The Mumbai residential market has maintained its growth momentum in the first half of the year 2023 with Western suburbs leading the sales chart with more than half of the property registrations in the year 2023 so far. It remained the most preferred choice for homebuyers for many reasons and the data released by various real estate consultancy firms is a testimony to this fact. According to data analyzed by Knight Frank India, the western suburbs accounted for 58% of the sales registration in January 2023, 57% in February 2023, 62% in March 2023, 54% in April 2023 and 58% in May 2023. The development that the western suburbs of Mumbai have seen over the last two decades has been commendable in terms of residential growth, physical infrastructure, commercial hubs, and social infrastructure.Over the years, there has been a steady migration of people from South Mumbai heading towards the north in the western suburbs of Mumbai. The reason for this migration is that people from South Mumbai (SOBO) areas aspire to live in housing projects that offer residents luxurious amenities, promote sustainability and inculcate the essence of community living in their projects. Post the pandemic, people prefer living together as a community and not individually; as previously was the case. And within Mumbai, we have witnessed a mini migration as people moved from their 180-300 sq ft cramped apartments in South Mumbai towards the Western suburbs, especially areas such as Andheri, Malad, Goregaon, and Borivali.
Commenting on the steady migration, Vivek Mohanani – Managing Director & CEO, Ekta World said, “We see a definite shift in the housing ecosystem in Mumbai as the city is steadily moving away from South Mumbai to vibrant locations like Goregaon, Andheri, Malad in the western suburbs. Due to its seamless connectivity and easy accessibility, the western suburban region is a uniquely-positioned hub which extends convenience to the working professionals. The region is also seeing a number of big international retail brands making their presence felt here. Most commercial hubs are now relocating to the western suburbs and therefore the demand for residential property has also increased here.”
Reiterating the same, Rohan Khatau, Director, CCI Projects said, “With Mumbai expanding and moving further north, areas such as Borivali, Kandivali, etc., are emerging as the new Mumbai Central of western suburbs on account of seamless connectivity and lifestyle upgrade. Borivali and other suburban areas are witnessing most of the customers moving from south and central Mumbai as these projects provide residents with all the conveniences in close proximity – shopping, connectivity and leisure for a comfortable living”.
Post Covid-19, people realized the importance of bigger space, and therefore in the last couple of years or so, we are seeing families selling their existing homes, taking a home loan (if required), and purchasing a large two-BHK along the Western suburbs. Besides, we are also seeing new launches along this belt. Developers too are constructing homes that come with all the modern amenities and are pocket-friendly.
As per a recent report by Anarock India, the new launches in Apr-Jun 2023 was recorded highest in the Western Suburbs at 55 percent followed by Central Suburbs with 38 percent launches. This comes from the operationalization of the second phase of two metro lines which has improved connectivity and commuting. Industry experts attribute this growth to top-tier developers coming in with their developments, multiple redevelopment projects being undertaken, infrastructural developments and a commercial boom.
Speaking on the rising demand for property in the region, Umesh Jandial, Chief Business Officer, Omkar Realtors & Developers said, “The western suburbs is strategically located with well developed conveniences and comforts; therefore is the most preferred choice of modern homebuyers. This belt as a micro market is holding strong on rental yield and ROI factor. The projects here offer ease of commute to business districts like BKC and therefore this location is witnessing premium quotient and strong demand. The location is also in close proximity to Western Express Highway, Metro lines, upcoming Coastal Road along with excellent connectivity to the airport; it provides easy accessibility to various parts of the city. The newly launched Metro Lines 2A and 7 after getting operational have improved connectivity and enhanced ease of travel for commuters. This has resulted in an increase in demand and price appreciation for residential housing in the western suburbs especially in the Malad–Goregaon region.”
Himanshu Jain, VP – Sales, Marketing and CRM, Satellite Developers Private Limited (SDPL) said, “The western suburb of Mumbai is becoming an epicenter of realty transactions, both for end-users and investors. Called as the suburb with innumerable opportunities, it boasts everything from connectivity to social infrastructure to an urban lifestyle that is driving both end-users and the developers equally to it. With so much development coming up in this area, it promises to become a great residential hub in the future.”
As per Magicbricks Prop Index Q2 2023, the western suburbs of Mumbai saw an increase in housing demand in Q2 2023. 2 BHK units accounted for 42% of the demand and 44% supply. 1 BHKs came in second amongst the preferred configuration.
Although South Mumbai might have been the favored choice for upscale residential living in the past, purchasers are presently seeking a broader range of alternatives along the Western suburbs which has witnessed phenomenal growth in the last decade.
