price for projects nearing completion stages or ready for handover as it helps them to mitigate the risks associated with newly launched.

800 residential units are expected to be completed during 1Q 2014. apparels and footwear retailers remained high.000 sf will be infused in the market during 1Q 2014.1% on a q-o-q basis. mainly for Pondy Bazar and Nungambakkam High Road. However. nearly 1. 20 . despite the increasing input costs for developers. 97% of which belongs to Grade A. Enquiries by electronics. and they are expected to remain stable in the next quarter. of which 300 belong to the high-end segment. Mylapore and Rajiv Gandhi Salai in the first half of 2014.100 residential units are currently in the soft launch stage. It is expected that a total new supply of 712. R. the net absorption levels for office space will be much higher than that of 4Q 2013 as a number of enquiries are tending towards closure. Less new supply coupled with high enquiries and dipping vacancy levels mainly for Suburban-Guindy and Suburban-Perungudi Taramani may create an upward pressure on rentals for these micro-markets. Mall rentals are expected to remain stable except for Chennai-South where higher demand from apparels. It is anticipated that during 1Q 2014. Puram. due to high demand and lack of new supply. Kotturpuram. No new mall supply is likely to be infused in Chennai during 1Q 2014. Outlook As per current estimates. Dearth of quality retail spaces along with healthy demand may lead to an increase in rentals during the next quarter for Usman Road-North and Pondy Bazar. Around 2.Retail Sector This quarter recorded stable rentals in most main streets except Nungambakkam High Road where rentals increased by 7. the sizeable new supply is likely to prevent rental and capital values from rising drastically.A. These units are expected to be launched in Nungambakkam. accessories and cosmetic brands may push the rentals upwards.

across categories. Kukatpally. driven by their proximity to the IT and financial hub of the city. hypermarkets. the residential property market witnessed the launch of approximately 750 new units in various micromarkets across mid and highend categories. Nearly 41% of the total supply was in SEZs situated in Madhapur. 21 .Hyderabad Market Overview In 4Q 2013. primarily due to considerable new supply across the city. Locations such as Madhapur and Gachibowli witnessed marginal q-o-q appreciation of 3% in capital values of mid-end residential properties.8% at the end of 4Q 2013. High-end category accounted for the remaining 22% of the new launches. due to the demand driven by the employees from the IT-ITeS sector. rising by 2. due to moderate demand in the wake of the current political uncertainty.24 msf in the fourth quarter of 2013.0 percentage on a q-o-q basis. Despite the ongoing political Source: Cushman & Wakefield Research Represents Mid and High End segments READY RESIDENTIAL PROPERTY VALUES IN DECEMBER '13 uncertainties related to the bifurcation of the State. registering a 61% decline from the previous quarter. Miyapur and Nizampet micro-markets.500-2. Gachibowli and Kukatpally witnessed a 3% q-o-q capital value appreciation in the mid-end segment. The leasing activity and net absorption for 4Q 2013 recorded a qo-q increase of 71% and 42%. Projects catering to mid-end segment in Bachupally and Madhapur totalling approximately 900 units and having an average unit size in the range of 1.000 sf became operational in Kukatpally with approximately 70% occupancy. Attapur. Almost 78% of these projects belonged to the mid-end segment and were concentrated in Madhapur. City-level vacancy was recorded at 19. Only Madhapur. especially in the north-western quadrant of the city. almost all micromarkets witnessed a stable trend in the capital and rental values. A mall admeasuring 425.000 sf were completed during this quarter. The office real estate market of Hyderabad saw influx of nearly 2. Trends And Updates Ready Residential Property Update The fourth quarter of 2013 witnessed moderate enquiries for ready residential properties. The capital and rental values in the high-end segment remained stable across all locations. multiplexes and apparel retailers. Gachibowli. Nagole and Kompally witnessed increased enquiry from Food and Beverages (F&B).

3 2010 6.3 3.4.8 .3.9 .0 2.5 6.9 .8 .3 3.6 3.5.4.0 2.5 4.7. nearly 750 new residential units were launched in Madhapur.7 .4 2011 6.3.5.3.5 .0 .3 .3.5.3.4.2.4 Q1 2013 3.4 3.4 2.5 2011 3. unlike 3Q 2013. However.3. The new launches in 4Q 2013 registered a q-o-q decline of 61%.9 . Gachibowli Kukatpally Miyapur.6 .5 4.4.3 3.500 units are in pre-launch stages in locations such as Gachibowli.5.8 .5 Q1 2013 6.6.0 4.0 .0 .1 .600 sf New Residential Launches In Hyderabad.0 .8 .3 4.5. while villas contributed the remaining 15% units.0 .2 2.5 5.8 .7.9 .8 . Nizampet 2009 5.9 . 1.8 3.5.0 .4 Source: Cushman and Wakefield Research Note: The above values for mid segment typically include units of 1.3.5 6.000-6.1 .7 .8 .5.8 .7 .5 2.4.2 3.3.2 2.2 6.0 2.4.9 3.0 . 3 and 4 BHK configurations with unit sizes ranging 1.7.3.3.9 4.6 .2 3.6 2.5 Q2 2013 7.3.8 .2 1.0 .8 3.4 Q2 2013 4.5 .0 4.0 .4.6.1 .8 .6 2.1 .5 .5 .4.0 .5 4.4. Approximately.5.1 2.4.200-1.6 .7.3 .2.5 6.5 3.3.2 3.3.Average Capital Values – High End (INR ‘000/sf) Location Banjara Hills* Jubilee Hills * Himayatnagar West & East Marredpally Begumpet.4 .5.4 Q3 2013 4.5.0 3.9 .9 2.7 .9 .3.8 3.5 .5 6.8 .3 .5 2.0 2012 3.8 3.6 .4.7 .8 .4.0 .6.6 2.6 . Average Capital Values .6.0 3.0 .0 4.7 .0 3.4.7 .8 4.9 .4.1 2.5 Q4 2013 7.8.8.5 .5 .0 . Gachibowli.0 .3.2 3.4.8 .600-4.4.2 3.7 4.3.4.5 2.0 2.4.9.2 2.8 2.8 .0 4.7.5 .0 .3 4.8 .6 .0 .7 .0 3.3.6 .4.2 2.5 Q3 2013 7.3. Kukatpally and Bachupally.0 .9 .4.0 2.5 .7.0 2.5.4 .8.2 3.4 2.8 .4 Q4 2013 4.5 .1 2.5 4.5 3.4.9 .7. Projects launched were mainly in 2.1 .1 2.5 .5. there were no new units launched in the affordable category during this quarter.5 .0 .3.2.2 . Somajiguda Madhapur.6.4.0 3.3 4.3.000 sf * Range has been increased to account for some units quoting higher capital values in the secondary market.5 .1 .5 6. no capital appreciation has occurred in these locations.3.2.3.0 .3.0 3.4.5 4.0 .7 .2 2.5 Source: Cushman and Wakefield Research Note: The above values for high-end typically include units of 1.1 .7 2.3.5 3.5003.4 3.6 2.3.7.6.3.5.3.3.3.5 4.8 2.3.5. Gachibowli Kukatpally Miyapur.3.3.5 3.5 .4.2 .6.3.4.7 3.8 .0 .8 .2 2.5 2012 6. Kismatpur.Mid Segment (INR ‘000/sf) Location Banjara Hills Jubilee Hills Himayatnagar West & East Marredpally Begumpet.500 per sf for mid-end and INR 6. Nearly 85% of these units were apartment.5 .3.4.4.4.5.3. Miyapur and Nizampet micromarkets.500 per sf for the high-end segment.7 .4 3.3.0 2.5 4.8 .3.0 .2 3.9 1.9.5 2010 3.9 .8 .5 .3 3.6 .4.4.3.0 .3.5 4.0 2.7 .0 3.0 .4.0 3.3 .0 .0 2.3 .5 .4.200-1.0 .5 .7 .3 .3 3.4.5.5 2. Around 78% of these projects catered to mid-end segment and the remaining 22% were in the high-end segment.5 4.5 .3.5 6.0 .2 3.6 .5.3.8 3.4.6.0 .7 .4 .4.0 2.5 2.4. Nizampet 2009 3.4.6 .6 4.700 sf and capital value range of INR 2.7 .0 .0 .5 .5 3. 22 .3.8.8 3.3.6 2.0 2.5 4. However.3.5 3. Somajiguda Madhapur.4.4.0 4.0 3.9 .0 2.5 .4.8 .9 .5 4.8 .1 2.5.

