Residential Realty Bytes: Pune is one of the leading residential markets in Western India with around 4 lakh ready units
Pune, 4th October 2019: CBRE South Asia Pvt. Ltd., India’s leading real estate consulting firm, today said that Pune with a ready stock of nearly 4 lakh housing units has emerged as one of the fastest growing residential real estate markets in western India. The city – also known as the “Oxford of the East” – emerged into a key market for the residential real estate following the IT revolution and rapid industrialisation.
CBRE today also inaugurated the second edition of its annual property fair PropFEST-2019, which will showcase more than 250 projects of 45 developers in and around Pune. The PropFEST was inaugurated in presence of dignitaries from the state government, industry leaders, prominent developers and senior CBRE officials. The three-day long PropFEST is expected to attract around 20,000 -25,000 visitors, including prospective home buyers and interested investors, from all over Maharashtra and nearby states.
The first edition of PropFEST was held in the month of June earlier this year in Chennai, Tamil Nadu. The Pune edition of the event will also coincide with the three days of Navratri (4th, 5th and 6th October), 2019 which is considered as an auspicious occasion for home buyers across the country.
Speaking on the growth of the residential real estate segment in Pune, Anshuman Magazine, Chairman & CEO – India, South East Asia, Middle East & Africa, said “Pune’s residential market has been witnessing a good growth over the past couple of years. The city has always been a preferred destination for new families, IT professionals and retired government officials. Going forward, we expect an increased interest from end users in the city’s residential real estate market leading to a more stable long-term growth.”
The development of residential real estate market in Pune is mostly attributed to it becoming an important IT and manufacturing industry hub. Following the IT revolution and growth in other commercial activities in the city, peripheral locations such as Hinjewadi, Wakad, Kharadi, NIBM Road, Wagholi, and Talegaon have emerged as prominent residential catchments. In addition, prominent locations such as Kalyani Nagar, Aundh and Baner have also witnessed widespread project launches in recent years.
In last couple of years, Pune has also become an important location for those real estate developers who are willing to explore new avenues in alternate assets such as student housing, senior living, co-living etc.
Sharing details of Pune’s residential real estate market Gaurav Kumar, MD and Co-Head, Capital Markets and Residential Business, CBRE India said, “The residential segment is on a healthy growth path. In fact, Capital values in prime locations such as Koregaon Park, Bund Garden, Viman Nagar, Kalyani Nagar can range between INR 10,500 – 17,000 / sq. ft. depending on the project specifications and amenities provided by the developer. Further, owing to the proximity to central locations and presence of prominent IT and SEZ developments, emerging market – Kharadi witnessed price appreciation. Capital values in Kharadi range between INR 6,000 – 9,000 / sq. ft which can be compared with several prominent locations across the city.”
Marked improvement across all sectors including roads/infrastructure and the city’s close proximity with other important areas such as IT parks, schools, entertainment facilities as well as commercial establishments too, have acted as facilitators towards the development of the residential ecosystem. Under-construction and planned metro networks are further expected to propel residential growth in the city.
It is important to note here that Pune topped the Ease of Living Index-2018 published by the Union Ministry of Housing & Urban Affairs, followed by Navi Mumbai, Greater Mumbai and Tirupati in Andhra Pradesh.
In the last few quarters, some key locations in the city which have witnessed affordable projects by private real estate developers include Wagholi, Hinjewadi, Kondhwa, Manjri, Keshavnagar, Phursungi, Tathawade, Ravet, Bavdhan, etc.
