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PROPERTY
INSIGHTS
India

Quarter 1, 2015

Improving Macro-economic Conditions; Positive Sentiments
INDIA MARKET OVERVIEW
India’s Gross Domestic Product (GDP) growth rate

GROSS DOMESTIC PRODUCT GROWTH RATE

(as per the new methodology) for the third quarter of
8.2% in the previous quarter to 7.5%. ‘Finance, real
estate and professional services’, and ‘electricity, gas,
supply and other utilities’ grew more than 7% in this

Growth Rate (%)

fiscal year (FY) 2014-15, slowed down marginally from

quarter. In this quarter, the construction sector’s
growth dipped sharply to 1.7%, a 5.5 percentage
points decline from the previous quarter. The

Source: Central Statistical Organisation, Govt. of India* (as per the revised estimates)

manufacturing sector also declined by 1.4 percentage
points from the previous quarter and stood at 4.2% in

Current Account Deficit (CAD) narrowed to 1.6%

the third quarter of FY2014-15. The agriculture,

of GDP in the third quarter of FY2014-15 from 2.0% in

forestry and fishing sector’s growth dipped 2.4

the previous quarter, primarily due to an improvement

percentage points and stood at 0.4%. The mining &

in net earnings through travel and software services,

quarrying sector grew by 0.5 percentage points from

and lower net outflows. HSBC India Purchasing

the previous quarter and was noted at 2.9%.

Manager’s Index (PMI) stood at 53.5 in March 2015, a

With inflation under control, the Reserve Bank of
India (RBI) reduced the repo rate from 8% to 7.75% in
January, followed by a further reduction to 7.5% in

marginal decline from 54.5 in December. The
manufacturing sector expanded at a rapid pace, whilst
the services activity slowed down marginally.

March 2015. The Cash Reserve Ratio (CRR) remained

Across the top eight cities1, total net absorption of

unchanged at 4.0% whilst the Statutory Liquidity

commercial office was around 7.9 million square feet

Ratio (SLR) was reduced by 0.5 percentage points to

(msf), a 13% decline from the previous quarter.

21.5% in March 2015. The Consumer Price Index (CPI)

Bengaluru (41%), Hyderabad (14%) and Mumbai (13%)

stood at 5.37% in February 2015, increasing

held the highest share in the net absorption. Pune

marginally from 4.28% in December 2014, but well

held 10.5% share of the total net absorption followed

below the RBI’s target of 8%. The Wholesale Price

by Chennai and Delhi-NCR, which accounted for 8-9%

Index (WPI) witnessed a further decline from -0.5% in

share each. Overall supply across top eight cities was

December 2015 to -2.06% in February 2015.

recorded at 7.43 msf, a 40% decline from the previous

1

Ahmedabad, Bengaluru, Chennai, Delhi-NCR, Hyderabad, Kolkata, Mumbai and Pune.

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quarter. Due to healthy leasing, the overall vacancy

the total unit launches. Capital values remained

levels across these eight cities dropped by 0.5

largely stable in both high-end and mid segment units

percentage points from the previous quarter, and was

of five cities including Ahmedabad, Delhi-NCR, Mumbai,

noted at 18.3% in the first quarter of 2015.

Kolkata and Pune, primarily due to existing high unsold

In the retail sector, across the top eight cities, only
Bengaluru witnessed new mall supply of 0.2 msf. A few
malls have deferred their completion timelines due to
construction delays and in some cases, due to delay in
obtaining required approvals. In the wake of low new
supply, the overall mall vacancies across the top eight
cities remained largely stable at 14.7%

inventory. Bengaluru and Chennai witnessed a 5-7%
capital value appreciation in the mid segment due to an
increase in demand. In Hyderabad, limited availability in
the high-end segment resulted in 3-6% capital value
appreciation in select submarkets. With downward
revision of repo rates and reduction in home loan
interest rates, housing demand is likely to increase in
the coming quarters.

In the residential sector, approximately 24,600
units were launched across the top eight cities in this
quarter, a 21% decline from the previous quarter.
Bengaluru had a major share of these unit launches at
17%, closely followed by Mumbai contributing 16% to

Trends & Updates
Economic Trends
The Consumer Price Index (CPI) increased

EXCHANGE RATE MOVEMENT (INR/USD)

marginally from 5.19% in January to 5.37% in
February 2015, however the inflation largely seemed

the repo rate - twice (0.50 basis points in total) in the

INR/USD

to be under control. In order to revive the economic
growth, the RBI reduced its benchmark lending rate first quarter of 2015, to 7.5%. The Cash Reserve
Ratio (CRR) remained unchanged at 4.0%. However,
the Statutory Liquidity Ratio (SLR) was reduced by

Source: RBI

0.5 percentage point from December 2014 to 22.5%
in March 2015.
The Wholesale Price Index (WPI) continued to

FDI INFLOW IN HOUSING AND REAL ESTATE SECTOR

witness a decline for the last four months, and was
noted at -2.06% in February 2015 from -0.5% in
products, manufactured goods, fuel and power. In
February 2015, food inflation was noted at 7.74%.
Although this was a marginal decline from January, it

INR Crore

December 2015, due to a decline in the prices of food

registered a 2.79 percentage points increase from
December 2014. The fuel and power inflation stood at 14.72% a further decline from -7.82% recorded in

Source: Dept. of Industrial Policy & Promotion, Govt, of India

December. Inflation for manufactured goods dropped
by 1.11 percentage points to 0.33% in February 2015.

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India’s GDP is projected to attain 7.4% growth at

BSE REALTY INDEX

the end of FY2014-15. With the government’s agenda
to boost infrastructure investments, and improve
anticipated to increase in the future periods.

Index

the business environment, private investments are

This quarter witnessed an improvement in the
Indian Rupee from INR 63.6 in December 2014 to INR
62.5 in March 2015, as against the US Dollar. The
rupee strengthened in this quarter primarily due to
increased inflows from Foreign Institutional

infrastructure), which was around INR 4,359 crores.

Investors (FIIs).

FDI doubled in January 2015 in comparison to the

The total FDI inflows in India were INR 155,489
crore during April 2014 – January 2015, of which
2.8% came in the construction development sector
(comprising townships, housing, built-up

same month last year, making it the highest inflow in
the past 29 months.
The BSE Realty Index increased by 130.57 points
to close at 1,664 points at the end of March 2015.

Residential Trends
Subdued demand led to stable capital values

RESIDENTIAL CAPITAL VALUES GROWTH INDEX

across submarkets in five of the top 8 cities. Select
submarkets in Bengaluru’s mid segment witnessed a
3-7% appreciation due a marginal increase in
demand, infrastructure improvements and addition
of new launches at a higher rate. These submarkets
include Central, West, South-east and East
Bengaluru. Due to availability of quality mid segment
housing, Chennai also witnessed a surge in demand

Source: Cushman & Wakefield Research

especially in Porur and Rajiv Gandhi Salai-I
submarkets.

In Hyderabad, capital values in the

NEW RESIDENTIAL UNIT LAUNCHES ACROSS LOCATIONS IN 1Q 2015

high-end segment of Banjara Hills and Jubilee Hills
appreciated between 3-6%, due to limited supply
amidst high demand.
In the first quarter of 2015, around 24,600 unit
launches were noted in the top eight cities; a 21%
decline from the previous quarter. This decline was
primarily due to high level of unsold inventory in many
cities.

Bengaluru (17%), Mumbai (16%), Chennai

Source: Cushman & Wakefield Research

(13%) and Pune (13%) witnessed the maximum
number of unit launches in this quarter. Unit launched

inventory and project delays due to non-receipt of

in Hyderabad and Chennai doubled from the previous

approvals. In anticipation of an increase in FSI in the

quarter. Ahmedabad also witnessed a 79% increase in

proposed Development Plan (DP) 2034 for Mumbai,

the total unit launches. In contrast, Delhi-NCR, Kolkata

developers held back new launches and focused on

and Pune noted a decline of 28-40% in total unit

completion of under-construction projects, which led

launches, due to existing high levels of unsold

to an 11% decline in unit launches during this quarter.
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Index
Ahmedabad...................................................................................

5

Bengaluru...................................................................................... 8
Chandigarh.................................................................................... 12
Chennai.......................................................................................... 14
Delhi - National Capital Region (NCR) .................................... 19
Hyderabad..................................................................................... 23
Jaipur ............................................................................................ 27
Kolkata.......................................................................................... 30
Mumbai........................................................................................... 35
Pune............................................................................................... 39

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Ahmedabad
Market Overview
Residential launches during 1Q 2015 were

READY RESIDENTIAL PROPERTY VALUES IN MARCH '15

approximately 1,750 units, an increase of 79% from
the previous quarter. Increase in number of units was
due to launch of a few large projects during the
quarter. Average number of units per project
increased from 122 in the previous quarter to 174
during the first quarter of 2015. Majority of the
projects launched in this quarter were Ground+10
storied or more. In a first of its kind, Disney themed
high-end villas were launched in the outskirts of the
city. Capital values remained stable from the previous

Source: Cushman & Wakefield Research

Represents Mid and High End segments

quarter due to high levels of unsold inventory.
The commercial office sector witnessed around
153,800 square feet (sf) of net absorption during the
first quarter of 2015, mainly in Grade A
developments. Net absorption declined by 59%
from the previous quarter and was concentrated in
the sub-markets of S.G. Highway (82%) and
Prahladnagar (18%). The IT-ITeS sector had the
highest share (42%) in 1Q 2015 leasing, down from
57% in the previous quarter. Supply also declined by
63% during this quarter to 216,000 sf, all in S.G.

Mall vacancy levels were noted at 33.3% in 1Q
2015, an increase of 1.2 percentage points from the
previous quarter. The increase in vacancy was due to
a few exits in select malls located in Kankaria and S.P.
Ring Road. Rentals in most malls remained stable,
except Kankaria where they declined by 16.7% due to
low demand. Transaction activity remained high in
main streets, especially along S.G. Highway where
apparel, lifestyle and automobile brands expanded
their footprint.

Highway submarket. Rental values largely remained
stable from the previous quarter.

Trends & Updates
Ready Residential Property Update
Capital values of ready residential projects
remained stable from the previous quarter. Majority

towards the upper range of the submarket capital
values.

of the newly completed ready projects were priced

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Average Capital Values – High-end Segment (INR '000/sf)
Location

2010

2011

2012

2013

2014

1Q 2015

Satellite

4.0 - 4.8

4.3 - 6.0

4.3 - 6.0

4.3 - 6.0

4.3 - 6.0

4.3 - 6.0

Vastrapur

3.7 - 4.0

3.7 - 5.0

3.7 - 5.0

3.7 - 5.0

3.7 - 5.0

3.7 - 5.0

S.G.Highway

3.7 - 4.3

3.7 - 4.5

3.7 - 4.5

3.7 - 4.5

3.7 - 5.0

3.7 - 5.0

Prahlad Nagar

4.2 - 5.3

4.2 - 6.0

4.2 - 6.0

4.2 - 6.2

4.2 - 6.2

4.2 - 6.2

Source: Cushman and Wakefield Research
Note: The above values for high-end segment typically include units of 2,000-4,000 sf

Average Capital Values – Mid Segment (INR ‘000/sf)
2010

2011

2012

2013

2014

1Q 2015

2.8 - 3.8

2.8 - 4.3

2.8 - 4.3

2.8 - 4.3

2.8 - 4.3

2.8 - 4.3

Vastrapur

2.6 - 3.5

2.6 - 3.8

2.6 - 3.8

2.6 - 3.9

2.6 - 3.9

2.6 - 3.9

S.G.Highway

3.0 - 3.8

3.3 - 4.3

3.3 - 4.3

3.0 - 4.3

3.0 - 4.3

3.0 - 4.3

Prahlad Nagar

2.8 - 3.6

3.2 - 4.2

3.2 - 4.2

3.2 - 4.3

3.2 - 4.3

3.2 - 4.3

Location
Satellite

#

#

Source: Cushman and Wakefield Research
Note: The above values for mid segment typically include units of 1,200-1,800 sf
#
Limited availability at quoted values

New Residential Launches
New unit launches declined by 79% from the

whilst 33% to the high-end segment. Western

previous quarter and around 1,750 units were

peripheral locations such as Bopal, South Bopal and

launched in 1Q 2015. Average project size also

Ambli dominated the launch activity with a 47%

increased from 122 units in the previous quarter to

share. 3 BHK configurations had the maximum

174 units in this quarter. Around 65% of units

contribution to new launches with a 43% share

launched in this quarter catered to the mid segment

followed by 2 BHKs (28%) and 4 BHKs (22%).

Project Name

Developer

Location

Number of Units*

Type

Area of Units (sf)

Aaryan Gloria

Aaryan Builders

Bopal

560

Apartments

2 BHK: 999 to 1,435
3 BHK:1,440

Upland Villas

Arvind
Infrastructure

Nasmed

280

Villas

4 BHK: 2,925 to 3,870
5 BHK: 4,950 to 6,075
6 BHK: 9,900

Gala Eternia

Gala
Infrastructure

Thaltej

216

Apartments

3 BHK: 1,385 to 1,745

Savvy Swaraaj

Savvy
Infrastructure

S.G. Highway

208

Apartments

2.5 BHK: 1,380
3 BHK: 1,730

Binori Grandeur

Binori Buildcon

Ambli

152

Apartments

4 BHK: 2,995

Binori Gracia

Binori Buildcon

South Bopal

102

Apartments

3 BHK: 1,435

Binori Mable

Binori Buildcon

Prahladnagar

52

Apartments

3 BHK: 1,965

Dev Atelier

Dev Group

Prahladnagar

50

Apartments

3 BHK: 2,164

Indraprasth Kadamb

Deep Group,
Vedant Developers

Prahladnagar

42

Apartments

4 BHK: 3,000

Sepal Elegant 2

Swetalee
Developers
& Sepal Buildcon

Chandkheda

42

Apartments

1 BHK: 756
2 BHK: 1,008 to 1,026

Setu Scarlet

Setu Infracon

Motera

36

Apartments

3 BHK: 2,070

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Under Construction Residential Property Update
Peripheral locations along S.G. Highway and Bopal

activity during the quarter. Capital values across most

and areas in north Ahmedabad such as Chandkheda,

submarkets remained stable from the previous

Motera, etc. witnessed significant construction

quarter.

