Gurgaon | RESIDENTIAL

Market Indicators
Relative to prior period

Market Q3
2014

Market Q4
2014

Market Q1 Market Q2
2015
2015F

CAPITAL RATE
RENTAL RATE
NEW PROJECTS
CONSTRUCTION

During 1Q 2015 primary sales continue to remain

sluggish in premium segment however, some traction
was witnessed in secondary market for ready to move in
projects. Projects launched under affordable housing
scheme of HUDA witnessed good response due to their
lower price and good locations.
In premium segment a few new projects were launched
primarily in newly developing sector in Sohna region.
These projects includes; Ashiana Anmol by Ashiana
Housing at Sector 33, Hill Town by Supertech Ltd. at
Sector 2 and M3M Marina by M3M India at Sector 68.
All these projects were launched in the price range of INR
4,400 6,600 per sq ft. In affordable segment projects
like Andour Heights' by Signature Global located in
Sector 71, NH-8 was launched. All of these projects are
expected to be complete in the span of 2 to 3 years.
Developers have already over stretched themselves by
launching huge townships and large sized projects, which
were difficult to execute and required significant funding.
With paucity on bank lending on these projects, the
construction pace slowed down to alarming levels and
not many projects / parts of the projects saw

Market Trends
MICRO MARKETS

CAPITAL VALUES
(INR PSF)

% CHANGE
QoQ

YoY

completion during the quarter. Major projects

completed were Lifestyle Homes and Gurgaon 21
both by Vatika Group located in Sector 83. These
projects were priced in the range of INR 5,200 5,400
per sq ft in secondary market.

Average Capital Value Trends

In 1Q 2015, capital values remained stable across all

the micro markets, however capital values decline by
3% QoQ in Golf Course Road. Rents across all the
micro markets were remained stable.
In a major court decision this quarter the Punjab and
Haryana High Court freed a stay on issuing change of
land use (CLU) licenses to builders and on acquiring
land to develop residential and commercial properties.
This will help to unlock the valuable residential
investment in the market and will pave the way for new
licensed colonies and remove the hurdle for developers.

Source: Colliers International India Research

Average Rental Values

Colliers View
There have been significant delays in completion of
most of the infrastructure projects in Gurgaon, but the
real estate market is expected to reap significant
benefits post completion of these projects, thus we
expect that the mid range and affordable schemes
projects will continue to see traction in near term,
however capital values will remain stable in both
primary and secondary market.

Source: Colliers International India Research

National Director
Residential Services
sumit.jain@colliers.com

Senior Manager
Residential Services| Gurgaon
nitish.rajvanshi@colliers.com

Director
Residential Services| India
arvind.kapoor@colliers.com

Associate Director
Research Services
surabhi.arora@colliers.com

Manager
Research Services
sachin.sharma@colliers.com

Colliers International (India)

Property Services Pvt. Ltd.
Copyright 2015 Colliers International.
The information contained herein has been obtained from sources deemed
reliable. While every reasonable effort has been made to ensure its accuracy, we
cannot guarantee it. No responsibility is assumed for any inaccuracies. Readers are
encouraged to consult their professional advisors prior to acting on any of the
material contained in this report.

Technopolis Building, 1st Floor,

DLF Golf Course Road, Sector 54
TEL +91 124 456 7500

National Director
Valuation & Advisory
Services and Research
amit.oberoi@colliers.com