Growing Interest for Navi Mumbai and Thane Properties

Bangalore:  Navi Mumbai and Thane have emerged out as the ideal options for developers as well as investors due to the upcoming development of international airport and other infrastructure projects. With the escalation in interest rates and increase in property prices, investors are seeking far flung locations like Navi Mumbai to develop affordable residential projects, according to property consultant CBRE, reports Kailash Babar of Economic Times.

As the interest of investors towards affordable projects are on the rise, the property prices in Navi Mumbai and Thane area have increased by 7-8 percent between the period of July 2011 and June 2012, said CBRE report. However, during the same period, the apartment prices have shot upto modest 2-4 percent in prime locations like South and Central Mumbai.

Anshuman Magazine, CMD of CBRE, South Asia, said that “There are some end-users too, but the larger portion is investors. Apart from ongoing and proposed infrastructure development, price is definitely a pull factor," reports Economic Times.

According to the report, Navi Mumbai’s not so famous areas of Karanjade, Ulwe and Dronagiri have started attracting investors because of their close proximity to the planned international airport.

During the first half of 2012, Mumbai’s residential property market has seen passive growth because of elevated interest rates. Premium locations such as South and Central Mumbai that offer residential options under luxury segment have experienced less supply during the same period.

Therefore, developers became cautious while launching their new project due to unsold inventories in micro-markets, added CBRE. Mumbai is witnessing the demand for affordable housing followed by Delhi-NCR and Bangalore.