Commercial Office Sector
Ahmedabad witnessed 242,000 sf of supply

outright purchases by local traders was also

during this quarter, primarily in the S.G. Highway

prominent during the quarter. Continued

sub-market. Leasing of 153,800 sf was noted during

transaction activity led to a quarterly decline in

the quarter with the IT-ITeS sector having the

Grade A vacancy levels by 1.7 percentage points and

highest share at 42%, followed by the chemicals

was noted at 33.4%. Rental values remained stable

sector at 34%. Transaction activity in the form of

from the previous quarter.

Retail Sector
Low transaction activity led to an increase in mall

due to which transaction activity may improve in the

vacancy levels, which were noted at 33.3% in 1Q

coming year. Quick Service Restaurants (QSRs) such

2015. Lack of quality spaces and upkeep in certain

as Starbucks and Burger King are looking to open

malls led to a few exits. Rentals remained stable from

their first stores in the city whilst Dunkin Donuts

the previous quarter across malls and main streets.

opened its first store in the city during this quarter.

However, enquiries for prime main streets increased

Outlook
Residential launches in the upcoming quarter are

Mall rentals in the S.G. Highway sub-market may

likely to remain at par with 1Q 2015, considering the

decline in the upcoming quarter due to persistently

high levels of unsold inventory. Capital values are

high vacancy levels. However, rentals in Vastrapur

also likely to remain stable across submarkets in the

may appreciated due to healthy demand and low

upcoming quarter.

vacancy levels. Rentals in the main streets of C.G.

110,000 sf of office supply is expected to become
operational in Prahladnagar during the next quarter.
Although the under construction pipeline has
declined, high vacancy levels due to subdued

Road and Prahladnagar may appreciate, considering
the high levels of enquiries from F&B and lifestyle
brands. Rentals are likely to remain stable in all other
main streets in the next quarter.

demand may lead to a downward pressure on rental
values in the upcoming quarter.

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Bengaluru
Market Overview
About 4,000 units were launched in the first

READY RESIDENTIAL PROPERTY VALUES IN MARCH '15

quarter of 2015, a 28% decline from the previous
quarter. Mid segment dominated with about 91%
share of the total unit launches. Maximum unit
launches were in South-east submarket (41%),
followed by the North Submarket (25%). Strong-end
user demand, especially from IT-ITeS working
professionals and ease of connectivity to various
parts of the city drove new launches in these
submarket.
Source: Cushman & Wakefield Research

Represents Mid and High End segments

In the first quarter of 2015, approximately 1.96
msf supply was added. Whilst new supply was less
than half the previous quarter’s addition, leasing

In the retail sector, a new mall supply of 200,000

remained strong at 3.89 msf. New supply comprised

sf in Tumkur Road was added in this quarter. The

only of Grade A developments, of which 42% came

overall mall vacancy dipped by 0.6 percentage

in the Suburban South submarket, followed by 35%

points and was recorded at 8.8%, due to healthy

in the Outer Ring Road submarket. In this quarter, IT-

leasing along Thanisandra Road and Tumkur Road.

SEZ developments accounted for more than half

Malls and main street rentals largely remained

(52%) of the total supply.

stable from the previous quarter.

Trends & Updates
Ready Residential Property Update
Capital values improved in select submarkets from

in the Western submarket. Capital values of high-end

the previous quarter. Mid segment rentals in the Central

segment of the North submarket; and mid segment of

and the Western quadrant appreciated by 7% from the

the South-east and East submarket also appreciated by

previous quarter. Whilst limited supply amidst launches

3-7%, due to sustained end-user demand. Rental values

at a higher rate prompted an increase in the Central

across all submarkets remained stable from the

submarket, enhanced metro connectivity and

previous quarter.

developing social infrastructure caused a demand spur

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Average Capital Values – High-end Segment (INR’000/sf)
Location

2008

2009

2010

2011

2012

2013

2014

1Q 2015

Central

14.0 - 18.0

12.0 - 14.5

13.5 - 17.5

14.0 - 18.0

18.0 - 28.0

18.0 - 30.0

18.0 - 30.0

18.0 - 30.0

South

7.0 - 9.0

6.0 - 8.5

6.0 - 9.5

6.5 - 10.0

6.5 - 10.0

6.8 - 10.3

7.0 - 10.3

7.0 - 10.5

Off-Central

6.5 - 7.5

5.0 - 6.8

5.0 - 7.0

6.0 - 8.5

7.0 - 9.0

8.0 - 11.0

8.0 - 11.0

8.0 - 11.0

East

6.5 - 9.0

5.6 - 7.0

6.5 - 7.5

6.8 - 8.0

6.5 - 9.0

6.5 - 10.0

6.5 - 10.0

6.5 - 10.0

North

6.0 - 8.0

5.5 - 7.0

5.5 - 7.0

6.5 - 8.0

6.5 - 8.2

7.0 - 9.5

7.0 - 9.8

7.0 - 11.0

Source: Cushman and Wakefield Research
Note: The above values for high-end segment typically include units of 2,000-4,000 sf.

Average Capital Values – Mid Segment (INR’000/sf)
Location

2008

2009

2010

2011

2012

2013

2014

1Q 2015

Central

5.8 - 7.0

5.0 - 6.0

5.5 - 7.0

6.0 - 7.5

6.0 - 8.0

9.0 - 12.0

9.0 - 12.0

9.5 - 13.0

East

2.7 - 3.1

2.4 - 2.7

2.7 - 3.1

3.2 - 3.8

3.8 - 4.8

4.0 - 5.5

4.0 - 5.5

4.3 - 5.7

South-East

2.9 - 4.0

2.5 - 3.2

2.8 - 4.0

3.4 - 5.0

4.0 - 5.5

4.5 - 5.9

4.5 - 6.0

4.5 - 6.3

North

5.0 - 6.5

2.8 - 4.0

2.8 - 4.4

3.0 - 4.8

6.0 - 9.0

6.0 - 9.0

6.0 - 9.0

7.0 - 10.0

South

3.0 - 4.0

4.6 - 5.7

4.8 - 6.0

5.0 - 6.5

3.5 - 5.5

3.5 - 5.5

4.0 - 5.5

4.0 - 6.5

South-West

2.8 - 4.2

2.7 - 3.9

3.2 - 4.5

3.6 - 5.0

4.0 - 5.5

4.5 - 6.5

4.5 - 6.5

4.5 - 6.5

Off-Central*

3.5 - 6.0

3.3 - 5.7

4.0 - 6.2

4.5 - 6.7

5.0 - 7.5

7.0 - 10.0

7.0 - 10.0

7.0 - 10.0

Off-Central**

4.0 - 6.0

3.7 - 5.7

3.8 - 6.2

4.3 - 6.7

5.0 - 7.0

6.0 - 8.0

6.5 - 8.5

6.5 - 8.5

North-West

4.2 - 5.8

3.5 - 5.2

3.8 - 5.6

4.3 - 6.2

4.5 - 6.5

5.5 - 6.5

6.0 - 6.8

6.0 - 6.8

Source: Cushman and Wakefield Research
Note: The above values for mid segment typically include units of 1,600-2,000 sf.

Key to locations:
High-end Segment
Central: Lavelle Road, Off Palace Road, Off Cunnigham

South-East: Sarjapur Road, Outer Ring Road, HSR
Layout

Road, Ulsoor Road, Richmond Road

South: Kormangala, Jakkasandra

South: Koramangala, Outer Ring Road, Bannerghatta

South-West: Jayanagar, J P Nagar, Kanakpura Road,

Road, JP Nagar

Bannerghatta Road, BTM Layout

Off-Central: Frazer Town, Benson Town, Richards Town,

North: Hebbal, Bellary Road, Yelahanka, Dodballapur

Dollars Colony

Road, Jalahalli

East: Whitefield (villas)

Off-Central*: Vasanth Nagar, Richmond Town and

North: Hebbal, Yelahanka, Jakkur, Devanahalli

Indiranagar
Off-Central**: Cox Town, Frazer Town, HRBR, Benson
Town, etc.

Mid Segment

North-West: Malleshwaram, Rajajinagar

Central: Brunton Road, Artillery Road, Ali Askar Road,
Cunningham Road
East: Marathalli, Whitefield, Old Airport Road

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New Residential Launches
In the first quarter of 2015, approximately 4,000

Hosur Road in the South-east submarket.

units were launched, of which 76% were from units

Additionally, 25% of the unit launches came in

pre-launched in the previous quarters. Whilst total

Yelahanka and Kogilu areas in the North submarket.

unit launches declined by 28% from the previous

Several villa plot launches were also noted in this

quarter, mid segment’s share remained strong at

quarter, especially in Southern and Northern

91%. 41% of total unit launches came in Sarjapur and

quadrants of the city.

Project Name

Developer

Location

Number of Units*

Type

Area of Units (in sf)

Sobha Silicon Oasis

Sobha Developers

Hosur Road

918

Apartments

2 BHK: 1,350
3 BHK: 1,675

Brigade Northridge

Brigade Group

Kogilu Main Road

600

Apartments

2 BHK: 1,250
3 BHK: 2,000

SNN Raj Etternia

SNN Builders

Haralur Road

576

Apartments

1 BHK: 560
2 BHK: 1,270
3 BHK: 1,670

The Tree

Provident Housing

Off Magadi Road

560

Apartments

1 BHK: 605
2 BHK: 1,000
3 BHK: 1,256

Salarpuria Sattva
Laurel Heights

Salarpuria Sattva
Group

Tumkur Road

438

Apartments

2 BHK: 992
2.5 BHK: 1,240
3 BHK: 1,416

Edge Waters

Bren Corporation

Sarjapur Road

191

Apartments

2 BHK: 1,040
3 BHK: 1,418

Shrinikethan

RNS Infrastructures
Limited

Yeshwantpur

186

Apartments

3 BHK: 3,050
4 BHK: 3,390

RMZ Azure

RMZ

Bellary Road

182

Apartments

2 BHK: 1,602
3 BHK: 2,100

After the rain

Total Environment

Yelahanka

127

Villas

4 BHK: 3,090

Green Aspire

Tetra Grand

Off Thanisandra
Road

120

Apartments

2 BHK: 866
3 BHK: 1,453

ATZ Estrella

ATZ Properties

Varthur Road

110

Apartments

2 BHK: 1,302
3 BHK: 1,780

The Urban Forest

Alchemy Real Estate

Whitefield

75

Apartments

2 BHK: 1,314
3 BHK: 1,826

* Estimated and as per market information

Under Construction Residential Property Update
Around 168,000 residential units are under

stable from the previous quarter. A few projects

construction across various submarkets, with mid

nearing completion include Vaswani Reserve in

segment accounting for about 56%, followed by 26

Marathahalli, Sunrise Towers in Whitefield and HM

% in the affordable segment. Capital values of under

Grandeur in Frazer Town.

construction residential projects remained mostly

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Commercial Office Sector
Net absorption of around 3.3 msf was recorded in

appreciation along the Outer Ring Road, Peripheral

Grade A developments during the first quarter of

East and Peripheral North submarkets by 6.7%, 4.2%

2015; a 7% increase from the previous quarter.

and 6.0% respectively. In contrast to these, the

Leasing of 3.89 msf was noted in this quarter, 33% of

Suburban South and Suburban East submarkets

which was in the Outer Ring Road submarket. IT-ITeS

witnessed a decline of 4.4% and 9.3% respectively.

sector dominated leasing and had a 68% in the total

Whilst rental correction in a few buildings caused this

transactions. Further, pre-commitments of

dip in the Suburban South, low demand led to a decline

approximately 0.85 msf were noted in this quarter.

in the Suburban East. Overall Grade A vacancy levels

Office rentals also appreciated in select submarkets.
Sustained demand and limited availability of quality

decreased by 1.6 percentage points due to healthy
transactions and was noted at 8.0%.

spaces resulted in Grade A weighted average rental

Retail Sector
Rentals remained stable from the previous

3.2% from the previous quarter due to a preferential

quarter in malls as well as main streets of most sub-

shift of the tenants towards other locations such as

markets. During this quarter, a few F&B, electronics,

Indiranagar and Koramangala. Benefitting from the

footwear and apparel retailers leased spaces in malls

spill over demand from nearby saturated locations,

located along Thanisandra Road and Tumkur Road.

Koramangala 80 Feet Road witnessed a 4.3% rental

In the main streets, Brigade Road rentals dipped by

appreciation from the previous quarter.

