Sharp Plunge in Property Rates in Navi Mumbai

"Speculators are nervous. Many politicians, and builders fronting for them, bought large chunks of land in Navi Mumbai hoping the returns would be astronomical once the airport came up," said a city-based developer.  

"A builder in Ulwe (behind Seawoods) suddenly dropped the rate for his land from 60,000 a square metre to 45,000 in the past two days.  Earlier, buyers were queuing up for this land. Suddenly, the tables have been turned. They are expecting a further downward correction despite the builder reducing the rate to 45,000," added the source, reports TOI.

In Navi Mumbai, areas like Palm Beach Road, Ulwe, Kalamboli, Kharghar and Panvel have emerged as the most promising property investment destination due to the planned international airport but now the delay in construction have limit the investment on these areas.

A source of Maharashtra Chamber of Housing Industry (MCHI) stated that "It's a setback for several developers. On Palm Beach Road, builders quoted 18,000 to 22,000 a square foot (super-built-up) for flats and said that the price would double when the airport came up. Today, there are no buyers."

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