261 3 BHK: 1. multiplexes. majority of it pertaining to pre-commitments of 2012 and 2013.1%.S.295 Paramount Height Aditya Construction Company DSR Buildings & Developers Mahindra Life Space Developers Gachibowli 126 Reganti Ashvita Madhapur Kukatpally 90 85 Apartment Apartment 4 BHK: 3. 23 .000 sf became operational in 4Q 2013. Retail Sector A new mall in Kukatpally admeasuring 425.033 to 3.567 to 1.018 to 2. Himayatnagar and A. Jubilee Hills Road No. Demand continues to remain stable due to the current political scenario.2%.600 Mantri Euphoria Sark One Extension Mantri Developers Pvt. Gachibowli and Kukatpally witnessed a q-o-q price appreciation of 3-5%.705 3 BHK: 1. footwear and apparels retailers.082 3. The supply influx pushed up the city vacancy levels by 2 percentage points and was noted at 19. out of which 43% belonged to Grade A category.333 2 BHK: 1. Rao Nagar witnessed enquiries from electronics. Gachibowli.218 to 1.8%. Select under construction projects in prominent residential locations such as Madhapur. Attapur. with developers constructing more than 10.Project Name Pushpak Developer Abhay Infrastructure Location Nizampet Number of Units* 330 Type Apartment Apartment Area of Units (in sf) 2 BHK: 1. The vacancy level for Grade A stock witnessed a hike of 1.4 percentage points and was recorded at 14. Uppal and LB Nagar are some of the emerging organized retail precincts that have experienced healthy enquiries from various retailers operating in categories like hyper-markets.8 percentage points to 8. The mall supply infusion has pushed up the overall mall vacancy of the city by 6.2 msf of office space.947 4 BHK: 2. Nagole. Commercial Office Sector In 4Q 2013. Around 62% of the overall transactions witnessed in 4Q 2013 were in the IT-ITeS sector.2.36.055 to 5. Rentals remained more or less stable across micro-markets.205 to 1. Malls in Banjara Hills and Madhapur witnessed a surge in enquiries from apparels and International F&B brands. F&B. registering a 71% q-o-q increase.000 units in various residential projects. Prominent main streets like Banjara Hills Road No. Miyapur and Nizampet. Ltd Manikonda Sark Projects Mokhila 75 38 Villas Villas * Estimated and as per market information Under Construction Residential Property Update The fourth quarter of 2013 continued to witness robust construction activity in the western locations of Madhapur. Kompally. Hyderabad's office market witnessed a leasing activity of approximately 1.665 to 2. The city witnessed an influx of approximately 2. attributed to the locations’ proximity to the major commercial office locations.205 3 BHK: 1. The entire Grade A supply was concentrated in suburban micro-market of Madhapur and comprised of SEZ developments. apparels and electronics.170 4BHK : 3.47 msf.4 BHK: 3.

moderate demand and supply situation will keep the rentals under check. furniture and apparels categories are anticipated to enter Hyderabad’s retail market in the near period.000 sf of mall space (at Attapur) in 1Q 2014. The commercial office market is expected to witness an influx of 3. The city is likely to witness supply addition of 200. 24 . primarily due to demand stemming from employees of the IT-ITeS offices and financial district of the city that is in proximity to these micromarkets.Outlook The residential market is expected to witness moderate demand and stable rentals in the next 3-6 months due to cautious approach adopted by endusers. Healthy supply in the next quarter is expected to keep the rentals under pressure.4 msf of office space with 76% of it belonging to Grade A category. select micromarkets like Madhapur. However.500 units already in the pre-launch stage. Gachibowli. especially in Gachibowli. The north-west corner of the city is expected to witness robust launches in the next quarter with approximately 1. Kukatpally and Miyapur are likely to witness a marginal capital value appreciation in midend segment. where the vacancy is already high. Select retailers operating in F&B. However. The leasing activity is anticipated to remain moderate in the next 3-6 months.

considering ease of accessibility and better quality office facilities. Capital values in the high-end segment increased by 8-10% q-o-q and rental values increased by 6-7% in the same period. However. Jagatpura and Mansarovar witnessed increase in capital values ranging from 4-6% over the previous quarter. Sirsi Road. Peripheral areas of the city like Ajmer Road. capital values in Malviya Nagar increased nearly by 10% in 4Q 2013. with the infusion of new supply in malls at higher rental values the mall rents increased by 35% on a quarterly basis. Source: Cushman & Wakefield Research Represents Mid and High End segments READY RESIDENTIAL PROPERTY VALUES IN DECEMBER '13 Trends And Updates Ready Residential Property Update Demand for ready residential property in locations such as C-scheme and Civil Lines was buoyant in the fourth quarter of 2013. Capital values in the central areas of C-Scheme and Civil Lines increased by 8-10% compared to the third quarter of 2013. New launches in the city continued to be mainly in the suburban and peripheral areas such as Malviya Nagar. continued attracting end-users and investors with capital values increasing by nearly 10% in the last quarter of 2013.Jaipur Market Overview The residential sector in Jaipur witnessed fervent transaction activity in the fourth quarter of 2013. The rental values for office spaces remained stable over the quarter across the city. The city witnessed new supply of nearly 450. Jaipur witnessed new office space supply of nearly 200. Rental values in main streets remained stable over the last quarter.000 square feet (sf) in the fourth quarter of 2013. 25 . The demand was mainly driven by the BFSI (Banking. A few occupiers shifted from the central area of MI Road and C-Scheme to secondary business districts such as Malviya Nagar.000 sf of mall space in the fourth quarter of 2013. Financial Services and Insurance) and Logistics sectors. However. Mid-segment also witnessed healthy increase in capital values in the range of 4-6% from the previous quarter. Tonk Road. with a rise in rental values as well. Malviya Nagar. Malviya Nagar and Vaishali Nagar witnessed interest from a number of brands that expanded their market presence in Jaipur. Jagatpura and Ajmer Road. which is located strategically between the airport and the central locations such as MI Road. Prominent main street locations of MI Road.

000 /sqyd 2.000 . Sirsi Road. These were mainly low rise buildings with capital values quoting in the range of INR 6.200 per sf.000 sf. Jaipur also witnessed nearly 3.70.000 .500 .600-3.000 .000 .3.000 unit completions in the fourth quarter of 2013.65.90.650 .000 /sqyd Source: Cushman and Wakefield Research Note: The above values for high-end segment typically include units of 2. Vaishali Nagar and Mansarovar with capital values being in the range of INR 2.000 /sf 2.000 /sqyd 75. Under Construction Residential Property Update Along with ongoing under construction activity in many projects. A few small projects were launched in the central areas near Civil Lines as well. Most of these units catered to the mid and affordable segment.Average Capital Values – High End (INR ‘000/sf) Location C.Scheme Bapu Nagar Civil Lines Malviya Nagar Q3 2013 7.600-2. Demand for quality office space and lack of new supply led to occupiers leasing spaces in non-CBD micromarkets such as Malviya Nagar.80.700 .000 /sf 7. The rental values in the Central Business District (CBD) comprising of micromarkets such as MI Road and C-Scheme remained stagnant at INR 65 per square feet per month (psf per month) and that for nonCBD micromarkets at INR 35-50 psf per month.500 /sf 80.7.100.10.000 /sf Source: Cushman and Wakefield Research Note: The above values for mid-segment apartments typically include units of 1.000 . Commercial Office Sector The rentals of office spaces in IT parks and SEZs remained unchanged in the fourth quarter of 2013.3.800 .000 .500 .800 .9.700 .000 /sqyd* 70.95. 26 .000 /sqyd Q4 2013 7.200 /sf 2.000 /sqyd 2.8.3. Tonk Road and Vaishali Nagar. both apartments and villas *sqyd: Square Yard Average Average Capital Capital Values Values – Mid – Segment High End(INR (INR‘000/sf) ‘000/sf) Location Malviya Nagar Vaishali Nagar Mansarovar Jagatpura Q3 2013 55.900 /sf Q4 2013 60.700 .000 /sf 6.500 per sf. both apartments and villas *sqyd: Square Yard New Residential Launches Jaipur witnessed new supply mainly in the suburban and peripheral areas such as Ajmer Road.3.000 /sf 2. Sikar Road and Jagatpura.3. Majority of these units were mainly on Tonk Road with the remaining spread over other peripheral areas such as Ajmer Road.000 sf.000 /sf 80.500-7.100 /sf 2.000 . Developers offered discounts during the festive season to attract end-users and investors alike.000 . Vaishali Nagar.2.000-4.