Outlook
Given the significantly high number of pre-

appreciate in select submarkets such as the Outer

launches (around 13,000), residential unit launches

Ring Road and Peripheral East due to a sustained

in the subsequent quarters are expected to be

demand.

strong. Rental and Capital values are likely to hold
steady as the existing supply presently exceeds the
demand.
Around 7.3 msf of office space supply is expected

Rentals in most malls and main streets are likely
to remain stable in the next quarter. New BEL Road
and Kamanahalli Main Road are fetching increased
enquiries from international brands, amidst limited

to be added in the next quarter, most of which is

space availability. However, rentals are expected to

likely to be in Grade A developments. Given the

gain traction in the coming quarters.

strong demand, transaction activity may remain
high in the upcoming quarters. Rentals may

11
Last Modified Date : 28-04-15

Chandigarh
Market Overview
In the first quarter of 2015, approximately 700

READY RESIDENTIAL PROPERTY VALUES IN MARCH '15

units were launched in the Tri-City region. New
launches were primarily in the outskirts in
submarkets of Zirakpur, Mullanpur and Mohali. The
high-end segment witnessed improvement in
transaction activity during the quarter; however, the
capital values remained stable from the previous
quarter. Capital values in the mid segment too
remained stable across submarkets. With improved
connectivity to Mullanpur, this submarket witnessed
an increased interest from the homebuyers.

Source: Cushman & Wakefield Research

Represents Mid and High End segments

Approximately 650,000 sf of office space was
added to the Tri-City during the first quarter of 2015,
primarily in Mohali. Demand for office space

No new mall space was added to the Tri-City

improved during the quarter with significant space

region in the first quarter of 2015. Vacancy levels

take-up from companies in BFSI, construction and

during the quarter declined as retailers of

automobile sectors. Grade A office rentals softened

accessories and apparels took up space across the

during the quarter, as investors agreed to lease out

region. Demand continued to be tepid in the main

their spaces at lower rentals considering the

streets. Rentals remained stable for both malls and

prevailing subdued demand conditions.

main streets across Chandigarh

Trends & Updates
Ready Residential Property Update
Capital values remained stable across all locations,

values in Mohali and Zirakpur hardened during the

from the previous quarter. Transaction activity in the

quarter with continued interest from end-users but

high-end segment improved during the quarter with

remained stable amidst reduced investor demand.

availability of good deals at competitive prices. Capital

12
Last Modified Date : 28-04-15

Average Capital Values – High-end Segment (INR)
4Q 2013

1Q 2014

2Q 2014

3Q 2014

4Q 2014

1Q 2015

Chandigarh
Sector: 2-11

155,000 170,000/sqyd

155,000 170,000/sqyd

155,000 170,000/sqyd

155,000 170,000/sqyd

155,000 170,000/sqyd

155,000 170,000/sqyd

Chandigarh
Sector: 28

140,000 160,000/sqyd

140,000 160,000/sqyd

140,000 160,000/sqyd

140,000 160,000/sqyd

140,000 160,000/sqyd

140,000 160,000/sqyd

Panchkula

110,000 145,000/sqyd

110,000 145,000/sqyd

110,000 145,000/sqyd

110,000 145,000/sqyd

110,000 145,000/sqyd

110,000 145,000/sqyd

Manimajra

14,000/sf

14,000/sf

14,000/sf

14,000/sf

14,000/sf

14,000/sf

Location

Source: Cushman and Wakefield Research
Note: The above values for high-end segment typically include units of 2,000-4,000 sf, both apartments and villa *sqyd: Square Yard

Average Capital Values – Mid Segment (INR/sf )
Location

4Q 2013

1Q 2014

2Q 2014

3Q 2014

4Q 2014

1Q 2015

Zirakpur

2,800 - 3,600

2,800 - 3,400

2,800 - 3,400

2,800 - 3,500

2,800 - 3,600

2,800 - 3,600

Mohali

3,200 - 4,000

3,000 - 3,800

3,200 - 3,800

3,200 - 4,000

3,200 - 4,200

3,200 - 4,200

Dera Bassi

3,000 - 3,200

2,800 - 3,200

2,800 - 3,400

2,800 - 3,500

2,700 - 3,500

2,700 - 3,500

Panchkula

2,800 - 3,500

2,800 - 3,400

2,800 - 3,400

2,900 - 3,500

2,900 - 3,500

2,900 - 3,500

Source: Cushman and Wakefield Research
Note: The above values for mid segment apartments typically include units of 1,600-2,000 sf

Key to Locations:
High-end Segment:

Mid Segment:

Panchkula: Sectors - 2, 4, 6, 7, 8, 9, 15

Mohali: Sectors - 114, 115, 127
Panchkula: Sector - 20

New Residential Launches
The Tri-City region witnessed launch of around
700 units in the first quarter of 2015. With basic prices

primarily in the northern and southern regions such
as Mullanpur, Zirakpur and Mohali.

in the range of INR 3,200-5,000/sf, new launches were
Project Name

Developer

Location

Number of Units*

Type

Area of Units (sf)

GBP Centrum

GBP Builders

Zirakpur

300

Independent
Floors

1 BHK: 475 to 491

Central Greens

Preet Land
Promoters and
Developers

Sector 86, Mohali

280

Apartments

3 BHK: 1,460

Celestia Grand

Omaxe

Mullanpur

60

Independent
Floors

3 BHK: 1,415

Golden Oak Sanskriti
Homes

Golden Oak
Estates

Mullanpur

54

Apartments

3 BHK: 2,000

13
Last Modified Date : 28-04-15

Under Construction Residential Property Update
In 1Q 2015, capital values of under construction

Approximately 450 units across several projects in

projects increased by 2-3% across locations in

Zirakpur, Panchkula and Mohali are expected to be

Mullanpur as developers revised basic selling prices

ready for possession in the next quarter.

due to improved infrastructure in the region.

Commercial Office Sector
In 1Q 2015, BFSI, construction and automobile
sector companies had a major share in office space

around INR 50-60/sf/month and commercial spaces
were at INR 70-95/sf/month.

take-up. Quoted rentals of IT Parks and SEZs were

Retail Sector
The first quarter of 2015 witnessed retailer activity

with footwear and apparel retailers such as Geox and

primarily from accessories’ brands in mall locations

Levis taking up space in prominent locations. Rentals

across the Tri-City region with brands such as Da

across malls and main street locations remained

Milano and Inglot taking up spaces. Demand in main

stable from the previous quarter.

street locations remained tepid during the quarter

Outlook
Capital values are likely to remain stable in the
high-end segment despite improvement in
transaction activity, considering that there exists
significant unsold inventory. New launch activity is
likely to pick up in the northern submarket of
Mullanpur. Panchkula is expected to witness
softening of mid segment capital values due to
significant availability of ready to move projects.

rentals are expected to remain stable over the next
quarter, considering the prevailing high vacancies.
Approximately 350,000 sf of mall space is
scheduled for completion in the second quarter of
2015, which is likely to increase vacancy levels in
Mohali submarket. Mall rentals are likely to remain
stable in Chandigarh city whilst they may soften
marginally in the peripheral submarkets.

No new office supply is likely to be added in the
next quarter. Demand may remain moderate and

14
Last Modified Date : 28-04-15

Chennai
Market Overview
During the first quarter of 2015, new residential

READY RESIDENTIAL PROPERTY VALUES IN MARCH '15

unit launches were nearly double the previous
quarter, and stood at 3,200 units. In the festival
season during this quarter, developers launched new
projects. Developers continued to focus on the mid
segment as is evident by the same accounting for
more than 96% of the total unit launches during the
quarter. Due to proximity to IT and manufacturing
hubs, Suburban (South) (32%) and Grand Southern
Trunk (GST) Road (27%) accounted for a major share
of new launches in the quarter. The high-end
segment had a 3% share in the total launches, most

Source: Cushman & Wakefield Research

Represents Mid and High End segments

of which was concentrated in Nungambakkam and
Off-Central I.
With only 75,400 sf office space becoming
operational during this quarter, Chennai witnessed

vacancy levels, which stood at 14.5% at the end of
this quarter.

pre-commitments of nearly 547,000 sf from

Chennai did not witness any new mall supply

occupiers looking to commence operations in

addition for the fifth consecutive quarter and

premium Grade A spaces in IT parks or IT-SEZs. Whilst

completion timelines for more than 3 msf under

the entire new supply comprised of commercial

construction mall spaces are staggered across the

spaces, Grade A developments had a 27% share, all of

next three years. Supply deficiency for new malls

which was added in South-west. Driven by robust

coupled with limited churn led to a 0.12 percentage

occupier demand, gross absorption stood at 1.3 msf, of

points quarterly dip in mall vacancy levels and it

which 62% was in Grade A developments. Strong

stood at 6.50% at the end of this quarter.

demand led to a 1.2 percentage points dip in Grade A

Trends & Updates
Ready Residential Property Update
At 2,500, new residential units that became

Nearly 35 projects were completed and developers

available for possession remained at par with the

such as Newry Properties, Ruby Builders, Marutham

previous quarter. This was primarily due to slow

Group and Jains Housing & Constructions delivered

construction pace of large township projects in the

units in this quarter. Whilst rental values largely

peripheral submarkets. Of all the completed units,

remained stable, capital values appreciated by 5-13%

77% belonged to the mid segment followed by 22% in

from the previous quarter in certain submarkets such

the high-end segment. GST Road (24%), Mogappair

as Off-Central I, Porur and Rajiv Gandhi Salai-I, due to

(10%) and Velachery (8%) witnessed the maximum

increased demand.

number of unit completions during this quarter.

15
Last Modified Date : 28-04-15

Average Capital Values – High-end Segment (INR ‘000/sf)
Location

2008

2009

2010

2011

2012

2013

2014

1Q 2015

Boat Club

18.0-24.0

18.0-20.0

18.0-23.0

20.0-25.0

23.0-27.0

23.0-33.0

23.0-35.0

23.0-35.0

R.A Puram*

13.0-15.0

13.0-15.0

13.0-16.5

14.0-17.0

15.0-19.0

17.0-23.0

17.0-23.0

17.0-25.0

Besant Nagar

NA

NA

NA

12.5-13.5

13.0-14.5

13.5-15.0

13.5-15.0

13.5-15.0

Kotturpuram

NA

NA

NA

12.0-14.0

14.0-16.0

14.0-20.0

14.0-20.0

14.0-20.0

Adyar

5.5-10.0

5.5-9.5

8.0-12.0

11.5 - 13.5

13.0-14.5

14.0-17.5

14.0-17.5

16.0-17.5

Poes Garden**

14.5-20.0

14.5-18.0

14.5-20.0

17.5-24.5

18.5-25.0

20.5-28.0

20.5-33.0

20.5-33.0

Nungambakkam

13.0-16.0

13.0-16.0

13.0-16.5

13.0-17.0

17.0-20.0

14.0-25.0

14.0-25.0

14.0-25.0

Anna Nagar

6.0-9.0

6.0-9.0

7.5-10.5

8.0-11.5

12.0-14.0

12.0-17.0

12.0-17.0

12.0-17.0

Kilpauk

4.0-8.0

4.0-8.0

8.0-12.0

9.0-15.0

12.0-15.0

12.0-16.0

12.0-16.0

12.0-16.0

Source: Cushman & Wakefield Research
Note: The above values for high-end segment typically include units of 1,800-4,000 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)
2008

2009

2010

2011

2012

2013

2014

1Q 2015

Adyar

4.5 - 6.5

4.5 - 6.5

6.0 - 8.5

8.0 - 11.0

9.0 - 13.0

10.0 - 14.0

10.0 - 14.0

12.0 - 15.0

Rajiv Gandhi
Salai (Perungudi)

2.5 - 3.6

2.5 - 2.8

3.5 - 4.5

4.0 - 5.5

5.0 - 6.3

5.0 - 6.3

5.0 - 6.3

5.0 - 7.0

Velachery

3.8 - 4.2

3.5 - 4.0

3.5 - 5.0

3.5 - 5.5

4.5 - 6.5

6.0 - 8.0

6.0 - 8.0

6.0 - 8.0

T. Nagar

4.0 - 6.5

4.0 - 6.5

7.5 - 10.5

8.5 - 11.5

8.5 - 14.0

10.0 - 16.0

10.0 - 17.0

10.0 - 17.0

Mylapore

NA

NA

NA

8.0 - 12.5

10.0 - 15.0

12.0 - 17.0

12.0 - 17.0

12.0 - 17.0

Mogappair

NA

NA

NA

5.0 - 5.5

5.0 - 6.5

5.0 - 7.5

5.0 - 7.5

5.0 - 7.5

Kilpauk

4.5 - 6.0

4.5 - 6.0

6.0 - 8.0

7.5 - 9.5

9.0 - 12.0

9.0 - 12.0

No
availability

No
availability

Location

Source: Cushman & Wakefield Research
Note: The above values for mid segment typically include units of 1,000-2,000 sf
The time series have been adjusted to reflect the updated values

New Residential Launches
At 3,200, unit launches nearly doubled from the

such as Sholinganallur, Siruseri as well as Suburban

previous quarter as many developers launched new

(South) locations such as 200 Feet Pallavaram

projects during the first quarter, to coincide with the

Th o ra i pa k ka m Roa d , M e d ava k ka m a n d

auspicious Pongal festival. New unit launches in the

Perumbakkam witnessed significant new launches

mid segment continued to dominate and witnessed

due to their proximity to IT parks and IT-SEZs. New

more than 220% quarterly increase, as developers

launches in the high-end segment declined by 70%

focused on introducing products in this segment

over the previous quarter with launches largely

that matched the homebuyers’ affordability.

concentrated in Nungambakkam, Kotturpuram and

Locations along the IT corridor of Rajiv Gandhi Salai

Off-Central I.

16
Last Modified Date : 28-04-15

Project Name

Developer

Location

Number of Units*

Type

Area of Units (in sf)

S.I.S Queenstown

South India Shelters
India Pvt. Ltd.

