Post on 05-Jun-2020
REALTY DECODED Q2 FY’17OCTOBER 2016
REALTY DECODED Q2 FY’17Page 01
NEW LAUNCHES
INVENTORY SCENARIO
INSIGHTS
CONSUMER CALLING
PRICE TRENDS
POLICY DEVELOPMENTS AND KEY TRANSACTIONS
Structure
1
2 3
4
56
Source: PropTiger DataLabs Sep’16
Page 02 REALTY DECODED Q2 FY’17
Key Insights And Outlook
Source: PropTiger DataLabs Sep’16
Page 03 REALTY DECODED Q2 FY’17
Key Insights
Residential market conditions across top-9 cities of India in Q2 FY’17 were largely similar to the previous quarter with sales during the Q2 FY’17 witnessed at 54,721 units compared to 55,550 units in Q1 FY’17. The repo rate cut by the Reserve Bank of India (RBI), discounts and schemes offered by developers and the Real Estate (Regulation And Development) Act (RERA) are expected to lead to higher sales in subsequent quarters
Ahmedabad, Chennai, Hyderabad, Kolkata and Pune noted an uptick in housing sales during Q2 FY’17, even as most other cities witnessed subdued sales. Sales in Kolkata and Hyderabad increased by 35% and 24% respectively over the previous quarter
Mumbai, Pune and Bengaluru contributed nearly 58% to the total absorption witnessed in Q2 FY’17. Mumbai contributed the most to sales, accounting for 21% of total sales during the quarter followed by Pune and Bengaluru at 19% and 17% respectively, during Q2 FY’ 17
Sales in under construction projects continued to account for nearly 70% of the absorption. However, around 15% of the sales across top-9 cities was witnessed in completed projects, marginally up compared to the previous quarter. Past delays in completion of projects by developers has led some section of buyers to opt for completed projects
Buyers inclination continues to be higher towards projects which are showing visible construction progress. 60% of the sales during the quarter were witnessed in such projects launched more than 12 months ago
Source: PropTiger DataLabs Sep’16
Page 04 REALTY DECODED Q2 FY’17
During Q2 FY’17, the top-9 cities of India witnessed launches of about 47,000 new residential units compared with 41,000 units in Q1 FY’17 at a quarterly growth of 14%. We anticipate an increase in new launches in Q3 FY’17, as many developers are looking forward to the festive season to launch their projects
Affordable segment accounted for nearly 61% of the total launches in Q2 FY’17. This could be attributed to the sops offered by the Government for development of affordable housing
Inventory overhang remained unchanged at 35 months, indicating the demand is moving in tandem with the supply. Unsold inventory across the top-9 cities declined barring Ahmedabad, Kolkata and Pune
Developers across top-9 cities of India have been reluctant to reduce residential prices and have instead been offering deferred and flexible payment schemes to entice buyers. Thus, overall prices across the cities remained range-bound during the quarter
Source: PropTiger DataLabs Sep’16
Key Insights
Page 05 REALTY DECODED Q2 FY’17
OutlookInternational Monetary Fund revised India's GDP forecast to 7.6% in FY’17, up from its previous forecast of 7.4%. The prospect of above-normal rainfall in the country is likely to keep the Consumer Price Index under control and further help to maintain inflation within the favorable target band. This might possibly lead to further repo-rate cuts by Reserve Bank of India over the medium term, which will help in furthering of positive sentiments for the residential real estate
The impact of recent repo rate cut by RBI, the Real Estate (Regulation And Development) Act and GST Bill implementation, relaxation of rules for REITs, implementation of the 7th Pay Commission recommendations to increase Central Government employees’ wages is expected to positively impact the sector over the next few quarters
From spot discounts, flexible payment plans, waiver of registration, stamp duty and other charges to free whitegoods, gold coins, luxury cars, buyers across the country, are spoilt for choices this festive season. This is coupled with developers focus on execution and launches only with approvals is expected to bring the fence-sitters into market
Source: PropTiger DataLabs Sep’16
Page 06 REALTY DECODED Q2 FY’17
Notes: BSP is represented in Rs./sq.ft. Inventory overhang is represented in months
Residential Landscape: Top-9 cities as of Q2 FY’17
Q-o-Q (%)
Launches +57%
Sales +7%
BSP 2,912(-2%)
Inventory Overhang
29
Q-o-Q (%)
Launches -13%
Sales -8%
BSP 4,811 (+1%)
Inventory Overhang
31
Q-o-Q (%)
Launches +15%
Sales +2%
BSP 4,988(+1%)
Inventory Overhang
38
Q-o-Q (%)
Launches -34%
Sales -28%
BSP 5,525 (+1%)
Inventory Overhang
66
Q-o-Q (%)
Launches +20%
Sales +24%
BSP 3,991 (+3%)
Inventory Overhang
21
Q-o-Q (%)
Launches +480%
Sales +35%
BSP 3,879(-1%)
Inventory Overhang
31
Q-o-Q (%)
Launches -33%
Sales -10%
BSP 8,349(+1%)
Inventory Overhang
43
Q-o-Q (%)
Launches +25%
Sales -2%
BSP 3,987(-1%)
Inventory Overhang
53
Q-o-Q (%)
Launches +8%
Sales 0%
BSP 4,981(0%)
Inventory Overhang
23
GURGAON
MUMBAI NOIDA
HYDERABAD
BENGALURU CHENNAI
KOLKATA
PUNE
AHMEDABAD
Most cities witnessed increase in Launches over pervious quarter. Prices are largely range bound,with exception of Hyderabad at 3% increase over previous quarter
Source: PropTiger DataLabs Sep’16
Key performance indicators depicts stable outlook
* Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad.Analysis includes apartments and villas across the regions.