lower rentals and no new supply in the central area of Jaipur. The enduser demand for projects in central locations and investor appetite for units in the peripheral locations is likely to remain strong in the next quarter. Malviya Nagar and Vaishali Nagar offering better Demand for quality retail spaces is expected to remain healthy. continued to establish and expand their presence in the city across prominent malls such as Gaurav Tower. capital values are expected to continue their upward trend. Nearly 100. Further enhancement of social infrastructure in these areas will improve liveability. With new office buildings mainly in Tonk Road.Retail Sector With infusion of new supply at higher rental values than prevailing average rents. Outlook In the residential sector.000 sf is scheduled for completion in the first quarter of 2014. MGF Metropolitan and Triton.000 units are scheduled for completion in the first quarter of 2014 in suburban areas such as Mansarovar and Sirsi Road. 27 . rental values are expected to remain constant in the next quarter. etc. especially in prominent main street location of MI Road and in malls such as MGF Metropolitan and Gaurav Tower. occupiers will continue to move to the non-CBD micromarkets. the mall rents in Jaipur increased by 3-5% in the fourth quarter of 2013. Crystal Palm. New mall supply of approximately 220. leading to appreciation in capital values. With stable demand. Rental values for both malls and main street locations are likely to remain stable over the next quarter. facilities. Allen Solly. National and International retailers like Zara. The main streets witnessed Food & Beverages (F&B) and apparels brands such as Mainland China and Lilliput respectively lease spaces during the quarter. More than 1. Shoppers Stop.000 sf of new office space is scheduled for completion in the first quarter of 2014.

2% due to significant new supply influx and low absorption. Capital and rental values remained stable during the quarter across micromarkets in both mid and high-end segments. jewellery and accessories segment during the quarter wherein malls attracted more demand than the main streets.Kolkata Market Overview In 4Q 2013. Total net absorption was recorded at over 216.9% from 4.000 sf.1-0.000 sf. Overall vacancy level inched up by 1. owing to healthy leasing activity and new malls becoming operational with more than 95% occupancy levels. Kolkata's residential real estate sector witnessed a slight upward momentum with total units launched increasing by 6% over the preceding quarter.7% across submarkets.000 sf in a mall that has dedicated zones for luxury brands. Capital values and rentals values in ready properties remained stable during the quarter across submarkets in mid and high-end segments owing to slow pace of transactions. Some of the prominent projects that were completed during the third quarter include DLF New Town Heights in North-east submarket and Tirumani in SouthCentral submarket. During 4Q 2013. all of which was Grade A and almost three times the supply in the previous quarter. Overall vacancy level in malls dropped to 3. Around 1. the commercial office sector witnessed total supply of 620. Nearly 50% of the completed projects were concentrated in North-east submarket.1 percentage points and touched 24. 28 . The quarter witnessed new mall supply of around 438. Retail sector witnessed healthy demand from apparels. Rentals remained stable during the quarter across main streets and malls Source: Cushman & Wakefield Research Represents Mid and High End segments READY RESIDENTIAL PROPERTY VALUES IN DECEMBER '13 Trends And Updates Ready Residential Property Update During 4Q 2013. around 2.270 units were completed in various projects. which increased by 21% over the previous quarter.930 units were launched during the quarter. Weighted average rentals saw a marginal q-o-q decline of 0. primarily due to slow pace of transactions. Around 45% of the total completed units catered to the high-end segment.3% reported in the previous quarter.

0 10.0 .0 10.5 .8 .2 2Q 2013 3.6 4.5.0 4.0 3.5 .Central South .5 3.6.15.18. Dover Lane etc.0 . Queens Park.5 .2.8.5 5.3 .0 12. VIP Road.3 2.16.5 5.5 2.17.9 .5.5 .8 . Ultadanga.0 2.5 . Shyambazar. Triangular Park.8 .000 sf *The values for Central.8 .4 2010 3.6.2 2. Girish Park. etc.17.7 2.5 12. South-West: Alipore Park Road.0 2.7.0 5.8.2 1Q 2013 3.7 2.8.8 2.5 .5 .8 Source: Cushman and Wakefield Research Note: The above values for mid segment typically include units of 1.7 2011 3.9 4.5 11.7.5.0 .6.9.0 .7.6.3.9 8. North: Kankurgachi. PA Shah Connector North-East: Rajarhat. Bhawanipur South-East: Ajoy Nagar.12.10.East North 2009 2.4.8 .5.4. 29 .4.0 3.3.8 .7 4.0 .0 4.2 2012 3.7 8.9 .6 . South Central: Deshpriya Park.2 1.0 11.0 .8.6. Christopher Road.5 .5.Average Capital Values – High End (INR ‘000/sf) Location South South .5 5.2 .5 .0 . Camac Street.0 8. Minto Park.5 2. Hiland Park.0 .0 2.4.7 .2 .8 . Belvedere Road.East 2009 4.5 12. East and North-East micro markets have been revised due to increased market coverage.0 2Q 2013 7.0 .5 6. Central: Park Street.2 .2 . Gurusaday Road.0 .8 .4. South-East: EM Bypass .5.5 4.5 4.5 5. Rainy Park.8 3. Bagbazar.6.East North .0 .4 .12.West Central East North .9. Rajarhat Mid-Segment: South: Golf Green.13.8 .000-4.5 .17.3.8.18.East South . Manicktala.5 . Narkeldanga Main Road East: Salt Lake North-East: New Town.0 2012 7.2 .9 . Loudon Street.8 .5 2011 6.000-2.7 4.0 3.18.0 5. South Central: Ballygunge.4.4.8 .5.5 2.2 10.9 .5 4.5 5. New Alipore.8.7 1Q 2013 7.0 5.5 .0 2.3.0 10.5.5 5.13.8 .2 3.0 .0 .0 .5 10.5 . Elgin Road.5 . Lake Terrace etc.6.0 12.17. etc.5.5 .5 10.0 12.18.0 4.2 .8 . Hazra Road.4 .8 .8 .000 sf *The values for North-East micro market have been revised due to increased market coverage Key to Locations: High End Segment: South: Southern Avenue.5 .0 .0 .5 .5 5.10.8 7.10.0 12.7 4.0 2010 5.18.7 . etc.0 .5.3.13.0 . Jodhpur Park etc.8 .0 .5.0 .5 .0 .4 .5.0 4.15.8 . Tollygunge.9.0 .0 2.5 2.8.5.Science City.5 . Lee Road.8 3Q 2013 3. Ballyguange Circular Road.2 4.8 2.2 .5.9.Central South .5 5.13.5 6.19.7 .6.8 9.0 2. Average Capital Values – Mid Segment (INR ‘000/sf) Location South South .8 . Lake Gardens.5 . Burdwan Road.4.5 3Q 2013 7. Rowdon Street.0 .0 8.8. Dum Dum.0 . Behala North: Jessore Road.4. Rajarhat Chowmatha South West: Tollyguange Circular Road.6.8 .5.0 .0 9.6.5.0 .5.5 4Q 2013 7.2 .4.0 10.3. Lake Town.18.0 3.0 5.19.5.0 .0 .15.0 11. Hindustan Park.8 .7 .8 4Q 2013 3. Shakespeare Sarani. Ultadanga.8 .2 .9.2.7 .12.7.5 Source: Cushman and Wakefield Research Note: The above values for high-end segment typically include units of 2.2.15.0 . Pancha Sayar etc.13.0 .10.5 6.18.6.3 .9 .5.8 2.8 1.5 10. Ashoka Road.0 2.0 2.