Guduvanchery

424

Apartments

2 BHK: 623 to 1,226
2.5 BHK: 1,263 to 1,304
3 BHK: 1,373 to 1,508

Pinnacle Crest

Baashyam
Constructions

Sholinganallur

421

Apartments

1 BHK: 579 to 607
2 BHK: 1,109 to 1,186
2.5 BHK: 1,336 to 1,357
3 BHK: 1,582 to 1,592

Temple Waves

Amarprakash
Developers

Chrompet

405

Apartments

2 BHK: 616 to 918
3 BHK: 980

Casa Grande
Cherry Pick

Casa Grande Pvt. Ltd.

Perumbakkam

380

Apartments

1 BHK: 590 to 701
2 BHK: 1,199 to 1,354
2.5 BHK: 1,186 to 1,433
3 BHK: 1,379 to 1,624
3.5 BHK: 1,546 to 1,768

Real Value
Padmalaya Grand –
Tower P,Q,E,F

Real Value Promoters

Siruseri

288

Apartments

2 BHK: 942 to 1,060
3 BHK: 1,380 to 1,454

SkyPod Residences

Vishwakarma Properties

200 Ft Pallavaram
Thoraipakkam Road

280

Apartments

2 BHK:1,111
3 BHK: 1,363

S&P Essence - Phase I

S&P Living Spaces

Ayanambakkam

200

Apartments

1.5 BHK: 560 to 566
2 BHK: 952 to 953
3 BHK: 1,746 to 1,761

Urban Tree Wow

Urban Tree Infrastructure

Medavakkam

169

Apartments

2 BHK: 926 to 1,177
3 BHK: 1,428

Jamals Caladium

Jamals Enterprises

Velappanchavadi

158

Apartments

2 BHK: 955 to 1,105
3 BHK: 1,280 to 1,385

Silver Crest

Rajkham Builders

Madurapakkam

116

Apartments

2 BHK: 1,002 to 1,072
2.5 BHK: 1,271
3 BHK: 1,258 to 1,400

Vrindavan Enclave

Amaar Foundations &
Properties

Virugambakkam

64

Apartments

2 BHK: 972 to 1,110
3 BHK: 1,200 to 1,838

Color County

Color Homes

Iyappanthangal

60

Apartments

2 BHK: 884 to 974
3 BHK: 1,124 to 1,177

Tower of Adyar

Nahar Group

Adyar

56

Apartments

3 BHK: 2,113
4 BHK: 2,384 to 2,420

Shrayans

Cara Properties

Nungambakkam
High Road

47

Apartments

4 BHK: 4,000 to 5,000

Hamlin

AKB Developers

Pallavaram

45

Apartments

2 BHK: 783 to 1,033
3 BHK: 1,265

GVSPL Raksha

Green Valley Shelters
Pvt. Ltd.

Valasaravakkam

35

Apartments

2 BHK: 1,145 to 1,165
2 BHK: 1,570 to 1,860

Green Crest

Green Valley Shelters
Pvt. Ltd.

Anna Nagar

28

Apartments

3 BHK: 1,260 to 1,345

Navin's Skanda

Navin Housing

Chrompet

16

Apartments

2 BHK: 1,032
3 BHK: 1,180

Sri Lakshmivilas

Altis Properties

Kotturpuram

11

Apartments

3 BHK: 2,392
4 BHK: 2,692

Aise

Devinrayan Housing

Nandanam

5

Apartments

4 BHK: 2,462

Sree Sarada Nivas

Devinarayan Housing

Mandaveli

4

Apartments

3 BHK: 2,494

Aquarelle

Devinarayan Housing

Kanathur

4

Apartments

3 BHK: 5,850 to 5,968

Sangeeth

Arihant Foundations

Shanthi Colony

3

Apartments

3 BHK: 2,000

* Estimated and as per market information

17
Last Modified Date : 28-04-15

Under Construction Residential Property Update
As of 1Q 2015, under construction units across

houses and duplexes. Nearly one-third of these units

various segments were around 33,600. As per

consist of new phases in existing township

current estimates, these units are likely to complete

developments in peripheral locations such as

by the end of 2015. More than 90% of these units are

Chrompet, Oragadam, Vandalur-Kelambakkam

apartment projects and the remaining are villas, row

Road, Perambur and Siruseri.

Commercial Office Sector
Despite the improving occupier demand, Grade A

South (32%) witnessed maximum net absorption of

net absorption levels dipped by 19% from the

Grade A spaces. IT-ITeS sector was the major

previous quarter and stood at 495,000 sf at the end

demand driver and accounted for nearly 95% of

of the first quarter of 2015. This decline was

total gross absorption during the quarter. Rentals

primarily due to change in employee to space ratio

largely remained stable in all sub markets, as

requirements of a few major IT-ITeS companies. The

compared to the previous quarter.

IT corridor of Suburban South (64%) and Peripheral

Retail Sector
Established main streets such as Anna Nagar 2nd

(not affected by ongoing infrastructure upgrades) to

Avenue witnessed a steep rental escalation of 15%

charge higher rentals. Purusawakam High Road too

compared to the last quarter as strengthening

witnessed a 4% rental rise due to higher demand

demand and entry of new retailers prompted owners

from footwear and apparel retailers.

Outlook
Whilst more than 4,300 residential units remain in
soft launch stages, the number of new unit launches
during the next quarter may remain at par with 1Q
2015, as developers may channelize larger efforts
towards completion of under construction units.

levels may increase in the next quarter due to this
substantial new supply addition.
As no new mall supply is likely to be added in the
next quarter, mall vacancy levels may decline further
as prevalent demand for mall spaces from footwear,

In the next quarter, nearly 1.5 msf of new office

F&B and apparel retailers remains strong. Anna

supply is expected be added. Of the total new supply,

Nagar - 2nd Avenue and Pondy Bazar may witness

65% is expected to constitute Grade A spaces, all of

rental appreciation due to healthy demand and

which will become operational in Suburban South.

limited options for prime retail spaces.

Whilst leasing may strengthen, overall vacancy

18
Last Modified Date : 28-04-15

Delhi - National Capital Region (NCR)
Market Overview
With around 2,800 new unit launches, Delhi-NCR

READY RESIDENTIAL PROPERTY VALUES IN MARCH '15

witnessed a decline of approximately 68% during
the first quarter of 2015, as compared to the
previous quarter. The decline in new launches was
primarily due to increasing unsold inventory, forcing
developers to restrict new launches. Capital values
remained stable from the previous quarter across all
submarkets in Delhi-NCR. With stable demand,
rentals also remained stable during the quarter
across most submarkets.
With Grade A office supply addition of about 2.1

Source: Cushman & Wakefield Research

Represents Mid and High End segments

msf in the first quarter of 2015, a marginal decline of
around 2.9% was noted from the previous quarter.
This quarter witnessed net absorption of more than

0.5 percentage points to 14.4%. Demand remained

0.6 msf in Grade A developments, a 58% decline

high for mall spaces in Ghaziabad, Gurgaon and

from the previous quarter. No pre-commitments

South Delhi. Rental values in malls remained stable

were noted during the first quarter of 2015. Rental

from the previous quarter. Main street locations

values firmed up significantly in Gurgaon CBD, due

across Greater Kailash, Lajpat Nagar and Green Park

to limited availability and significant demand.

witnessed healthy space take-up during the quarter.

No new mall supply was added in the first quarter
of 2015, resulting in overall mall vacancy declining by

Trends & Updates
Ready Residential Property Update
Due to subdued transaction activity, capital

be recovering with availability of several value deals

values across all segments of various submarkets

in this segment. Although the market remains buyer

remained stable from the previous quarter.

friendly, capital values continued to remain stable

Transaction activity in the luxury segment seems to

due to existing high unsold inventory.

19
Last Modified Date : 28-04-15

Average Capital Values – High-end Segment (INR '000/sf)
2011

2012

2013

2014

1Q 2015

South-West

42.0 - 50.0

50.0 - 60.0

45.0 - 60.0

42.5 - 56.0

42.5 - 56.0

South-East

25.0 - 35.0

25.0 - 45.0

25.0 - 40.0

25.0 - 38.0

25.0 - 38.0

South Central

27.0 - 40.0

27.0 - 50.0

27.0 - 50.0

27.0 - 46.0

27.0 - 46.0

Central

50.0 - 65.0

60.0 - 80.0

60.0 - 90.0

60.0 - 90.0

60.0 - 90.0

Gurgaon

8.5 - 21.0

10.5 - 32.0

11.0 - 27.5

11.0 - 25.0

11.0 - 25.0

Noida

5.5 - 7.5

6.2 - 8.1

7.0 - 8.5

7.0 - 9.0

7.0 - 9.0

Location

Source: Cushman and Wakefield Research
Note: The above values for high-end segment typically include units of 2,000-4,000 sf

Average Capital Values – Mid Segment (INR '000/sf)
2011

Location

2012

2013

2014

1Q 2015

South-East

15.0 - 28.0

25.0 - 30.0

25.0 - 30.0

22.0 - 27.0

22.0 - 27.0

South Central

25.0 - 30.0

25.0 - 35.0

25.0 - 35.0

25.0 - 35.0

25.0 - 35.0

Gurgaon

5.0 - 9.0

6.8 - 10.5

7.5 - 11.5

8.0 - 10.0

8.0 - 10.0

Noida

4.2 - 5.8

4.3 - 6.2

5.0 - 6.0

5.0 - 6.5

5.0 - 6.5

Source: Cushman and Wakefield Research
Note: The above values for mid segment typically include units of 1,600-2,000 sf

Key to Locations:
High-end Segment:

Mid Segment:

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

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

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

Village, Geetanjali Enclave, Safdarjung Enclave,

South-central: Defence Colony, Anand Lok, Niti Bagh,
Gulmohar Park, Hauz Khas Enclave, Safdarjung
Development Area, Mayfair Gardens, Panchsheel Park,
Soami Nagar, Sarvaodaya Enclave, etc.
Central: Jorbagh, Golf Links, Amrita Shergil Marg,
Aurangzeb Road, Prithviraj Road, Sikandara Road, Tilak
Marg, Ferozshah Road, Mann Singh Road, Sunder Nagar,
Nizamuddin, Tees January Marg, Chanakyapuri, etc.
Gurgaon-Luxury: Golf Course Road (Sectors 26, 26A, 27,
28, 42, 43, 53-56)
Gurgaon-High end: Golf Course Road (Sectors 24-26,
26A, 27, 28, 42, 43, 53-56), Mehrauli-Gurgaon Road
(Sectors 24-26) Golf Course Extension Road (Sectors 5863, 63A, 65-67 and 67A), Sohna Road (Sectors 38, 4749), Central Gurgaon (Sectors 40, 41, 44-46, 50-52 and
57) and Dwarka Expressway (Sectors 99, 99A, 102, 102A,
103-110, 110A, 111-114)

South-central: Uday Park, Green Park, Saket, Asiad
Sarvapriya Vihar, Panchsheel Enclave, Navjeevan Vihar, etc.
Gurgaon: Sohna Road (Sectors 38, 47-49), Southern
Peripheral Road (Sectors 68-70, 70A, 71-73), New Gurgaon
(Sectors 76-81, 81A, 82, 82A, 83-86, 88, 88A, 88B, 89,
89A, 90-93, 95, 95A and 95B) Dwarka Expressway
(Sectors 99, 99A, 102, 102A, 103-110, 110A, 111-114) and
Sohna
Noida: Sectors 50, 74-79, 82, 83, 110, 112, 115-121, 134, 135,
137, 143, 150, 151 and 168), Greater Noida and Yamuna
Expressway

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

20
Last Modified Date : 28-04-15

New Residential Launches
With approximately 2,800 unit launches in the first

65% of the units launched during the quarter. In

quarter of 2015, there was a decline of around 68%

Noida, launches in Noida extension submarket were in

from the previous quarter. Nearly 42% of units

the affordable segment, Greater Noida submarket in

launched during the quarter were in the mid segment,

the mid segment and along the Noida expressway

39% in the affordable segment and remaining 19% in

submarket in the high-end segment.

the high-end segment. Noida accounted for around

Project Name

Developer

Location

Number of Units* Type

Area of Units (in sf)

Amrapali Enchante

Amrapali

Sector 16B, Greater
Noida (West)

650

Apartments

2 BHK: 850 to 900
3 BHK: 1,050 to 1,150

Familia

Nimai Group

Sector 7, Sohna

650

Apartments

2 BHK: 1,150
3 BHK: 1,450

Sports Home

Devsai Construction

Sector 1, Greater
Noida (West)

366

Apartments

2 BHK: 1,140
4 BHK: 3,210

Bollywood Towers

Amrapali

Sector 1, Greater
Noida (West)

360

Apartments

2 BHK: 975 to 1,100

Omaxe Riyasat

Omaxe

Sector 93B, Noida

276

Apartments

2 BHK: 1,225
3 BHK: 1,675

The Crest

DLF

DLF Phase V, Gurgaon

250

Apartments

4 BHK: 3,081 to 3,497

Mahagun Villaments

Mahagun Group

Sector 10, Greater
Noida (West)

104

Apartments

3 BHK: 2,600
4 BHK: 2,950

Ayana

Raheja

Sector 79B, Gurgaon

96

Independent
Floors

3 BHK: 1,800 to 2,430
4 BHK: 2,564

Aspire

Ace Developers

Sector 1, Greater Noida
(West)

72

Independent
Floors

2 BHK: 1,160
3 BHK: 1,365
4 BHK: 1,595

* Estimated and as per market information

Under Construction Residential Property Update
Developers continued offering phase-wise

quarter, more than 10 projects are likely to be

possession in projects on Golf Course Extension

completed with more than 5,000 units across

Road and in New Gurgaon submarkets. In the next

Gurgaon and Noida

Commercial Office Sector
With Grade A office supply recorded at about 2.1

Due to low leasing, overall vacancy levels in

msf in the first quarter of 2015, it declined marginally

Grade A properties increased by 1.1 percentage

by around 2.9% from the previous quarter.

points from the previous quarter, and was noted at

Approximately 56% of the new supply was in IT-

27.1%. Weighted average Grade A rentals in Gurgaon

SEZs, followed by 29% in IT Parks and the rest in

CBD increased by more than 22.0% amidst strong

non-IT developments. The quarter witnessed net

demand and limited availability. Weighted average

absorption of over 0.6 msf in Grade A developments,

rentals in Noida increased by over 10% due to

a 58% decline from the previous quarter. The IT-ITeS

addition of spaces at higher rentals.

sector had the highest share in leasing (39%),
followed by consulting (13%) and the manufacturing
sectors (13%). No pre-commitments were noted
during the quarter.
21
Last Modified Date : 28-04-15

Retail Sector
Mall vacancy levels were recorded at 14.4%, a 0.5

of 7.1% in DLF Galleria, Gurgaon. Rentals in other

percentage points decline from the previous quarter.

main street locations maintained status quo during

Demand for mall spaces was driven mainly by

the quarter. F&B and jewellery retailers were the key

retailers of accessories and apparel such as Carat

demand generators across main streets with brands

Lane, Fossil, Nappadori, etc. Robust demand and

such as Subway, The Backyard and Senco Gold,

limited availability led to a quarterly rental increase

expanding their presence in the city.

