Real Estate Mumbai is perhaps the largest and most thriving real estate sectors in India, because Mumbai

is considered the commercial capital of the country. The rampant development and the growth in construction Property in Mumbai is a direct function of Mumbai being the epicenter of India's trading activities and the immense employment opportunities it offers. It's status as India's financial capital has gone a long way in popularizing Mumbai real estate, to an extent that owningproperty in Mumbai is considered an achievement in itself. Most of the Foreign Direct Investments (FDIs) in India are in Mumbai and a huge percentage of that is investment pertaining to real estate. Mumbai real estate refers to all those cumulative activities pertaining to land property, building, construction, land recognition, land acquisition, and other related activities. The knowledge on real estate in Mumbai has become very crucial in the present arena of real estate business. Even in the household segment, it has become essential to the consumers to conduct significant research before selecting a good house within their budget. The city of Mumbai is largely an island city and so the amount of usable land is very limited. With a very high demand for real estate, Mumbai's land resource needs proper management to optimize the use of the available area. Most of the real estate in Mumbai generates high returns on investments because of the commercial viability of the city. Mumbai has a number of the top-notch companies in the sphere of real estates. Major companies under Real Estate Mumbai:

Shapoorji Pallanji DLF Pvt. Limited Shrachi Group Godrej Group DCM Estate Hiranandani Group Jaycee Constructions Kanakia Builders Marathon Group Hector and Streak

Opportunities under the Real Estate Mumbai:

Consumers looking out for reasonable residential apartments as Mumbai extends in terms of area via reclamations Company Leasing for national and international business organizations Office Leasing for small and medium sized organizations Individual Leasing for either commercial or residential purposes Commercial Leasing for any kind of legal commercial operation

The investment in the real estate in Mumbai is highly lucrative as it gives profitable returns The real estate in Mumbai would also attract more FDIs for its growing popularity in the global arena Growth of shopping malls and modern format stores

Mumbai city profile is as versatile as its cultural sketch. While South Mumbai is home to Indias top-notch film stars, industrialists, politicians and bureaucrats, Dharavi is the home to poorest of the poor in the city. As per 2001 census, 54.1% of the citys population lives in Dharavi Asias biggest slum. Latest housing projects in Mumbai have emerged as the only solace for the thousands of people living somehow in the city. Any other means to get a home within the territory is simply out of the question for a majority of them because of the enormous capital values of prime properties in the city. The whopping appreciation in the market values of real estate in Mumbai has made some areas costlier than even New York and London! Hence, it is the cheaper options being brought by the latest housing projects from time to time that are keeping the hope of owning individual homes alive for a major section of the population. Thus the execution of a housing project in Mumbai is waited passionately and is received wholeheartedly. Since the latest housing projects are planned taking into account the needs and income levels of the various social sections, it has become convenient for a resident in the city to find a suitable accommodation within his/her means. While the basic amenities are found universally in all the housing projects, some special facilities, which have become a symbol of lavish and luxurious lifestyles, are the benchmarks for the projects targeting at premium category. Hence, the most recent housing projects in Mumbai are benefiting all the categories of people.

DEMAND SUPPLY

Market has picked up for all the segments from Budget / Affordable homes, Mid housing to Luxury homes. For affordable houses the market has picked up by around 30 35 %. Most of the projects are coming up in Western Mumbai region. In Western region areas like Vasai, Virar and Mira Road saw the majority of projects coming up. Thane is now being preferred as lot of infrastructure development is happening. It is very planned and organized. Also in terms of demand which is coming currently, Thane witnessed most of the deals happening. In South Mumbai projects are coming up in locations like Parel, Lower Parel, Dadar, Worli, Mahalaxmi, Napeansea Road and Mumbai Central.

Mumbai real estate market so far in 2011

Seems like the slump in the Mumbai real estate market will continue in the year 2011. According to research firm Prabhudas Lilladher, sales registrations for the month of March were down 30% year-on-year (YoY), although on a higher base of last year. However, numbers for the month of March were 24% higher than the lows witnessed in February 2011, and 15% higher than January 2011 numbers. The spurt in March could be on account of the property registrations before the end of the financial year for taxation purposes, Prabhudas Lilladher said. As per the report, suburb sales have fallen 34% YoY for the month of March, although, on a higher base of last year. On the other hand, this month, city sales have fallen 5% YoY. Overall, both city and suburb sales witness an 11% and 16% seasonal bounce from their January lows. A recent MCHI exhibition pointed towards a subdued response from the customers to the high prices on offer. The real estate prices were expected to remain stable on the back of lack new supply coming in the market and high construction costs. However, contrary to expectations, prices for projects nearing completion have increased by 5-10% since the last exhibition (from October 2010). A reduction in prices has not been seen even in projects that are 3-4 years away from completion. Overall the sales trend, as seen from the three-month moving average sales registrations, continues to remain down.