Rajarhat 128 108 102 72 67 60 60 57 46 43 Apartments Apartments Apartments Apartments Apartments Apartments Apartments Independent Floors Apartments Villas New Alipore SK Deb Road. which used to be major contributors.482 4 BHK: 1.835 3 BHK: 1. New town Jessore Road launched as the submarket reported almost seven times q-o-q increase in new unit launches.043 3 BHK: 1. However.500 2 BHK: 867 to 967 3 BHK: 1. an increase of about 6% over the previous quarter. Peripheral locations such as Garia.555 to 1.455 to 1. Pinion Developers GreenTech IT City & Vedic Realty Orbit Group Merlin Group PS Group/ Srijan/ Signum Unimark Group Pasari Group Eden Group GreenTech IT City & Vedic Realty Adya Group GreenTech IT City & Vedic Realty Akshara Group Martin Infraprojects Prudent Infrarealty Vinayak Group 180 Apartments Magnolia Prestige Duplex Natura Sunland Residency Rajarhat Vedic Village. Number of Units* 416 Type Apartments Area of Units (in sf) 2 BHK: 1.New Residential Launches During 4Q 2013.510 4 BHK: 1.600 3 BHK: 1. The North-east submarket contributed the most with 62% share in total units Project Name Ideal Aquaview Developer Ideal Group Location Maheshbathan.600 3 BHK: 1.091 3 BHK: 1.954 5 BHK: 3.600 4 BHK: 2.162 6 BHK: 6.127 to 2.174 to 1.400 to 1. Narendrapur and Sonarpur in South Kolkata.600 4 BHK: 1.090 4 BHK: 2. owing to delay in project approvals. have witnessed a significant q-o-q drop of 90% in new launches. Off Alipore Maniktala New Town Pancha Sayar Shikharpur. as developers continued to focus more on the mid-end segment that witnessed 46% q-o-q increase in total units launched.663 4 BHK: 3.200 to 2. The high-end and luxury segments witnessed significant drop of 30% and 80% respectively in total units launched over the previous quarter. Near Alipore Off CIT Road Bhukailash Road. Rajarhat Rajarhat 176 176 142 Apartments Apartments Apartments Terrace Heights Ashwa Merlin Legacy Cloud 9 Ramsnehi Unimark Tower Taal Chaya Astor Park Greentech City Boat Homes Exotica Heights Greentech City Golf Grove Villas Akshara Vilaas Royal Villa Habitat Bellezza Rajarhat Hussain Shah Road.200 to 1. The overall sales activity in new project launches remained slow. Rajarhat Mahamayatala.044 3 BHK 2 BHK: 950 to 1.800 4 BHK: 2.575 Kshitij Jessore Road Construction LLP / Prudent Infra Magnolia Infrastructure Greentech IT City Pvt. followed by high-end segment with 21% share in the total units launched. Lake Town Christopher Road Garia 35 30 21 18 Apartments Apartments Apartments Apartments * Estimated and as per market information 30 .226 3 BHK: 1.266 to 3. Ltd.692 to 2.475 to 1.090 3 BHK: 1.930 units were launched in new projects.958 3 BHK: 1.351 2 BHK: 968 to 1.800 4 BHK: 2. select projects in Salt Lake garnered huge response from buyers due to its development as an IT hub.375 3 BHK: 2.275 3 BHK: 1.034 to 1.050 3 BHK: 1.492 2 BHK: 900 to 1.950 3 BHK: 1. Garia Shikharpur.080 to 1.981 to 5. Mid-end segment continued to witness majority of the launches with 76% share. Ltd Earth Work Nirman Pvt.916 to 3.900 to 2.274 4 BHK: 2124 Duplex: 2. as buyers refrained from making any new investments on expectations of a possible price correction. around 1.751 to 4.250 2 BHK: 941 3 BHK: 1.

Commercial Office Sector In 4Q 2013. Some of the prominent projects that are nearing completion include Sri Avani in Ballygunge and Unitech Cascades in New Town. 31 .2%. respectively. The quarter witnessed total supply influx of 620. Developers have been offering cash discounts and freebies to lure home buyers and push up sales during the festive season.1-0. capital values remained stable in both mid and high-end segments across most submarkets. Rentals remained stable across main streets and malls owing to steady demand. The overall mall vacancy in the city further dropped by 0. The new supply was concentrated in peripheral submarkets of Salt Lake and Rajarhat. Around 3. The mall has dedicated zones for luxury and premium lifestyle brands and is the first of its kind in the Eastern region. contributing 56% and 44%.4 percentage points and was recorded at 3. respectively. as a mall became operational in the South Central location during this quarter. Retail Sector The fourth quarter of 2013 witnessed healthy demand in both main streets and malls.800 units in various projects are expected to be completed in 1Q 2014. The total mall stock in the city increased by 440. accessories.000 sf. Retailers from apparel. Peripheral submarkets of Salt Lake and Rajarhat continued to have majority share in the total net absorption with 72% and 14% share. all of which was Grade A and almost thrice that of the previous quarter. VIP road was the most active main street too witness leasing from retailers of jewellery. declining on the back of healthy leasing activity and the new mall becoming operational with more than 95% occupancy. more than half of these are concentrated in North-east submarket. respectively to the total net absorption. overall vacancy level witnessed an increase of 1. The net absorption was higher by about 21% over the previous quarter primarily due to large transaction from IT-ITeS and engineering and construction (E&C) sectors that contributed 52% and 33%. Weighted average rentals remain in similar range as those of the preceding quarter with minor drop of 0. accessories and apparels segments.1 percentage points over the previous quarter and was noted at 24. jewellery and electronics segment were the most active and leased out spaces in various parts of the city.7% across submarkets. the commercial office sector witnessed an uptick both in supply as well as demand. with almost 97% in Grade A developments.000 sf. owing to new supply influx.9% at the end of 4Q 2013. In 4Q 2013.000 sf. primarily due to subdued sales activity in the primary as well as secondary markets.Under Construction Residential Property Update In 4Q 2013. Total net absorption was noted at over 216.

The retail sector is expected to continue to witness healthy leasing activity in 1Q 2014. North-east submarket and Southern peripheral locations such as Narendrapur. The office space sector is expected to witness an infusion of around 1. A little over one-third of this was expected in the last quarter of 2013. but the overall vacancy level is also anticipated to increase considering the huge supply pipeline. Also. Weighted average rentals are expected to remain stable with slightly downward pressure in Salt Lake micromarket. currently in pre-launch stage. the quarter may witness more international brands venturing into Kolkata as the city’s first luxury mall became operational in 4Q 2013. more than half of the anticipated supply would be concentrated in the peripheral submarkets of Salt Lake and Rajarhat. Sonarpur and Joka are likely to see majority of new launches as a number of projects. the new launch activity in residential sector is expected to remain similar to that witnessed in 4Q 2013. Also. However. Net absorption is expected to improve further in the coming quarter.7 msf of new Grade A supply in 1Q 2014. owing to high vacancy levels existing. the South-east submarket might witness a marginal appreciation in both mid and high-end segments owing to new project launches at higher price points. marginal appreciation might be witnessed in the main-street of VIP Road owing to healthy leasing activity and increased enquiry levels. 32 . Mall inventory is expected to increase by about 120. but got deferred to the new year due to slow pace of construction amid subdued demand. with continued focus on mid-end segment. considering the significant enquiry levels. However.000 sf as the Lake Mall that is partially operational as of now is expected to become fully operational by next quarter. Rentals may continue to remain stable across most main streets and mall submarkets.Outlook In the first quarter of 2014. are anticipated to be launched in the next quarter. Capital values are likely to remain stable across most locations as the sales activity is expected to take 3-6 months to pick up.

Preference for ready projects remained high among end-users due to a large number of underconstruction projects facing approvals and execution delays. The IT-ITeS sector continued to remain the largest driver (68%) of transaction activity.500 units launched during 4Q 2013. followed by Education (13%). However. 33 .Mumbai MARKET OVERVIEW Mumbai witnessed a total of approximately 5. Lower Parel (24%). Prime main-street locations like Lokhandwala (Andheri). The commercial office sector in Mumbai witnessed an overall net absorption of 1. The decline in launches was due to developers delaying projects in order to reduce current unsold inventory. a decline of 23% from the previous quarter. followed by Thane (15%) and Central Mumbai (8%). Most of the new launches during the quarter were in the lower end of the existing capital value ranges in various locations resulting in healthy demand levels for them. New launches during the quarter were primarily concentrated in the Western Suburbs (72%). Mainstreet rentals in Thane corrected by 4% during the fourth quarter due to landlords reducing rents to attract tenants to vacant spaces. Ghatkopar and Thane also resulted in q-o-q rental appreciation of 2-5% at these locations. FMCG (5%) and Logistics sectors (5%). Fort. Malad/Goregaon (18%) and Thane (17%).13 million square feet (msf) during the fourth quarter. mall rentals at Mulund declined 16% during the quarter with developers lowering rentals in select developments which possess high vacancy levels. Source: Cushman & Wakefield Research Represents Mid and High End segments READY RESIDENTIAL PROPERTY VALUES IN DECEMBER '13 TRENDS AND UPDATES Ready Residential Property Update Capital values continued to remain stable across most locations in Mumbai during the quarter. with rentals appreciating in the range of 2-7%. witnessing a q-o-q decline of 1%. High demand for space and declining availabilities in mall locations like Lower Parel. Fountain and Kemps Corner witnessed healthy activity during the quarter. Majority of the netabsorption was concentrated in Grade A developments in the sub-markets of Thane-Belapur Road (31%). Limited ready availability in sub-markets like South-Central and North Mumbai could result in capital values appreciating at these locations.