Outlook
Developers are likely to focus on completing

Nearly 1.9 msf of new mall supply is scheduled for

under construction projects rather than launching

completion in the next quarter across Ghaziabad,

new projects in the short term. As a result, new

South Delhi and West Delhi. With tepid demand,

launch activity may remain subdued in the next

rental values are expected to remain stable. In

quarter. In the absence of significant triggers for

addition, infusion of new supply would lead to an

demand improvement, capital values in Delhi and

increase in vacancy levels in select submarkets.

Gurgaon may remain stable in the next quarter.

Rentals across most main street locations are

However, capital values in Noida may strengthen in

expected to remain stable. Prominent main street

the next quarter due to continued end-user demand.

locations such as Connaught Place, Lajpat Nagar

Approximately 3.9 msf of office space is likely to
be added in the next quarter. Although some of this

and Greater Kailash II are expected to witness
continued retailer interest.

may be deferred, vacancy levels are likely to
increase, as net absorption is not likely to keep pace
with the supply.

22
Last Modified Date : 28-04-15

Hyderabad
Market Overview
Hyderabad residential segment witnessed

READY RESIDENTIAL PROPERTY VALUES IN MARCH '15

launch of nearly 3,300 residential units during the
first quarter of 2015, nearly thrice the previous
quarter. About 98% of new unit launches were in the
north-west quadrant of the city, mainly Madhapur
and Gachibowli. This quadrant remained most active
in terms of new unit launches and construction
activity. As compared to the previous quarter, rental
and capital values largely remained stable across
submarkets. However, high-end segment capital
values in Banjara Hills and Jubilee Hills appreciated
by 3% and 6%, respectively, from the previous

Source: Cushman & Wakefield Research

Represents Mid and High End segments

quarter, due to limited availability amidst high
demand. Mid segment capital values in Jubilee Hills,

SLN Lumbini mall, measuring 150,000 sf, is

Madhapur and Gachibowli also appreciated

currently undergoing fit-outs by tenants and is

marginally by 1-2%, due to continued demand

expected to commence operations in the third quarter

emanating from IT-ITeS professionals employed in

of 2015. This quarter also witnessed limited

the nearby office hubs.

transactions and hence, mall rentals remained stable

The commercial real estate market witnessed an

across all sub-markets and overall mall vacancy levels

influx of 1 msf of office space in 1Q 2015, of which

remained stable at 7%. Limited availability of quality

65% was in Grade A developments. Grade A net

spaces in malls led to spill-over of demand to main

absorption declined by 36% to around 0.6 msf at the

streets and subsequently healthy leasing activity was

end of this quarter. Whilst overall vacancy for the

noted in main streets such as Jubilee Hills, Kukatpally

quarter declined by 0.6 percentage points to 17.6%,

and Chandanagar. The demand primarily emanated

Grade A vacancy in Suburban Madhapur submarket

from apparels and F&B retailers. Despite healthy

increased marginally by 0.5 percentage points and

leasing, main street rentals remained stable from the

was noted at 5.4%.

previous quarter, across the city.

Trends & Updates
Ready Residential Property Update
The first quarter of 2015 witnessed moderate

respectively, from the previous quarter, primarily

enquiries for ready residential properties. Mid

due to a healthy demand amidst limited supply of

segment capital values in Jubilee Hills and

quality projects. Around 320 units were completed

Madhapur-Gachibowli appreciated by 1% and 2%,

in the first quarter of 2015.

23
Last Modified Date : 28-04-15

Average Capital Values – High-end Segment (INR ‘000/sf)
2009

2010

2011

2012

2013

2014

1Q 2015

Banjara Hills

5.8 - 6.5

6.0 - 7.2

6.4 - 7.5

6.5 - 7.5

7.0 - 9.5

7.0 - 9.5

7.0 - 10.0

Jubilee Hills

5.5 - 6.3

6.0 - 7.0

6.2 - 7.2

6.1 - 7.2

6.5 - 9.5

6.5 - 9.5

7.0 - 10.0

Himayatnagar

3.3 - 4.0

3.7 - 4.0

3.7 - 4.2

3.6 - 4.2

4.0 - 5.5

4.0 - 5.5

4.0 - 5.5

West & East Marredpally

3.3 - 3.8

3.5 - 4.0

3.6 - 4.3

3.6 - 4.3

4.0 - 5.5

4.0 - 5.5

4.0 - 5.5

Begumpet, Somajiguda

3.9 - 4.5

4.1 - 4.5

4.3 - 4.8

4.3 - 4.7

4.5 - 5.5

4.5 - 5.5

4.5 - 5.5

Madhapur, Gachibowli

3.5 - 4.3

3.8 - 4.9

3.9 - 5.3

4.1 - 5.3

4.5 - 6.0

4.5 - 6.0

4.5 - 6.0

Kukatpally

3.3 - 4.0

3.5 - 4.5

3.8 - 5.1

3.8 - 5.1

4.0 - 6.0

4.0 - 6.0

4.0 - 6.0

Miyapur, Nizampet

2.6 - 3.3

2.7 - 3.4

2.8 - 3.5

2.9 - 3.5

2.9 - 3.5

2.9 - 3.5

2.9 - 3.5

Location

Source: Cushman and Wakefield Research
Note: The above values for high-end segment typically include units of 1,600-4,000 sf

Average Capital Values - Mid Segment (INR ‘000/sf)
2009

2010

2011

2012

2013

2014

1Q 2015

Banjara Hills

3.6 - 4.2

3.6 - 4.5

3.8 - 4.6

3.8 - 4.8

4.0 - 5.0

4.0 - 5.2

4.0 - 5.2

Jubilee Hills

3.5 - 4.0

3.7 - 4.0

4.0 - 4.2

4.0 - 4.2

3.8 - 4.4

3.8 - 4.4

3.8 - 4.5

Himayatnagar

2.7 - 3.0

2.7 - 3.5

2.7 - 3.7

2.8 - 3.6

3.0 - 3.8

3.0 - 3.8

3.0 - 3.8

West & East Marredpally

2.5 - 2.8

2.7 - 3.0

2.8 - 3.2

2.7 - 3.2

3.0 - 3.5

3.0 - 3.5

3.0 - 3.5

Begumpet, Somajiguda

2.6 - 3.1

2.8 - 3.5

2.9 - 3.6

2.8 - 3.6

3.0 - 4.0

3.2 - 4.0

3.2 - 4.0

Madhapur, Gachibowli

2.5 - 3.1

2.6 - 3.4

2.8 - 3.5

3.0 - 3.8

3.5 - 4.2

3.6 - 4.5

3.8 - 4.6

Kukatpally

2.4 - 2.9

2.7 - 3.2

2.9 - 3.5

2.9 - 3.6

3.1 - 4.0

3.3 - 4.0

3.3 - 4.0

Miyapur, Nizampet

1.8 - 2.5

1.8 - 2.5

2.4 - 3.0

2.2 - 3.4

2.7 - 3.4

2.8 - 3.6

2.9 - 3.6

Location

Source: Cushman and Wakefield Research
Note: The above values for mid segment typically include units of 1,200-1,600 sf

New Residential Launches
The first quarter of 2015 witnessed three times

this quarter, all in the high-end segment. New

residential unit launches compared to the previous

projects were launched primarily in Madhapur and

quarter. Approximately 3,300 units were launched in

Gachibowli.

Project Name

Developer

Location

Number of Units*

Type

Area of Units (in sf)

Highfields

Prestige Constructions

Gachibowli

2,240

Apartments

2 BHK: 1,283
2.5 BHK: 1,410 to 1,492
3 BHK: 1,742
3.5 BHK: 1,919 to 1,993
4 BHK: 2,713 to 2,848
3 BHK+Home Theatre: 4,070

Etania

Lansum

Gachibowli

552

Apartments

3 BHK: 1,895 to 3,255
4 BHK: 4,085

Ivy League

Prestige Constructions

Madhapur

349

Apartments

2 BHK: 1,327 to 1,355
3 BHK: 1,738 to 2,051
4 BHK: 3,031 to 3,498

24
Last Modified Date : 28-04-15

Project Name

Developer

Location

Number of Units*

Type

Area of Units (in sf)

Northstar District 1

Northstar Homes

Gachibowli

151

Apartments

3BHK: 1,600 to 2,400

Fortune Galaxy

Fortune Developers

Banjara Hills

55

Apartments

3 BHK: 1,445 to 2,400
Studio: 500 to 900

* Estimated and as per market information

Under Construction Residential Property Update
The North-West quadrant continued to witness

at Jubilee Hills, Madhapur and Gachibowli too

robust construction activities. Capital values of high-

appreciated marginally by 1-2% from the previous

end segment projects at Banjara Hills and Jubilee Hills

quarter, due to sustained demand driven by IT-ITeS

appreciated by 3% and 6%, respectively, from the

professionals, coupled with availability of good

previous quarter due to limited availability amidst

offerings at competitive prices.

high demand. Capital values of mid segment projects

Commercial Office Sector
In the commercial office sector, majority of the

coupled with high supply addition in Grade A

supply was concentrated in the suburban locations

developments in Suburban Madhapur submarket

of Madhapur (65%) and Gachibowli (21%). Although

resulted in a 0.5 percentage point increase in

IT-ITeS sector dominated leasing activity with a 65%

vacancy. Rentals continued to remain nearly stable

share, majority of the space (53%) was leased in

across all submarkets, except the Prime Suburban

non-IT buildings. Grade A net absorption for the

submarket where the weighted average rental

quarter was 0.6 msf, recording a 36% quarterly

values declined by 6% due to an increase in vacant

decline. Whilst overall vacancy declined by 0.6

spaces amidst high supply.

percentage points (to 17.6%), low absorption

Retail Sector
SLN Lumbini mall, measuring 150,000 sf, is

and were noted at 7%. Healthy leasing activity was

currently undergoing fit-outs by tenants and is

noted in main streets such as Jubilee Hills,

expected to commence operations in the third

Kukatpally and Chandanagar. Demand primarily

quarter of 2015. This quarter witnessed limited

emanated from apparel & F&B retailers. Despite

transactions and hence, mall rentals remained

healthy leasing, main street rentals remained stable

stable across all sub-markets. Overall mall vacancy

across the city.

levels remained stable from the previous quarter

25
Last Modified Date : 28-04-15

Outlook
High-end segment capital values may appreciate
marginally in Banjara Hills and Jubilee Hills in the
next quarter. Mid segment capital values in
submarkets such as Banjara Hills, Jubilee Hills,
Madhapur and Gachibowli may witness marginal
appreciation due to sustained demand and
availability of good offerings at competitive prices.

quality office spaces in Madhapur may result in
heightened demand in Gachibowli.
With no new supply addition and limited
availability in existing malls, rentals are likely to
remain stable in the next quarter. Rentals across
most main streets are expected to remain stable in
the upcoming quarter as leasing is expected to

Nearly 2.6 msf of supply infusion is expected in

remain steady. However, access related issues in

the upcoming quarter. Rental values in Suburban

specific micro-markets such as Raj Bhavan Road /

Gachibowli submarket may appreciate marginally in

Somajiguda may be a reason for waning retailers’

the next quarter as upcoming supply is likely to be

interest, which may lead to lower demand and

introduced at higher rentals. Limited availability of

subsequently lower rentals.

26
Last Modified Date : 28-04-15

Jaipur
Market Overview
Approximately 1,200 units were launched in

READY RESIDENTIAL PROPERTY VALUES IN MARCH '15

Jaipur during the first quarter of 2015, a 44%
decline from the previous quarter. The quarter
witnessed unti launches primarily in the mid
segment. Locations across Mansarovar witnessed
the highest number of new unit launches followed by
Sirsi Road and Vaishali Nagar. Capital Values
appreciated marginally (around 1-3%) in both mid
and high-end segment.
No new office supply was added in the first
quarter of 2015. Transaction activity remained

Source: Cushman & Wakefield Research

Represents Mid and High End segments

stable during the quarter with demand primarily
from IT-ITeS and manufacturing companies. Rentals
maintained status quo from the previous quarter,
across all submarkets.