Why to Invest in Mumbai and Near By Areas??

Mumbai is a mature and well-developed Real Estate market. It is a demand motivated market; where the property is bought for current use and not with the aim to speculate and sell it in future. This has led to the burgeoning of the Mumbai Real Estate market. The spurt in demand as well as supply of Real Estate products and the consequent increase in capital values are encouraging High Networth Investors (HNI) and other investors to make active investments in the Mumbai Real Estate market. The investments made by the Investors and HNI's have showed an astonishing 50% increase per year. The rent collection of the Real Estate investments is at an attractive 11 to 12 percent per annum, thus translating into a gain of over 70% in two years, which is a stunner by any standards. The most attractive sectors for investment are the commercial Real Estate sector. Another high paying sector is retail. The occupancy levels of most commercial buildings are at 90 to 95 percent. Commercial properties have shown capital appreciation in the region of 15% to 35% in values per year. Land prices are expected to escalate by 5 to 10 percent in Mumbai according to the government authorities responsible for stamp duty and registration. Prices in

south and central Mumbai are expected to move up the most. In case of Residential property, maximum demand is found in the mid-level segment. The demands for 3BHK properties are also set to increase. This demand is due to factors like high disposable income and total greater affordability. The demand for residential property can be sustained if the Indian economy remains stable and the interest rate low. Residential property has shown an appreciation of 15 to 20 percent over the last year. The rent takings have also increased by 20% over the same time period. The consistent increase in demand for Mumbai Real Estate should help to stabilize the prices in the near future.

Mumbai Real Estate Market Updates & Trends

Despite the developing nation tag, India is one of the leading property markets worldwide and property builders and developers across the country provide a back bone for this development. The aim of India Real Estate.org is to help Indian real estate investors across the globe, in learning about good opportunities, and reliable builders/developers. Indian companies are more resilient than ever to a global downturn these days, with lower borrowing costs and healthier debt-equity ratios. Now coming to the point.Mumbai real estate is among the most expensive in the world more than that of Tokyo or New York and there is no shortage of those who can afford to pay. The city also attracts millions of low wage workers every year, and there are ever-expanding slums that house more than half of the citys population. Mumbai real estate is a multi-billion dollar market on a daily/weekly trading basis. In addition to sea view penthouses on Marine Drive, Worli, Juhu etc, there are luxurious duplexes across the city.with many new residential projects to fully furnished offices and built-to-suit commercial spaces including upscale multi-family apartment communities. Some analysts say that Mumbai real estate has started seeing a slide in property prices; others may witness the decline gradually. Some experts believe that over the next three to six months, the liquidity crunch will have its full impact on property prices. Market estimates say many people who had purchased property for investment purposes had a big exposure to the equity market, which is currently 25% down from its high levels in Dec 2007. This means, the turmoil in the stock market may lead to drying up of available free cash, leading to default in paying installments. That said, Mumbai real estate market has pockets of attractive opportunities even at high P/E levels. Investors have many good reasons to invest in Mumbai property market. Mumbai is the Indias business capital, and the most populous city of India. Investors and HNIs have been investing in various pre-leased properties having insurance, banking, IT/ ITES, residential and retail sector occupants. Investors should be cautious about any and all stock recommendations and should consider the source of any advice on stock selection. Various factors, including personal or

corporateownership, may influence or factor into an experts stock analysis or opinion. Another interesting trend is the remodeling of commercial spaces to retail spaces. The property values for commercial spaces are touching skies and developers are finding it difficult to sell their commercial/office property. Hence, many of them are positioning their property as retail space in a hope to find more takers.

Investors are targeting Navi Mumbai, Dombivali, Kalyan, Mira Road, Virar, because the prices here are on the increase. It is a newly developed area.
Unitech, Indias second largest developer, was involved in two such land deals. It snapped up 1,750 acres in Vizag for Rs 3,350 crore last year and won 340 acres in Noida for Rs 1,582 crore in 2006, while Indias biggest real estate developer DLF clinched a 38-acre land deal in the national capital for Rs 1,675 crore. Unitech is expected to close FY08 with revenues of Rs 4,350 crore and a net profit of Rs 1,650 crore. Developers are constructing properties with facilities and amenities at par with international standards. Yearly appreciation on commercial real estate market across the Indian metro ranges from 9 to 11%. So there are many opportunities there at all levels: residential and commercial real estate.

Supply of Residential Units coming up by December 2012

Distribution of residential supply (no. of units) in the pipeline across Mumbai

Residential Market in Central Suburbs

Distribution of apartments in Central Suburbs

Residential Market in Western Suburbs

Distribution of apartments in Western Suburbs

Residential Market in South Mumbai

Distribution of apartments in South Mumbai

CAPITAL AND RENTAL RATES

UPCOMING PROJECTS