50.0 48.0 .83.0 28.0 .40.0 .70.0 48.0 27.0 10. Malabar Hill.75.0 46.5 . Juhu.0 .0 .14.0 40.0 8.0 .0 35.0 Source.0 .70. Nariman Point.5 25.Cushman and Wakefield Research Note: The above values for high-end segment typically include units of 2.0 42.0 24.5 10.0 .5 .0 .0 20.16.13.22.0 20. Santacruz (W).0 .0 34.10.18.0 .0 15.0 .5 .32.0 .0 .0 .0 Central North Far North North East 33.0 15.66.83.12.0 48.0 .0 45.5 .0 43.0 .0 48.0 27.16.0 34.0 35.75.0 8.30.0 30.30.0 8.0 .0 46.0 16.0 11.48.0 8.0 .0 . Far North: Andheri (W).0 14.0 22.35.0 45.500 sf for South.0 45.0 .8.0 .18.26.4 15. Pedder Road.5 .0 .0 .0 13.0 .14.0 . Lower Parel/ Parel North: Bandra (W).0 .5 25.5 6.37. Far North and North-East Average Capital Values – Mid Segment (INR'000/sf) Location South 2008 27.0 30. Carmichael Road.0 23.5 .0 .22.0 .0 6.45.27.0 43.5 10.5 17.0 12.12.13.5 .58.0 45.0 .0 .22.0 .0 .0 .5 10.65.54.0 .12.0 .14. etc.0 .0 30. etc.30.5 .52. Central and North and units of 900-1.0 28.19.5 . Central: Worli.40.0 .0 20.0 10. Khar (W).5 .0 .37.52.45.0 .12.0 35.83.11. Cuffe Parade.0 27.5 7.0 24.0 .78.0 6.000 sf for South.0 . North-East: Powai 34 .4 .0 9.5 10.0 .0 14.0 16.0 .27. Napeansea Road.32.0 . etc.0 .28.0 . Central and North and units of 1.0 11.65.0 9.0 46.18.40. Malad.0 15.78.0 43.52.25.0 .400 sf for Far North and North-East Key to Locations: South: Colaba.0 .0 46.0 22.0 .0 .000 sf for North (Santacruz & Juhu).0 9.5 . South Central: Altamount Road.0 43.0 .0 .0 8.0 10.0 40.0 12.0 12.12.0 .75.0 16.48. Breach Candy.40.58.18.16.0 18.0 .0 .0 .37.0 .48.0 .0 45.0 .14.0 28.58.0 .0 8.22.0 .58.0 .0 .65.5 17.18.22.0 .0 .0 35.12.0 .43.Average Capital Values – High End (INR ’000/sf) Location South 2008 2009 2010 2011 2012 1Q 2013 2Q 2013 3Q 2013 4Q 2013 43.0 .0 45.0 .0 .7.0 .0 40. Churchgate. South-Central.75.650-3. etc.0 .0 12.0 2009 2010 2011 2012 1Q 2013 2Q 2013 3Q 2013 4Q 2013 28.50.0 .18.58.67.16.0 South Central 47.0 42.0 .65.0 .0 .16.5 .5 .8. South-Central.0 .34.0 32.0 Central North Far North North East 18.5 10.0 40.400-2.0 46.5 Source: Cushman and Wakefield Research Note: The above values for mid-end segment typically include units of 1.0 .55.0 23.0 .0 6.0 .31.0 . Goregaon.70.30.53.0 .5 .0 18.0 .0 . Prabhadevi.14.0 .58.500-6.0 48.5 .24.18.0 .50.30.0 .0 28.48.40.0 28.55.0 .0 South Central 34.0 12.0 .0 10.60.40.45.0 .0 30.55.0 .40.9.0 .25.0 14.

800 1 BHK: 361 2 BHK: 525 Omkar Alta Monte Tower B Anchor Park Phase II Avant Grande Malad Nalasopara Mira Road 605 588 528 Apartment Apartment Apartment Sheth Midori Solitaire Sheth Developers Wadhwa Developers Dahisar Thane 468 308 Apartment Apartment Callisto Avenue 2 Lodha Metropolis L&T Realty Sunteck City Lodha Developers Parel Goregaon east Wadala 270 240 236 Apartment Apartment Apartment Ariana and Claron L&T Realty Powai 200 Apartment Evergreen Heights Wadhwa Developers Kalwa Ghodbunder Road Parel Kalwa Ghodbunder Road Byculla Andheri Bandra 160 132 120 110 100 72 60 60 Apartment Apartment Apartment Apartment Apartment Apartment Apartment Apartment Signature Residences Shree Tirupati Group Kalpataru Avana 9 Riviera Hills Harmony Sky suits Vardhaman Flora Mayfair Akshay KUL Radiance Kalpataru Group Ishaan Developers Harmony Lifestyle Vardhaman Developers Mayfair Developers Kumar Urban * Estimated and as per market information 35 .431 to 1.085 4 BHK: 2.500 to 4.292 Type Apartment Area of Units (in sf) 2 BHK: 1.439 3 BHK: 1.New Residential Launches Approximately 5.5 BHK: 833 3 BHK: 968 2 BHK: 1.395 1 BHK: 738 2 BHK: 1.060 3 BHK: 2.100 2 BHK: 1.540 3 BHK: 1.250 3 BHK: 1. Sheth Developers Omkar Developers Anchor Realty ANA Realty Location Malad Number of Units* 1. L&T Realty and Sunteck Realty launched an additional phase in their projects at Powai and Goregaon respectively.225 3 BHK: 2.638 to 2.5 BHK: 1.200 3 BHK: 1.775 2 BHK: 899 to 1.250 2.040 2 BHK: 664 2.400 to 4.091 3 BHK: 1. The Thane submarket also continued its contribution to new launch activity with projects at Ghodbunder Road and Kalwa.805 to 2. Launches in the Dahisar-Mira road belt also remained high with nearly 1.061 2 BHK: 985 to 1.525 2 BHK: 1. Project Name Auris Serenity Developer Transcon Developers.000 units launched by Sheth Developers and ANA Realty.100 4 BHK: 3.510 to 2.235 1 BHK: 414 2 BHK: 652 1 BHK: 680 2 BHK: 1.300 to 1. Most new launches were in highend projects in the western suburbs of Mumbai.830 1 BHK: 585 2 BHK: 820 1 BHK: 895 2 BHK: 1.895 1 BHK: 698 3 BHK: 1.400 2.084 4 BHK: 5.916 1 BHK: 600 2 BHK: 950 3 BHK: 1.555 2 BHK: 1. a decline of 23% from the previous quarter.500 units were launched during the fourth quarter.5 BHK: 1.