(M.I.) Road and Malviya Nagar. During the quarter,
demand for mall spaces arose from large apparel,

No new mall supply was added during the first

lifestyle and F&B retailers. Rentals across malls and

quarter of 2015. Healthy transaction activity was

main street locations maintained status quo during

noted in the main street locations of Mirza Ismail

the quarter.

Trends & Updates
Ready Residential Property Update
Capital values increased in the range of 1-2%

values remained stable in Bapu Nagar, C-Scheme

across high-end and mid segment properties during

witnessed the highest increase of 2.1% followed by

the first quarter of 2015, due to stable demand from

Civil Lines (1.4%) and Malviya Nagar (1.3%).

end-users. In the high-end segment, whilst capital

27
Last Modified Date : 28-04-15

Average
Average
Capital
Capital
Values
Values
– High-end
– High End
Segment
(INR ‘000/sf)
(INR)
1Q 2014

2Q 2014

C- Scheme

8,000-10,500/sf

8,000-10,500/sf

8,000-11,000/sf

8,000-11,000/sf

8,200-11,200/sf

Bapu Nagar

7,000-9,000/sf

7,000-9,000/sf

7,000-9,000/sf

7,000-9,000/sf

7,000-9,000/sf

Civil Lines

80,000-100,000/sqyd

80,000-100,000/sqyd

80,000-110,000/sqyd

80,000-115,000/sqyd

82,500-115,000/sqyd

75,000-95,000/sqyd

75,000-100,000/sqyd

75,000-105,000/sqyd

77,500-105,000/sqyd

Location

Malviya Nagar 75,000-95,000/sqyd

3Q 2014

4Q 2014

1Q 2015

Source: Cushman and Wakefield Research
Note: The above values for high-end segment typically include units of 2,000-4,000 sf, both apartments and villas
*sqyd: Square Yard

Average
AverageCapital
CapitalValues
Values––Mid
High
Segment
End (INR(INR)
‘000/sf)
Location

1Q 2014

2Q 2014

3Q 2014

4Q 2014

1Q 2015

Malviya Nagar

60,000-75,000/sqyd

60,000-75,000/sqyd

60,000-75,000/sqyd

65,000-75,000/sqyd

65,000-77,500/sqyd

Vaishali Nagar

2,900-3,300/sf

2,900-3,400/sf

2,900-3,600/sf

2,900-3,600/sf

3,000-3,600/sf

Mansarovar

3,000-3,400/sf

3,000-3,500/sf

2,800-3,800/sf

2,800-3,850/sf

2,800-3,850/sf

Jagatpura

2,900-3,200/sf

2,900-3,300/sf

2,900-3,400/sf

2,900-3,500/sf

2,900-3,500/sf

Source: Cushman and Wakefield Research
Note: The above values for mid segment apartments typically include units of 1,600-2,000 sf, both apartments and villas
*sqyd: Square Yard

New Residential Launches
In the first quarter of 2015, new project launches

The quarter witnessed launches only in the mid

were primarily in the Western peripheries of the city.

segment. The Basic Sale Price (BSP) of the new

Nearly 1,200 units were launched, of which 39%

launches ranged from INR 2,400-3,500/sf.

were in Mansarovar followed by 34% in Sirsi Road,
17% in Vaishali Nagar and remaining in Jagatpura.

Project Name

Developer

Location

Number of Units*

Type

Area of Units (in sf)

Terraza Greens

Shivank Group

Mansarovar

380

Apartments

2 BHK: 1,257 to 1,390
3 BHK: 1,321 to 1,782

Ozone

SNG Group

Sirsi Road

312

Apartments

2 BHK: 950 to 1,509
3 BHK: 1,200 to 2,000

The Horizon

Vardhman Group

Vaishali Nagar

204

Apartments

2 BHK: 900 to 1,200
3 BHK: 1,420 to 1,545

Bhavyaa Green

Aradhana Buildtech

Jagatpura

108

Apartments

2 BHK: 1,050 to 1,310
3 BHK: 1,560 to 1,580

Atelier Erica

Apeksha Group

Sirsi Road

98

Apartments

2 BHK: 980
3 BHK: 1,300 to 1,450

The Trump

IPG Group

Mansarovar

90

Apartments

2 BHK: 952 to 1,300
3 BHK: 1,300

* Estimated and as per market information

28
Last Modified Date : 28-04-15

Under Construction Residential Property Update
Around 11 projects began offering possession in

submarkets. The next quarter is expected to witness

the first quarter of 2015. Submarkets of Vaishali

completions primarily in the submarket of C-schme

Nagar witnessed the highest share of completions

and Sanganer.

along with projects on Ajmer Road and Sanganer

Commercial Office Sector
No new office supply was added in the first quarter

District (SBD) at INR 35-50/sf/month. IT-ITeS and

of 2015. Rental values in the Central Business District

manufacturing companies had a majority share in

(CBD) of MI Road and C-Scheme remained stable at

office space take-up during the quarter.

INR 65/sf/month and that for Secondary Business

Retail Sector
No new mall supply was added during the first

apparels and F&B retailers such as Van Heusen, Allen

quarter of 2015. Demand for mall spaces was primarily

Solly and Dunkin Donuts. Rentals remained stable

from large lifestyle and apparel brands such as Marks

from the previous quarter across malls and main

& Spencer and Shoppers Stop. Main street locations of

street locations.

MI Road and Malviya Nagar witnessed interest from

Outlook
Capital values in the residential sector are likely
to remain stable in the short term with marginal
improvement in submarkets of C-scheme and Sirsi
Road, due to bettering infrastructure. Considering
that only a few projects are currently in the prelaunch stages, number of new launches are likely to
decline in the future periods.
New office space measuring 80,000 sf is

values are expected to remain stable with stagnant
demand for office space.
No new mall supply is expected to be added in the
next quarter. Rentals are expected to remain stable
in malls due to existing high vacancies. Main street
location of MI road, Malviya Nagar and Vaishali
nagar are expected to witness slight increase in
rentals due to increased interest from retailers.

expected to be added during the next quarter. Rental

29
Last Modified Date : 28-04-15

Kolkata
Market Overview
New residential unit launches declined by about

READY RESIDENTIAL PROPERTY VALUES IN MARCH '15

40% from the previous quarter, with nearly 2,200
units launched in the first quarter of 2015.

The

decline in unit launches was primarily due to low
activity in North and South Peripheral locations. Mid
segment’s share was the highest in total unit
launches, at 78%, whilst the remaining was
contributed by the high-end segment. Capital values
remained stable from the previous quarter, across
submarkets and segments.
Commercial office sector witnessed a total supply

Source: Cushman & Wakefield Research

Represents Mid and High End segments

addition of 179,000 sf in 1Q 2015, about 60% lower
than the previous quarter. Supply during the quarter
was concentrated in the CBD and Salt Lake
submarkets with 64% and 36% share, respectively.
Overall net absorption during the quarter increased
by 17% from the previous quarter and was around
231,000 sf. Overall vacancy levels at the end of 1Q
2015 were 33.1%. Rentals largely remained stable
from the previous quarter, across submarkets owing
to low demand and high vacancy.

subdued leasing activity compared to the previous
quarter. Mall supply of about 300,000 sf was
deferred and as a result, the mall stock remained at
3.87 msf. Mall vacancy dropped by 0.06 percentage
points from the previous quarter, and was noted at
3.11%. Demand emanated primarily from home
furnishings and apparel brands during the quarter.
Rental values remained stable during the quarter
across main streets and malls.

During 1Q 2015, main streets continued to witness
healthy leasing activity, whilst malls reported

Trends & Updates
Ready Residential Property Update
Around 4,300 units were completed in 1Q 2015,

units were concentrated in South-east submarket

significantly higher than the previous quarter as

(primarily EM Bypass), 26% in North-peripheral

many delayed projects were also completed during

submarket (Barasat and Birati) and the remaining

this quarter. Of the total units completed, around

were spread across various submarkets. Some of the

39% were in the high-end segment, 33% in the mid

prominent projects completed during the quarter

segment whilst the remaining 28% were in the

include Urbana in South-east submarket and Larica

affordable segment. Nearly 36% of the completed

in North-peripheral submarket.

30
Last Modified Date : 28-04-15

Average Capital Values – High-End Segment (INR ‘000/sf)
2014

1Q 2015

7.5 - 13.0

7.5 - 13.0

7.5 - 13.0

10.0 - 18.0

12.5 - 18.5

12.5 - 18.5

12.5 - 18.5

5.8 - 9.2

5.8 - 9.5

6.0 - 10.5

6.2 - 11.0

6.2 - 11.0

8.9 - 13.0

10.0 - 15.0

10.0 - 15.0

12.0 - 17.0

12.0 - 17.0

12.0 - 17.0

7.2 - 10.0

8.0 - 12.5

9.0 - 15.0

10.0 - 17.0

12.0 - 19.5

12.0 - 19.5

12.0 - 19.5

East

4.0 - 5.2

4.0 - 5.5

4.5 - 6.0

4.5 - 6.8

5.0 - 7.7

5.0 - 7.7

5.0 - 7.7

North - East

3.0 - 4.0

3.2 - 4.5

3.5 - 5.0

3.8 - 5.7

4.2 - 6.5

4.3 - 6.5

4.3 - 6.5

2009

2010

South

4.8 - 5.9

5.3 - 6.8

6.3 - 8.5

7.0 - 12.0

South - Central

8.5 - 9.6

9.5 - 13.0

10.0 - 18.0

South - East

4.5 - 5.7

4.5 - 8.0

South - West

8.6 - 9.8

Central

Location

2011

2012

2013

Source: Cushman and Wakefield Research
Note: The above values for high-end segment typically include units of 2,000-4,000 sf

Average Capital Values – Mid Segment (INR ‘000/sf)
2009

2010

2011

2012

2013

2014

1Q 2015

South

2.7 - 3.9

3.2 - 4.5

3.8 - 5.5

3.8 - 5.5

3.8 - 6.5

4.0 - 6.7

4.0 - 6.7

South - Central

4.2 - 5.3

4.5 - 6.0

5.5 - 8.0

5.5 - 8.0

5.8 - 8.8

5.9 - 8.9

5.9 - 8.9

South - East

2.4 - 2.8

2.5 - 3.2

2.8 - 4.5

2.8 - 4.5

2.9 - 5.0

3.0 - 5.2

3.0 - 5.2

North - East

1.9 - 2.2

2.2 - 2.7

2.4 - 3.0

2.4 - 3.5

2.7 - 4.0

2.9 - 4.1

2.9 - 4.1

North

1.8 - 3.4

2.2 - 4.7

2.8 - 5.2

2.8 - 5.2

3.0 - 5.8

3.1 - 6.0

3.1 - 6.0

Location

Source: Cushman and Wakefield Research
Note: The above values for mid segment typically include units of 1,000-2,000 sf

Key to Locations:
High-end Segment:
South: Southern Avenue, Hindustan Park, Triangular
Park, Lake Terrace.
South Central: Ballygunge, Queens Park, Rainy Park,
Gurusaday Road, Ballyguange Circular Road, Dover Lane.
South-East: EM Bypass - Science City, Christopher Road,
Pancha Sayar.
South-West: Alipore Park Road, Ashoka Road, Burdwan
Road, Belvedere Road.

Mid segment:
South: Golf Green, Tollygunge, Lake Gardens, Jodhpur Park
South-central: Deshpriya Park, Hazra Road, Bhawanipur
South-east: Ajoy Nagar, Hiland Park, PA Shah
Connector
North-east: Rajarhat, Rajarhat Chowmatha
South-west: Tollyguange Circular Road, New Alipore,
Behala, Jones Lang Sarani

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

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

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

North peripheral: BT Road, Barasat, Madhyamgram,
Sodepur

East: Salt Lake

South peripheral: Garia, Narendrapur, Sonarpur,

North-East: New Town, Rajarhat

South-west peripheral**: Joka, Maheshtala, Budge
Budge, Thakurpukur
31
Last Modified Date : 28-04-15

New Residential Launches
New residential unit launches dropped by about

about 78% catered to the mid segment, whilst the

40% from the previous quarter, with 2,200 units

remaining to the high-end segment. A few theme-

launched in the first quarter of 2015. The decline in

based projects were launched during the quarter in

unit launches was primarily due to low launch activity

Rajarhat and EM Bypass in North-east and South-east

in North and South peripheral locations wherein large

submarkets, respectively. A few developers also

project launches were deferred due to approval

offered home loan interest rates as low as 7-8%

delays. Of the total unit launches during the quarter,

(under special schemes) to attract buyers.

Project Name

Developer

Location

Number of Units*

Type

Area of Units (in sf)

Springfield

Unimark Group

Rajarhat

522

Apartments

2 BHK: 923 to 1,008
3 BHK: 1,160 to 1,417
4 BHK:1,711 to 1,738

Galaxia 2

Siddha Group

Rajarhat

408

Apartments

2 BHK: 1,005 to 1,090
3 BHK: 1,230 to 1,370

The Pyramid

Mounthill Realty

Rajarhat

340

Apartments

2 BHK: 969
3BHK: 1,301 to 1,536

Richmond Park (Phase 1) Eden Group

Atlas More

150

Apartments

2 BHK: 844 to 994
3 BHK:1,035 to 1,318

Zen

PS Group/ Srijan
Realty

Topsia

117

Apartments

3 BHK: 2,123 to 2,317
4 BHK: 2,831 to 2,940

Belvedere

Eden Group

Nayabad

75

Apartments

1 BHK: 400 to 459
2 BHK: 763 to 987
3 BHK: 1,133 to 1,342

Kings Hut (Phase 2)

Real Networth Builders

Rajarhat

72

Apartments

2 BHK: 762 to 875
3 BHK: 930 to 1,262

Sky Terraces

Eden Group

Nayabad

63

Apartments

2 BHK: 972 to 1,029
3BHK: 1,121 to 1,484

Tolly Signature Plus

Eden Group

Tollygunge

62

Apartments

2 BHK: 956 to 1,151
3 BHK: 1,294 to 1,660

Orange Nest

Cancun Group

Rajarhat

56

Apartments

2 BHK: 880 to 1,040
3 BHK: 1,135 to 1,300

Fabulous Duo

Fabulous Group

Rajarhat

48

Apartments

2 BHK: 872 to 1,032
3 BHK: 1,269 to 1,464

Sarovar Residency

Sweet Hut Group

Rajarhat

45

Apartments

2 BHK: 810 to 9502
3 BHK: 1,270

Avion

Sri Siddhi Vinayak

Rajarhat

41

Apartments

1 BHK: 482
2 BHK: 700 to 891
3 BHK:1,016 to 1,310

Sinjini Apartment

Sweet Hut Group

Rajarhat

38

Apartments

2 BHK: 900 to 937
3 BHK: 1,145 to 1,280

Elanza

Magnolia Infra

Rajarhat

32

Apartments

2 BHK: 845 to 875

Aspire

Magnolia Infra

Rajarhat

32

Apartments

2 BHK: 650 to 720
3 BHK: 920 to 1,150

Iris

Cancun Group

Rajarhat

30

Apartments

1 BHK: 561
2 BHK: 704 to 915

Jeevandeep

Banyan Tree Group

Rajarhat

25

Apartments

1 BHK: 487
2 BHK: 810 to 1,032
3 BHK:1,122

Sikha Tuku

Unimark Group

Garia

14

Apartments

3 BHK: 1,500 to 1,635

Palatial

Saltee Group

Syed Amir Ali Avenue

13

Apartments

4 BHK: 4,500

Exotica (Block K)

Eden Group

EM Bypass

8

Apartments

2 BHK: 920 to 983

* Estimated and as per market information

32
Last Modified Date : 28-04-15

Under Construction Residential Property Update
Approximately 5,700 units were in the final

construction projects remained stable across

stages of construction and are likely to be delivered

submarkets. However, select projects in the North-

in the next quarter. Prominent projects that are

east and North submarket’s mid segment witnessed

nearing completion include Orbit Crystal in the

marginal appreciation of about 2-3% on the back of

South-west submarket and Clubtown Gateway in the

healthy demand owing to the location’s proximity to

North-east submarket, both catering to the high-end

IT hubs and improving physical infrastructure.

segment. In 1Q 2015, capital values of under

Commercial Office Sector
Around 178,500 sf of office space was added in 1Q

increase of 16% from the previous quarter. However,

2015, about 63% lower than the previous quarter.

the total Grade A net absorption was higher

This was primarily due to deferment of a few large

(288,000 sf) due to relocations from lower grade

projects, owing to subdued demand. Nearly 64% of

properties. About 92% of the total absorption was

total supply added during the quarter was

noted in the peripheral submarkets of Salt Lake

concentrated in the CBD, whilst the remaining 36%

(75%) and Rajarhat (17%). Overall vacancy levels at

was in the Salt Lake submarket. Total net absorption

the end of 1Q 2015 were 33.1% whilst the rentals

during the fourth quarter was noted at 231,000 sf, an

remained stable from the previous quarter.

Retail Sector
During 1Q 2015, main streets witnessed healthy

of retail space in prime main street of Elgin Road in

leasing activity, whilst it remained subdued in malls as

central Kolkata. Mall supply of about 300,000 sf was

compared to the previous quarter. Central locations

deferred and so the mall stock remained at 3.87 msf.

such as Camac Street, Elgin Road, Theatre Road and

Hence, mall vacancy dropped by 0.06 percentage

Park Street led the leasing activity in both main

points and was noted at 3.11%. Global restaurant chain

streets and malls. Home furnishings and apparels

- Thank God Its Friday (TGIF) leased about 9,800 sf in a

were the most active segments during the quarter.

mall located on Elgin Road. Rental values remained

International apparel brand Marks & Spencer

stable during the quarter across main streets and

expanded its presence in the city by leasing 16,000 sf

malls in most sub-markets.

33
Last Modified Date : 28-04-15

Outlook
Total unit launches in the next quarter are likely

in the next quarter considering the enquiry levels

to be higher than the current quarter, considering

and pre-commitments. However, as demand is

that there are significant projects in the pre-launch

unlikely to keep pace with the upcoming supply,

stages. Rajarhat in the North-east submarket is

vacancy levels are expected to increase

likely to contribute significantly to the new launches

substantially. As a result, rentals are expected to

along with peripheral locations in North (BT Road,

remain stable or witness marginal downward

Madhyamgram, and Barasat) and South (Garia, Joka,

pressure in peripheral submarkets of Salt Lake and

Sonarpur). Capital values are likely to remain stable

Rajarhat.

across submarkets.

During the next quarter, mall supply of about

Commercial office sector is anticipated to witness

638,000 sf is likely to be added, which would be

huge supply addition of about 1.9 msf in the next

concentrated in South and West Kolkata. Healthy

quarter, of which 75% is previously deferred supply.

leasing activity is anticipated across malls and main

Nearly 66% of this upcoming supply would be

streets, considering the enquiry levels and

concentrated in Sector-V, Salt Lake submarket,

availability of retail spaces. Rentals are expected to

followed by 15% in Rashbehari Connector

remain stable across most malls and main streets.

submarket. Net absorption is anticipated to improve

34
Last Modified Date : 28-04-15

Mumbai
Market Overview
During the first quarter of 2015, Mumbai

READY RESIDENTIAL PROPERTY VALUES IN MARCH '15

witnessed approximately 4,000 unit launches, a
decline of 11% from the previous quarter. Subdued
demand led to developers refraining from launching
new projects and focussing on completion of
existing under-construction projects.
Approximately 92% of the units launched in this
quarter were in the Eastern Suburbs, followed by 3%
in the Western Suburbs - Prime, 3% in Western
Suburbs and remaining 2% in Navi Mumbai. Project
launches in the Eastern Suburbs were between
Source: Cushman & Wakefield Research

Represents Mid and High End segments

Kanjurmarg and Mulund where erstwhile industrial
plots are being redeveloped. Despite subdued
demand, capital values were stable across all submarkets from the previous quarter.

In the retail sector, overall mall vacancies
increased 1.0 percentage points to 17.0% at the end
of 1Q 2015. The increase in vacancy was due to exits

Mumbai witnessed office net absorption of

in malls located at Thane and Mulund. Limited

approximately 1.1 msf, an increase of 24% from the

availabilities and continued demand for space

previous quarter. Net absorption was primarily

resulted in mall rentals appreciating at Goregaon,

concentrated in Malad-Goregaon (27%), Thane-

Lower Parel and Vashi in the range of 7-9% from the

Belapur Road (23%) and Powai (16%). IT-ITeS (65%),

previous quarter. Demand in these malls was

BFSI (9%), and manufacturing (9%) sectors drove

primarily from F&B, lifestyle and apparel brands.

transaction activity during the quarter. Pre-

Stable demand kept rentals unchanged across most

commitments of 284,000 sf were noted during the

major main streets. High demand (primarily from

quarter primarily in a development nearing

F&B and apparel retailers) led to a quarterly increase

completion in Bandra-Kurla Complex. New supply for

of 15% in main street rentals at Vashi.

the first quarter was approximately 1.1 msf. With
continued supply addition, Grade A vacancy
increased 1.1 percentage points over the quarter and
was noted at 21.7%.

Trends & Updates
Ready Residential Property Update
Despite subdued demand, capital values of

stable during the quarter.

ready residential properties largely remained

35
Last Modified Date : 28-04-15

Average Capital Values – High-end Segment (INR ’000/sf)
2008

2009

2010

2011

2012

2013

2014

1Q 2015

South

43.0 - 55.0

42.5 - 58.0

43.0 - 60.0

45.0 - 65.0

48.0 - 70.0

48.0 - 75.0

48.0 - 75.0

48.0 - 75.0

South Central

47.0 - 67.0

42.0 - 66.0

45.0 - 70.0

45.0 - 75.0

46.0 - 78.0

46.0 - 83.0

46.0 - 83.0

46.0 - 83.0

Central

33.0 - 53.0

34.0 - 55.0

35.0 - 55.0

32.0 - 54.0

34.0 - 58.0

27.0 - 65.0

27.0 - 65.0

27.0 - 65.0

North

27.0 - 31.0

22.0 - 30.0

24.0 - 32.0

24.0 - 32.0

28.0 - 40.0

28.0 - 48.0

28.0 - 48.0

28.0 - 50.0

Far North

9.0 - 13.0

10.0 - 16.5

11.0 - 16.5

11.0 - 16.5

12.5 - 18.0

12.5 - 18.0

12.5 - 18.0

12.5 - 20.0

North East

14.0 - 18.0

10.0 - 16.0

10.0 - 16.0

10.0 - 18.0

14.0 - 22.0

15.0 - 22.0

15.0 - 22.0

15.0 - 22.0

Location

Source- Cushman and Wakefield Research
Note: The above values for high-end segment typically include units of 2,500-6,000 sf for South, South-Central, Central and North and units of 1,650-3,000 sf
for North (Santacruz & Juhu), Far North and North-East

Average Capital Values – Mid Segment (INR'000/sf)
2008

2009

2010

2011

2012

2013

2014

1Q 2015

South

27.0 - 34.0

28.0 - 37.0

30.0 - 40.0

30.0 - 40.0

35.0 - 45.0

40.0 - 50.0

40.0 - 50.0

40.0 - 50.0

South Central

34.0 - 43.0

35.0 - 45.0

40.0 - 48.0

43.0 - 52.0

43.0 - 52.0

45.0 - 58.0

45.0 - 58.0

45.0 - 58.0

Central

18.0 - 28.0

15.0 - 26.0

17.0 - 30.0

17.0 - 35.0

22.0 - 37.0

23.0 - 40.0

23.0 - 40.0

23.0 - 40.0

North

13.5 - 19.5

16.0 - 24.0

16.0 - 25.0

16.0 - 25.0

18.0 - 27.0

20.0 - 30.0

20.0 - 30.0

20.0 - 30.0

Far North

7.0 - 9.0

8.5 - 11.5

9.0 - 12.0

9.0 - 13.0

10.0 - 14.0

10.0 - 14.0

10.0 - 14.0

10.0 - 14.0

North East

6.0 - 7.4

6.4 - 8.5

6.5 - 8.5

6.5 - 10.0

8.5 - 12.5

8.5 - 12.5

9.0 - 13.0

9.0 - 13.0

Location

Source: Cushman and Wakefield Research
Note: The above values for mid segment typically include units of 1,400-2,500 sf for South, South-Central, Central and North and units of 900-1,400 sf for
Far North and North-East

Key to Locations:
South: Colaba, Cuffe Parade, Nariman Point, Churchgate, etc.
South Central: Altamount Road, Carmichael Road, Malabar
Hill, Napeansea Road, Breach Candy, Pedder Road, etc.
Central: Worli, Prabhadevi, Lower Parel/ Parel
North: Bandra (W), Khar (W), Santacruz (W), Juhu, etc.
Far North: Andheri (W), Malad, Goregaon, etc.
North-East: Powai

36
Last Modified Date : 28-04-15

New Residential Launches
Approximately 4,000 units were launched in the

large unit size offerings was launched in Mulund, due

first quarter of 2015, a decline of 11% from the

to which 3 BHK offerings dominated unit launches

previous quarter. Mid and high-end segment

with a 53% contribution, followed by 2 BHKs (24%),

contributed 49% and 51% respectively to total unit

4 BHKs (8%), 1 BHKs (8%) and 1.5 BHKs (7%).

launches during the quarter. A premium project with

Project Name

Developer

Location

Number of Units*

Type

Area of Units (in sf)

Eternia

Oberoi Realty

Mulund

1,100

Apartments

3 BHK: 880 to 1,012 sf*

Runwal Forest

Runwal Group

Kanjurmarg

1,100

Apartments

1 BHK: 725 sf
2 BHK: 1,025 to 1,200 sf
3 BHK: 1,575 to 1,800 sf

Enigma

Oberoi Realty

Mulund

600

Apartments

3 BHK: 1,257 sf*
4 BHK: 1,862 sf*

One Spirit

Nirmal Lifestyle

Mulund

480

Apartments

1 BHK: 639 sf
2 BHK: 882 sf
3 BHK: 1,143 sf

Alta Vista

Spenta Corporation

Chembur

360

Apartments

1 BHK: 690 to 715 sf
2 BHK: 989 to 1,108 sf
3 BHK: 1,452 to 1,582 sf

Lamansion

K Mordani Realty

Bandra East

146

Apartments

2 BHK: 1,225 to 1,235 sf
3 BHK: 1,575 to 1,585 sf

Prisma

Oberoi Realty

Jogeshvari Vikhroli
Link Road

100

Apartments

4 BHK: 1,691 to 2,075 sf*

Akshar Alvario

Akshar Developers

Nerul

92

Apartments

2 BHK: 1,195 to 1,210 sf
3 BHK: 1,805 to 2,120 sf

#
Estimated and as per market information
* Based on carpet area

Under Construction Residential Property Update
Both peripheral and suburban locations
witnessed healthy construction activity during the
first quarter of 2015. Despite subdued demand,
developers held on to the capital values. With an aim

to increase sales velocity, a few developers offered
subvention schemes and low down payment options
whilst some collaborated with financial institutions
to offer lower interest rates for a certain period.