3% at the end of Q4 2013. Approximately 51% of the new supply was in an IT-SEZ development located along Thane-Belapur Road. Fort. Fountain and Kemps Corner along with healthy demand from key sectors like apparels and Food & Beverages (F&B) resulted in rentals appreciating during the quarter. overall vacancies declined by 0. 36 . it declined by approximately 32% compared to the fourth quarter of 2012.1 percentage points and were recorded at 15. Commercial Office Sector Mumbai witnessed an overall supply of 974. demand is also likely to gradually rise across the city. Demand for space in main-streets in prime residential locations of Lokhandwala (Andheri). With no mall supply during the quarter in Mumbai. Net-absorption is expected to remain stable with healthy take-up expected in suburban and peripheral locations such as Andheri. A few developers are also offering attractive discounts in under construction projects. Thane-Belapur Road and eastern suburbs. Vashi and Borivali. This was primarily due to the developers delaying completions in order to achieve adequate occupancy rate in their projects. Link Road. Dadar and Vikhroli.000 sf during the quarter. With limited transaction activity in malls at Malad. Main-street rentals continued to remain stable at Colaba. due to limited transaction activity.Under Construction Residential Property Update Western and central suburban locations witnessed healthy construction activity during the quarter. Although supply was more than double of the previous quarter. Fresh commercial office supply of 3. both of which are expected to become operational in the first quarter of 2014 have led to increased retailer interests for main-street locations in Chembur. especially in the premium segment with an aim to liquidate unsold inventory. The high supply could result in increasing vacancy levels and downward pressure on rental values in select micromarkets of Mumbai. Goregaon and Vashi. rentals continued to remain stable during the quarter. Rise in unsold inventory in high-end submarkets like Lower Parel has resulted in pressure on capital values with prices correcting in a few projects. Malad and Goregaon could result in higher rentals in the upcoming quarter. As economic fundamentals are expected to improve in the second half of 2014. Capital values in under-construction projects continued to remain stable during the quarter. Retail Sector Low availability of quality spaces at established locations like Lokhandwala (Andheri). Developers refrained from any price hikes as they are likely to bear a negative impact on demand. Low vacancies and high demand for space in mall locations like Lower Parel. Borivali and Vashi is expected to increase in the coming quarters due to high demand from apparels. of which one-third was in Grade A developments. Rentals at Linking road also remained stable during the quarter despite increased enquiries for space from retailers. Growing residential real estate coupled with infrastructure initiatives like the Chembur-Santacruz link road and mono-rail. electronics and F&B sectors.3 msf is expected to become operational in the first quarter of 2014 in the micro-markets of Goregaon. A few developers who have delayed launches are expected to launch new projects in the first quarter of 2014. Kurla. Outlook Demand for residential apartments in Mumbai is likely to remain subdued during the first half of 2014 and could result in price corrections in a few underconstruction projects in select locations.

The quarter also witnessed pre-commitments of nearly 500. Similarly. Over the year. especially in the apparels and Food & Beverages (F&B) categories. mall rentals in most locations except Ghaziabad and West Delhi witnessed a y-o-y increase. In 4Q 2013.5 msf. However.2 percentage points to 13. More than 60% of the new units launched in 4Q 2013 were in the affordable segment. Although a few prominent malls in South Delhi and Gurgaon saw high churn. the rentals across micro markets maintained status quo on a q-o-q basis. Grade A absorption also increased by more than four times over the previous quarter. The NCR witnessed Grade A Office space supply of over 4.National Capital Region MARKET OVERVIEW With decreasing number of launches every quarter.000 sf. Rental values too remained stable in both mid and high-end segments across markets as landlords kept their focus on retaining tenants rather than increasing rents owing to increase in supply in the coming months. the highest in 2013. At 1.7 msf.7% in the previous quarter.6%. majority by IT-ITeS and FMCG companies. capital values remained stagnant in Gurgaon and Noida owing to continuous launches of new units at prevailing market rates. Demand too remained sluggish in the fourth quarter with capital and rental values remaining stable over the previous quarter in all markets of NCR. With no new mall supply. Rentals across all main street locations remained unchanged over the previous quarter. Source: Cushman & Wakefield Research Represents Mid and High End segments READY RESIDENTIAL PROPERTY VALUES IN DECEMBER '13 TRENDS AND UPDATES Ready Residential Property Update Subdued transactions across South and Central Delhi led to stagnant capital values. while the leasing activity was registered at 4. new launches were about 8. the vacancy levels declined by 1. The fourth quarter of 2013 witnessed continued interest amongst retailers for quality mall spaces. due to limited availability and no new mall supply.000 units.5 msf as a number of occupiers from the IT-ITeS sector relocated and consolidated operations to achieve cost and operational efficiencies in suburban locations. new unit launches in the year 2013 declined by 33% compared to 2012. 18% less than the previous quarter. from 14. net absorption was noted at 3. 37 .0 msf in the fourth quarter.

0 60.0 11. Prithviraj Road.10. Safdarjung Enclave.0 .50.0 .23.8 .60.0 . Kailash Colony.2 3.34.0 .0 50.23.8.2 .0 24.0 4. Golf Links.43. Sunder Nagar. Many developers deferred the official launch of their projects to next year.0 .5 . Sarvapriya Vihar.0 .5 .6.7.20.0 15.5 4.3 .0 18.I.5 4. Westend.5 25.5 4.0 .80.0 45.5 7.0 Source: Cushman and Wakefield Research Note: The above values for mid-segment typically include units of 1.0 .5 .27. Sikandara Road.0 5.0 .2 .0 .27. Central: Jorbagh.28.0 25. with 8-10 projects being currently in the soft launch stage. New Gurgaon and Dwarka Expressway.0 40. New Residential Launches The new unit launches in the fourth quarter declined by 18% from the previous quarter.0 .8 .32.0 .21.0 25.60.40.0 25.0 .0 25.5 5.32.0 .9.0 .0 8.60.0 .0 25.8 .5 10.0 .0 .0 .11.50. Tees January Marg.0 . Safdarjung Development Area.6 .0 . Approximately 80% of the new units were launched in Greater Noida. Saket.90.0 21.90.1 6.0 25. Kalindi Colony.5 4. South Central: Defence Colony.0 19. Greater Kailash .000-4.0 .3 – 12.0 South Central 20.32.0 25.5 5. Asiad Village.0 .6 5.16. Amrita Shergil Marg.0 .0 .0 27.0 2009 14. Green Park.5.0 .000 sf Key to Locations: High-end Segment: South-West: Shanti Niketan.0 .5.5 Source: Cushman and Wakefield Research Note: The above values for high-end segment typically include units of 2. Aurangzeb Road.0 60. Greater Kailash – II.35.29. Gulmohar Park.90.0 .5 .0 .0 .0 .0 45.0 – 6. Tilak Marg.5 .0 25.8.35.0 -30.11.45.40.35.5 – 20.0 6.0 . Mid-Segment: South-East: New Friends Colony.5 .0 18.6.0 . primarily in the affordable and mid-end segments.0 50.2 7.0 6.0 25.0 .0 25.57.30.35.2 .0 45. Navjeevan Vihar.0 .30.6. Ferozshah Road.8 6.5 3.0 11.0 .30.0 27.0 60.0 .5 .0 .0 .11. Anand Lok.0 5.18. Maharani Bagh. most of the new units were launched in peripheral locations like Greater Noida (West). Mann Singh Road.2 5.6.0 25.60.16.0 .0 25.5 .5 .40.Average Capital Values – High End (INR '000/sf) Location South-West South-East 2008 2009 2010 2011 2012 1Q 2013 2Q 2013 3Q 2013 4Q 2013 28.24. Chanakyapuri.0 .0 42.0 25. Ishwar Nagar. Overall in 2013.30.0 27.0 3.0 .0 27.50.5 6.0 .0 . Geetanjali Enclave.5 7.0 .35.0 . Soami Nagar.2 .0 36. Vasant Vihar South-East: Friends Colony East.9.0 Central Gurgaon Noida 45.0 .0 . Panchsheel Park.0 21.9.5 .0 25.50. Friends Colony West.11.6 .60.5 .5 2010 2011 2012 1Q 2013 2Q 2013 3Q 2013 4Q 2013 15.0 .90.30.5 7.0 60.0 . 38 .5 4.4. Mayfair Gardens.8. South Central: Uday Park. Sukhdev Vihar. Pamposh Enclave.000 sf Average Capital Values – Mid End (INR '000/sf) Location South-East South Central Gurgaon Noida 2008 14. Anand Niketan.23.5 20.45.2 .65. Hauz Khas Enclave.0 25.0 50.0 .5 11.5 .600-2.0 29.0 .0 .50.5 6.0 25.7.5 .2 6.0 .6.0 . Sarvodaya Enclave.0 – 45.0 60.5 3.6. Niti Bagh. Panchsheel Enclave. Nizamuddin.0 5.0 27.2 – 5.0 .50.0 11.2 – 6.11.7.0 50.0 25.20. primarily in the affordable segment.0 .25.35.5 4.5 .5.50.8 .30.40.0 5.33.0 27.

860 3 BHK: 1. Gurgaon 660 646 528 512 506 421 Apartments Apartments Apartments Apartments Apartments Apartments Kings Valley 48 Canvas M3M Supertech 152 56 Apartments Apartments * Estimated and as per market information Under Construction Residential Property Update Developers focussed on completing under construction projects and building market credibility. Gurgaon Number of Units* Type 1. Noida Jaypee Sports City. Even with increased net absorption in the fourth quarter. Ltd Microtek Group Location Yamuna Expressway Sector 16 C.370 2 BHK: 1.600 3 BHK: 2. Commercial Office Sector Supply in the fourth quarter increased by more than three times over the previous quarter.405 to 1.200 3 BHK: 1.735 4 BHK: 2. Greater Noida Sector 79.561 to 1. in the wake of 39 slow economic growth in the country.350 2 BHK: 760 to 960 3 BHK: 1.8 percentage points as net absorption did not keep pace with the supply.048 to 1.040 924 720 700 Apartments Apartments Apartments Apartments Apartments Area of Units (in sf) 2 BHK: 1.575 2 BHK: 1. At 42%.150 3 BHK: 1. Greater Noida (West) Sector 70A.722 2 BHK: 1.104 1. the IT-ITES sector had the highest share of Grade A absorption. Gurgaon Sector 2.495 to 1. Owing to pile up of inventory and slow rate of uptakes. Approximately 50% of new supply was in commercial office space category.400 1 BHK: 566 2 BHK: 900 to 1. Noida Extension Sector 4.885 2 BHK: 950 to 1. Ltd Mahagun Dewa Coloniser Pvt.160 2 BHK: 1.480 3 BHK: 1.685 4 BHK: 1.005 3 BHK: 1. weighted average rental values appreciated across all markets as supply with relatively lower rents saw absorption. More than 35 projects across Delhi-NCR are scheduled for completion in the next quarter. the total net absorption for the year recorded a decline of 20% from 2012. the overall vacancy level in Grade A properties increased by 1.656 2 BHK: 1. followed by Consulting (13%) and Engineering sectors (9%).105 3 BHK: 1.100 4 BHK: 3. Greater Noida (West) Sector 86. However.818 to 1.355 to 1. a sizeable amount of units are likely to be completed in 1Q 2014.475 to 1. Ltd Sector 67A.179 3 BHK: 1. Greater Noida (West) Sector 10.225 3 BHK: 1.185 3 BHK: 1.150 3 BHK: 1. Yamuna Expressway Sector 10.025 to 1. which led to softening of rentals across most markets.280 to 1. .Project Name Allure Smart Homes (14th Avenue) Amaatra Homes Novena Greens Greenburg Developer ATS Greens Gaursons Amaatra Group Sachdeva Buildcon+ Woodhill Homes Pvt.285 4 BHK: 3. Gurgaon Sector 79.395 to 1. followed by 25% in IT Parks and 24% in IT SEZs.690 2 BHK: 1. resulting in mainly higher priced spaces being currently available. Greater Noida (West) Techzone 4. Although net absorption increased significantly in the fourth quarter. While some of them may get deferred to later dates. developers continued to offer discounts and attractive payment schemes to attract end-users and investors.050 to 1.895 to 2.620 Verasalia Greenshire Stadia MSA Circuit Heights Mahagun Mantra Kings Valley Ansal API Nirala Group Civitech MSA Developers Pvt. amongst others. over the year.

More than 2. of which 60% belongs to commercial space category.0 million square feet (msf) of new mall supply is scheduled for completion in the next year. with a number of national and international brands like Croma. Outlook In the residential sector. strategizing their presence in the market to optimize costs. Apple. rental values strengthened in select main street locations like Connaught Place. Westside.Retail Sector Both malls and main streets witnessed resizing and relocation of stores. etc. Over the year. 40 . possibly leading to a slight rental appreciation. Increasing vacancy levels and cautious sentiments among occupiers is likely to soften rentals across peripheral markets of the NCR. Approximately 7. The next quarter is expected to witness an increase in churn of retail spaces as a number of leases will be due for renewals in prominent malls in South Delhi. The rentals remained stable from the previous quarter in both malls and main streets. Gurgaon and Noida too are expected to witness stable rental and capital values in the coming months with prices moving marginally only in select locations or projects. DLF Galleria (Gurgaon) and Rajouri Garden due to persistent demand and limited availability of quality stock. capital and rental values are expected to stay stable in the forthcoming quarter due to the wait-and-watch strategy adopted by buyers. Steady demand in main street locations is likely to keep rentals unchanged during the next quarter. which may adversely impact vacancy levels and rentals in micro markets where the new malls become operational. Completion of projects is expected to put downward pressure on the prices of under-construction projects across Gurgaon and Noida. The Collective.8 msf of office space is scheduled for completion in the first quarter of 2014 across Delhi and Gurgaon.

secondary markets witnessed stability in capital values during the quarter across the city. due to the slowdown in transaction activity. Only select prime projects witnessed a minor appreciation in resale capital values due to limited availability of similar ready projects by reputed developers in the locality. while Phase 2 for the same project was launched earlier during the second half of the year. Overall vacancy levels dropped by 0.Pune MARKET OVERVIEW Pune’s residential real estate market witnessed new launches of nearly 3. primarily due to subdued demand in the wake of overall economic slowdown. similar to the previous quarter depicting stability in launch activity. The quarter witnessed the completion of Phase I of Tuscan Estate in Kharadi.3 percentage points. 2013 yearly trends indicated an improvement of 15% in net absorption for All Grades and 21% for Grade A spaces. Capital and rental values continued to remain stable during this period. However the new unit launches declined 20% on a year-on-year (y-o-y) basis. amidst the subdued demand.000 sf of commercial space. registering a decline of nearly 64% q-o-q.000 sf during the same period. mall spaces witnessed a slight correction in rental values. 41 . mainly due to the slowdown in economic activity. The retail sector rentals witnessed a mixed trend during this quarter. No new supply and stable transaction activity contributed to a q-o-q decline of 4. which has resulted in a cautious approach being adopted by the developers. Grade A net absorption also fell by 76% to 290. due to higher net absorption compared to the new supply during the quarter.780 units in the last quarter of 2013. However.000 sf during 4Q 2013. Mid-segment accounted for approximately 57% of new launches during the quarter. The last quarter of 2013 saw an infusion of nearly 183.2 percentage points in mall vacancies. Source: Cushman & Wakefield Research Represents Mid and High End segments READY RESIDENTIAL PROPERTY VALUES IN DECEMBER '13 TRENDS AND UPDATES Ready Residential Property Update Overall. While rentals for most of the main street locations remained stable. Commercial office space sector recorded a net absorption of nearly 470.