Commercial Office Sector
New office supply of 1.1 msf became operational in
Mumbai, all of which was in Grade A developments.
Supply was nearly half the previous quarter and was
concentrated in Kurla (45%), Malad-Goregaon

(38%) and Lower Parel (17%). Low demand resulted
in CBD rentals declining by 10% during the quarter.
Rentals in all other submarkets continued to be
quoted in a similar range during the first quarter.

37
Last Modified Date : 28-04-15

Retail Sector
High demand coupled with limited availabilities
resulted in main street rentals at Vashi increasing by
15% over the quarter. Stable demand resulted in
rentals remaining unchanged across all other main
streets. Mall rentals appreciated in Vashi (9%),

Goregaon (8%) and Lower Parel
quarter. Select malls in Goregaon
are looking to get in new brands
densities and maintain their
amongst competitors.

(7%) during the
and Lower Parel
to boost trading
distinctiveness

Outlook
In February 2015, the Municipal Corporation of

as Lower Parel and Goregaon in the upcoming

Greater Mumbai released draft Development Plan

months due to high demand and limited quality

2034 which proposes higher FSI of upto 8,

availabilities; rentals in all other sub-markets are

depending on the location. This may lead to a decline

likely to remain stable.

in project launches, as developers may refrain from
launching new projects until these regulations come
into effect. Residential capital values are expected to
remain stable in the short term, as any price hike
may negatively affect demand.

Mall rentals may appreciate in quality
developments in Lower Parel and Goregaon due to
increasing demand from F&B and apparel brands.
High level of enquiries for prime main streets of
Borivali LT Road and Lokhandwala - Andheri may also

The second quarter of 2015 is expected to witness

result in higher rentals at these locations. Enquiries

office supply of 1.5 msf in Bandra-Kurla Complex.

for quality space remains high especially from foreign

With improving macro-economic conditions and

apparel brands such as H&M, Gap and Massimo Dutti,

companies looking to execute growth strategies,

due to which transaction activity in main streets is

demand is likely to improve in the coming quarters.

likely to increase in the coming quarter.

Rentals are likely to improve in a few locations such

38
Last Modified Date : 28-04-15

Pune
Market Overview
Nearly 3,300 units were launched in Pune in the

READY RESIDENTIAL PROPERTY VALUES IN MARCH '15

first quarter of 2015. Launch activity declined by
33% from the previous quarter, as many developers
launched only select blocks in their upcoming
projects. Mid segment contributed 70% to the total
unit launches, followed by the high-end (21%) and
affordable segment (9%). Capital values remained
stable from the previous quarter across all
segments.
Total office supply of 731,300 sf was added in the

Source: Cushman & Wakefield Research

Represents Mid and High End segments

first quarter of 2015. 76% of this supply was
contributed by Grade A developments in Off-CBD –
East and Suburban East micro-markets. 68% of the
supply came in through completion of 500,000 sf

Mall inventory remained unchanged in 1Q 2015, as

phase in an SEZ. Despite substantial supply addition,

a mall was deferred due to approval delays. Mall

healthy transaction activity led to 0.5 percentage

vacancy dipped by 2.3 percentage points in a

points quarterly decline in All Grade vacancy, to be

quarter, to be noted at 20.7% due to stable

noted at 19.9% in 1Q 2015.

transaction activity and no new supply addition.

Trends & Updates
Ready Residential Property Update
Due to high unsold inventory, capital values

better manage project cash-flows and concentrate

across locations maintained status quo. The quoted

on clearing existing stock. One luxury project in

values remained in the same range across segments

suburban Pune, handed over units in one tower.

as developers staggered launch activity in phases, to

39
Last Modified Date : 28-04-15

Average Capital Values – High-end Segment (INR '000/sf)
2008

2009

2010

2011

2012

2013

2014

1Q 2015

Koregaon Park,
Boat Club

9.6 - 12.7

8.5 - 10.7

9.0 - 13.0

13.0 - 15.5

14.0 - 17.0

14.0 - 17.0

15.0 - 17.0

15.0 - 17.0

Aundh

4.9 - 6.1

5.0 - 5.2

5.0 - 5.5

5.0 - 6.0

8.0 - 10.0

9.0 - 11.0

9.0 - 12.5

9.0 - 12.5

Baner

NA

NA

5.0 – 6.5

6.5 – 7.5

8.0 – 10.0

8.0 – 10.0

8.5 – 11.5

8.5 – 11.5

Kalyani Nagar

7.6 - 9.6

7.3 - 9.2

8.0 - 12.0

8.0 - 12.5

12.0 - 14.0

12.0 - 15.0

12.0 - 15.0

12.0 - 15.0

Wanowrie, NIBM,
Kondhwa

3.4 - 4.5

3.3 - 3.6

4.0 - 5.0

4.0 - 5.5

5.0 - 6.2

5.2 - 6.5

5.2 - 7.0

5.2 - 7.2

Location

Source: Cushman and Wakefield Research
Note: The above values for high-end segment typically include units of 1,650-3,000 sf

Average Capital Values – Mid Segment (INR '000/sf)
2008

2009

2010

2011

2012

2013

2014

1Q 2015

Koregaon Park,
Boat Club

4.5 - 5.0

4.5 - 5.5

6.0 - 7.0

6.0 - 7.0

8.0 - 10.0

8.0 - 10.0

8.5 - 10.5

8.5 - 10.5

Aundh

3.5 - 4.0

3.6 - 4.2

4.0 - 5.0

4.5 - 5.5

6.0 - 7.0

6.5 - 8.0

7.5 - 8.5

7.5 - 8.5

Baner

3.0 - 3.8

2.9 - 3.6

3.5 - 5.5

4.0 - 5.5

5.0 - 6.0

5.7 - 6.8

6.0 - 7.5

6.0 - 7.5

Wakad

2.5 - 3.0

2.2 - 2.8

3.5 - 4.0

3.7 - 4.5

4.0 - 4.7

4.7 - 5.5

5.1 - 5.7

5.1 - 5.7

Kalyani Nagar

4.5 - 5.5

4.5 - 5.5

6.5 - 7.0

6.5 - 7.5

7.0 - 8.0

7.0 - 8.0

8.0 - 9.0

8.0 - 9.0

Wanowrie, NIBM,
Kondhwa

3.0 - 3.2

2.8 - 3.1

4.0 - 5.5

4.0 - 5.5

4.8 - 6.0

4.8 - 6.0

5.0 - 6.0

5.0 - 6.0

Location

Source: Cushman and Wakefield Research
Note: The above values for mid segment typically include units of 1,200-1,400 sf

New Residential Launches
Nearly 3,300 units were launched in 1Q 2015, a

units, having an average size of 1,000 sf had a 48%

33% decline from the previous quarter. Due to launch

share in the total units launched this quarter.

of only select towers/blocks in majority of the

Locations such as Hinjewadi, Wakad, Tathawade,

residential projects, average number of units

Bavdhan, Balewadi and Sus along NH4 Bypass (North)

launched per project declined from 289 units in 4Q

dominated the launch activity with a 24% share.

2014 to 183 in 1Q 2015. 2 Bedroom-Hall-Kitchen (BHK)

Project Name

Developer

Location

Number
of Units*

Type

Area of Units (in sf)

Panchshil Towers

Panchshil Realty

Kharadi

478

Apartments

3 BHK: 2,860
4 BHK: 3,400 to 6,700
5 BHK: 8,000

Abhiruchi Parisar

Paranjape Schemes

Dhayari

362

Apartments

1 BHK: 481 to 490
1.5 BHK: 697 to 937
2 BHK: 685 to 826
2.5 BHK: 1,045 to 1,402
3 BHK: 854 to 2,067
3.5 BHK: 1,400 to 1,439

Colori

Amit Enterprises

Undri

288

Apartments

1 BHK: 528
1.5 BHK: 663
2 BHK: 774

Tinsel Town

Kohinoor Group

Hinjewadi

272

Apartments

2 BHK: 993 to 1,003
3 BHK: 1,351 to 1,367

Saarrthi Skybay

Saarrthi Group

Baner

250

Apartments

1 BHK: 664
2 BHK: 1,019 to 1,076
3 BHK: 1,400 to 1,500

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Project Name

Developer

Location

Number
of Units*

Type

Area of Units (in sf)

Richmond Park

Paranjape Schemes

Rahatani

231

Apartments

2 BHK: 635 to 1,367
3 BHK: 926 to 1,604

Ganga Acropolis

JV - Goel Ganga
Developments, Gagan
Developers, Kalyani
Constructions, Fortune
Properties

Baner

204

Apartments

2 BHK: 1,192
3 BHK: 1,562 to 1,591

Nyati Ethos

Nyati Group

Undri

192

Apartments

2 BHK: 1,000
3 BHK: 1,295 to 1,608

Azure

Paranjape Schemes

Tathawade

160

Apartments

2 BHK: 788 to 1,222
2.5 BHK : 1,757 to 1,968
3 BHK: 1,199 to 1,711

The Address

Adi Group

Wakad

144

Apartments

2 BHK: 996
2.5 BHK: 1,022 to 1,033

Kalpataru Serenity

Kalpataru

Manjri

138

Apartments

1 BHK: 650
2 BHK: 1,050
3 BHK: 1,426

Silverstone

JV- Panama Group
and Sunarch Developers

Handewadi

133

Apartments

1 BHK: 839
2 BHK: 1,028
2.5 BHK: 1,316

Gloria Grand

Paranjape Schemes

Bavdhan

100

Apartments

2 BHK: 829 to 882
3 BHK: 1,055 to 1,131

Montvert Avion

Montvert Homes

Sus

90

Apartments

2 BHK: 936 to 940
2.5 BHK: 1,060 to 1,119
3 BHK: 1,316 to 1,428

Lodha Riviera

Lodha

Gahunje

88

Apartments

2 BHK: 1,341

Sobha Elanza

Sobha
Developers

Kothrud

82

Apartments

3 BHK: 1,755 to 2,081
3 BHK (PH): 3,400
4 BHK: 2,574

Skylark Residences

JV- Vastupurti
Associates, Valay
Realty, Excell
Constructions,
Crystal Landmarks

Baner

44

Apartments

2 BHK: 991 to 1,113
3 BHK (PH): 2,503 to 2,704

Montvert Lumiere

Montvert Homes

Balewadi

38

Apartments

3 BHK: 1,494 to 1,515
4 BHK (PH): 3,050 to 3,183

* Estimated and as per market information

Under Construction Residential Property Update
In 1Q 2015, three reputed developers came up with

many developers are expected to follow the trend

individual property exhibitions. These exhibitions

and come up with individual property exhibitions.

offered attractive schemes and discounts for both

Existing high unsold inventory levels led to capital

on-the-spot as well as online bookings, and some

values remaining stable across segments and

projects were available for very low booking

locations. NH4 Bypass in the West and Kharadi,

amounts. Due to the attractive discounts and

Wagholi etc. in the East witnessed significant

promotional activities, these events were successful

construction activity during the quarter.

in generating significant footfalls. Going forward,

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Commercial Office Sector
Pune recorded 838,200 sf of net absorption in the

ITeS sector. Nagar Road, Yerwada and Hinjewadi

first quarter of 2015. Though the net absorption levels

witnessed majority of the leasing activity during the

declined by 41% from the previous quarter, it

quarter. Overall weighted average rentals registered a

improved 35% from the same period last year. 76% of

marginal improvement from the previous quarter, due

total net absorption was in Grade A developments.

to an increase in quoted rentals of certain Grade A

Approximately 1.03 msf of leasing activity was

buildings and new supply addition at higher rentals.

recorded in 1Q 2015, with 57% contribution from IT-

Retail Sector
Malls continued to drive leasing activity in the

3.1% and 3.8% from the previous quarter, in MG

first quarter of 2015. Hadapsar and Koregaon Park

Road and FC Road respectively. However, during the

sub-market recorded rental correction of 3.8% and

same period, main streets of Aundh and Old Mumbai

5% during the quarter, due to exit of a few retailers

Pune Highway in PCMC recorded 2.6% and 4.5%

from select malls amidst declining enquiries. Due to

rental appreciation respectively as more retailers

limited options for mall spaces, rentals declined by

scouted for newer locations.

Outlook
Residential launches are expected to remain
stable in the upcoming quarter, as developers are
likely to open only select towers for bookings in new
residential projects, considering the existing high
unsold inventory. This is likely to lead to stability in
rental and capital values in the short term.
Nearly 3 msf of Grade A supply is expected to be

lead to an upward revision in overall weighted
average rentals.
Two malls nearing completion are expected to
witness some transaction activity in the next
quarter. Additionally, lack of quality availabilities on
main streets is expected to retain the preference for
malls amongst occupiers. Mall rentals are expected

added in the next quarter. High quantum of new

to remain stable in the coming quarter. However, new

supply may lead to marginal increase in vacancies

mall supply in the vicinity of main streets may exert a slight

despite healthy transaction activity. This supply

pressure on main street rentals in the coming months.

addition is likely to be at higher rentals which may

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Last Modified Date : 28-04-15

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