0 4.5 3.775 3.172 1 BHK: 611 2 BHK: 1.5.10.0 5.5.0 Aundh Baner Wakad Kalyani Nagar Wanowrie.0 4.10.6 .2 5.780 units were launched in the fourth quarter of 2013.3 .6.400 sf New Residential Launches Nearly 3.3. Kondhwa 3.6.0 – 10.5 BHK: 1.5 3.11.5.6 2010 9.2 NA 7.3.14.0 12.0 14.0 .0 .0 .5 7. Boat Club 4.8 .2 .000 sf Average Capital Values – Mid End (INR '000/sf) Location 2008 2009 4.6 13.7 7.8.7.5 .0 9.8.0 .0 .0 – 10.10.0 2Q 2013 8.0 .0 3.0 14.0 .6.4.5.1 NA 7.0 .0 .0 .5.0 4.17.0 5.8 .0 .5 .662 1 BHK: 686 2 BHK: 1.0 8.0 .6 .4.10.0 5.0 6.0 .11.0 . Locations like Hinjewadi.550 to 2.0 8.0 Koregaon Park.7.5 2011 2012 1Q 2013 2Q 2013 3Q 2013 4Q 2013 Koregaon Park.6.400 sf.0 .5 Wanowrie.5 .0 5.7.0 8.5.6 .0 .6.9 .14.5 3.0 4.5 .0 14.6.0 .8 .3 .6.0 1Q 2013 8.0 .7 7.12.7.2 .6.10.5 8.5 .0 6.0 .5 4.023 4 BHK: 2. Kondhwa 3.649 to 1.17.4.0 4.8 4. Majority of the launches in this quarter were 2 BHK configurations with average sizes varying from 700-1. Hadapsar and Mundhwa contributed 20%.200-1. Number of Units* 798 Project Name Megapolis Mystic Developer Pegasus Properties Location Hinjewadi Type Apartment Area of Units (in sf) 2 BHK: 1.0 .17.0 .5.1 2010 6.4 .8 .0 .5 .0 .2 2.0 .5 – 7.5 4.5 7.0 .0 .0 6.0 4.7 .6.4.0 12.9 .3.0 .0 12.0 8.5.8 .2 3.723 to 1.0 .0 .0 . Mahalunge and Bavdhan along the NH-4 Bypass stretch contributed 30% to new units launched during the quarter.10.10.14.0 8.0 .5 .0 .0 – 10.5.14. followed by 15% contribution from South-eastern areas like NIBM.7 7.0 .0 .0 6.0 6.4. Kondhwa and Undri.12.6. NIBM.0 .0 .5.0 .5 5. Mid-segment accounted for 57% of these new launches.0 .5.5 8.3.0 9.5 .0 12.5 2012 8.12.8 2.0 4.5 2011 6. Boat Club 9.6.15.5 .5 2.6 2.15.7.318 3 BHK: 1.5.10.10.0 .6.5 .0 3.7 5.0 . almost at par with the number of units launched in 3Q 2013.0 5.0 – 10.7 .0 – 6.5 14.6.Average Capital Values – High End (INR '000/sf) Location 2008 2009 8.8.0 .0 5.650-3.4.0 .5 .5.0 4.2 Source: Cushman and Wakefield Research Note: The above values for mid segment typically include units of 1.6.0 .8 4.8.8.0 5.0 .5.0 6.0 .0 4.5 .6.529 4 BHK: 2.4.0 .5 6.8.0 8.0 .0 4.3.9.0 .5 Source: Cushman and Wakefield Research Note: The above values for high-end segment typically include units of 1.7 Aundh Baner Kalyani Nagar 4.0 6.0 4.2 .0 .5 .8 .5 . Ltd Pirangut Undri Mundhwa 250 194 193 Apartment Apartment Apartment 42 .7.231 3 BHK: 1.2 5.5 4.232 2.17.5 BHK: 1.562 1 BHK: 610 2 BHK: 740 to 953 2 BHK: 810 to 1.0 .0 .0 .2 5.0 .212 to 1.0 3Q 2013 8.0 4.0 4Q 2013 8.3.5 .228 to 1.7 .0 – 10.7.9.432 3 BHK: 1.5 4.0 12.5.13.0 8.080 3 BHK: 1.6.351 1 BHK: 463 to 515 2 BHK: 694 to 758 3 BHK: 787 to 817 Amanora (Neo Towers) Amanora Hadapsar 545 Apartment Metro Jazz Elite Landmarks Mahalunge 260 Apartment Briz Ira Venkatesh Graffiti (Block B and E) Gokhale Constructions Mantra Properties Shree Venkatesh Buildcon Pvt.8.2 5.2.0 14.314 to 1. NIBM Road.17.0 .0 .5 3.976 to 2.5.4.6.0 8.0 4.0 5.

The IT-ITeS sector contributed to 58% of the absorption. while the dip in vacancy levels contributed to a marginal fluctuation in the weighted average rentals across micro markets.000 sf indicating a prevalent trend of relocation and consolidation amongst occupiers.110 3 BHK: 3433 4 BHK: 3.500 2 BHK: 977 to 1.052 4. Quoted rentals remained stable.5 BHK: 3.000 4 BHK: 4.050 1 BHK : 700 3 BHK: 1. Majority of the activity during 4Q 2013 was concentrated in Hadapsar. followed by 17% by the BFSI sector. NIBM and Kondhwa also witnessed a slight upward revision in capital values due to launch of new projects with better amenities. Balewadi. South-eastern areas like Wanowrie.825 4 BHK: 2.190 to 4.095 to 2.817 4. Kharadi and Wagholi in the North-east witnessed tremendous construction activity.799 to 3.582 1 BHK: 600 to 700 2 BHK: 800 to 1. Commercial Office Sector Pune witnessed 928.015 1 BHK: 545 to 810 2 BHK: 1050 to 1.335 3 BHK: 2. Kharadi and Viman Nagar. nearly 72% of which was in Grade A spaces. Bavdhan.500 5.Project Name Anshul Kosmas Ganesh Graceland Krishna Icon Phase II Raheja Vistas Premiere (Tower 6) Lodha Belmondo 24K Glamore ABIL Verde Orion Skywater Waterfront Homes Linea The Spires Developer Anshul Realties Ganesh Developers Krishna Construction Company K Raheja Corp Lodha Group Kolte Patil ABIL Real Estate Sobha Developers Ravinanda Landmarks Location Moshi Ambegaon Alandi NIBM Gahunje Undri Kalyani Nagar Kondhwa Wagholi Number of Units* 184 164 160 160 136 132 128 112 84 Type Apartment Apartment Apartment Apartment Apartment Apartment Apartment Apartment Apartment Area of Units (in sf) 1 BHK: 660 2 BHK: 877 to 925 1 BHK: 695 2 BHK: 985 to 1.5 BHK: 5. which commanded a higher base price. 43 . Mid-end capital values continued to remain stable during the quarter with a slight upward revision in lower limit of capital values range for micro-markets like Aundh.5 BHK: 3. The net absorption during the quarter totalled to approximately 470. Wakad and Mahalunge along the NH-4 Bypass.5 BHK: 4.000 sf of leasing activity during the quarter.647 3. Baner and Wakad.080 Dynamic Realty Pride Purple Group Wagholi Baner 72 62 Apartment Apartment Vela Enclave Gera Isle Royale Dahlia (Villas) Pristine Pacific Phase III Gera Isle Royale Verbana (Apartments) Natraj Group Gera Pristine Properties Gera Lohegaon Bavdhan Ambegaon Bavdhan 56 36 32 24 Apartment Villas Apartment Apartment * Estimated and as per market information Under Construction Residential Property Update Areas like Hinjewadi.5 BHK: 840 2 BHK: 950 to 1. Though the quarterly trends recorded a decline in leasing and net absorption.400 1 BHK: 645 to 655 1.090 1 BHK: 652 to 657 2 BHK: 896 to 916 2 BHK: 1. High-end capital values witnessed a slight appreciation in Kalyani Nagar due to the launch of a prime project in the locality.685 to 1.100 to 1.000 1 BHK: 800 2 BHK: 1.300 3 BHK: 3. the yearly numbers depicted a 36% and 15% rise in leasing and net absorption respectively.

which is likely to increase vacancies across submarkets considering that the transaction activity is likely to remain at par with the current year. Pisoli. Ganeshkhind Road and Hadapsar registered a decline of 4% to 9% during 4Q 2013. expected to be delivered in 1Q 2014. Approximately 5. launch activity in 2014 is likely to be at par with 2013. Main street rentals remained stable across majority of the micro markets in the city.2 percentage points in 4Q 2013 due to lack of new supply and good leasing activity. except Koregaon Park and Mahatma Gandhi (MG) Road which witnessed 3-4 % downward q-o-q revision due to existing demand-supply dynamics. Increase in demand from Food & Beverages (F&B) retailers and youth-centric brands contributed to 4% quarterly appreciation in Fergusson College (FC) Road rentals. Nagar Road continued to be the preferred mall location during the year. However. Near 2. except Koregaon Park which might witness a slight correction in rentals due to subdued demand. Kondhwa and along the NH-4 Bypass stretch.7 msf of office space supply is expected to be completed next year. Majority of these launches are likely to be concentrated in suburban and peripheral locations such as Wagholi. Overall vacancy levels in malls across the city declined by 4. with rentals likely to remain stable in the coming months. Vacancies are expected to increase amidst stable transaction activity and 780. Baner.3 msf of supply is Rentals for main street locations are expected to remain stable in the near future. The ITITeS sector is expected to continue driving the market activity in the near future. primarily due to subdued demand. 44 .Retail Sector Mall rentals in locations like Nagar Road and Camp remained stable while those in Koregaon Park. Undri. Outlook Capital and rental values are expected to remain stable in the coming months till the demand picks up and the economic scenario improves. Hadapsar.000 sf of supply expected in 2014. due to presence of quality malls with a good tenant mix. Mall rentals in Koregaon Park and Ganeshkhind Road are also expected to remain under pressure due to subdued demand.

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