Notes:
Q2 FY’16 Q4 FY’16 Q1 FY’17 Q2 FY’17 Q3 FY’16
-27% -14% 14% 14% 15%
-14% -4% 8% -1% 9%
0% 0% 1% 0% 0%
14% 9% -9% 0% -6%
Residential Trends in top-9 cities*
Inventory Overhang
Price Trend
Sales
Launches
Strong/Marginal Decline Stable Strong/Marginal Increase//
Source: PropTiger DataLabs Sep’16
Page 07 REALTY DECODED Q2 FY’17
Page 08 REALTY DECODED Q2 FY’17
Launches: Increased Momentum tocapitalize on Festive season
Source: PropTiger DataLabs Sep’16
Launches increased by 14% quarterly; paced up to capitalize on thefestive season momentum
116,402108,226
78,075 75,35779,343
73,433
50,594
36,77442,269
36,27541,313
47,032
Q3FY'14
Q4FY'14
Q1FY'15
Q2FY'15
Q3FY'15
Q4FY'15
Q1FY'16
Q2FY'16
Q3FY'16
Q4FY'16
Q1FY'17
Q2FY'17
Total number of launches in top - 9 cities*
# of units
28%
-51%
Q2 FY’17 witnessed the highest volumeof launches in last 5 quarters
140,000
120,000
100,000
80,000
60,000
40,000
20,000
0
Source: PropTiger DataLabs Sep’16
* Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad.Analysis includes apartments and villas across the regions.
Notes:
Page 09 REALTY DECODED Q2 FY’17
Page 10 REALTY DECODED Q2 FY’17
Launches in Ahmedabad and Kolkata increased significantly Y-o-Y1,
24
8
9,6
02
2,6
40
2,9
98
2,1
60
2,6
15
7,4
41
5,9
76
2,0
94
6,7
52
5,6
47
4,1
92
3,4
92
8,0
27
2,1
92
7,3
15
8,0
84
1,3
31
0
5,000
10,000
15,000
20,000
Ahmedabad Bengaluru Chennai Hyderabad Kolkata Noida* Pune Mumbai** Gurgaon^
Q2 FY'16
Q2 FY'17
# of units
Brigade 7 Gardens and Excel Group
Codename Five Rings
Apartment have launched >600
units each
Lodha Codename Golden Tomorrow
has launched 2,500 units
B Kesar Gold City and Keval
Vision Corp Ashray 10 have launched 2,500 and 800 units respectively
Vyom ProbuildOrganic Golf Homes has
launched >500 units
SumadhuraAcropolis and Rajapushpa
Properties Atria have launched >550 and >450
units respectively
Meridian Group Aamar Bari and
Aspirana InfraventureMalabar Residency
have launched >1,600 units each
MKS Venture County has
launched >700 units
Total unit launches - Q2 FY’16 vs Q2 FY’17
Source: PropTiger DataLabs Sep’16
* Noida includes Greater Noida and Yamuna Expressway.** Mumbai includes Navi Mumbai and Thane.^ Gurgaon includes Bhiwadi, Dharuhera and Sohna.Analysis includes apartments and villas across the regions.
Notes:
Mumbai and Chennai accounted for 50% and 59% of the launches respectively in <Rs. 50 Lac segment
Page 11 REALTY DECODED Q2 FY’17
Share of affordable segment in total launches at 61% during thequarter; after a gap of 10 straight quarters
* Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad.Analysis includes apartments and villas across the regions.
Notes:
22% 20%12%
20% 22% 23% 20% 16% 14% 18% 20% 23%
40% 39%42%
36% 30% 35%33% 41%
32% 27%33%
38%
16% 19%20% 19% 23% 16% 25% 21%
17% 24%21%
17%
7% 7%8% 10% 8% 8% 8% 10%
12%11%
8%9%
15% 15% 18% 15% 17% 18% 14% 12%25% 20% 18% 13%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
FY'14Q4
FY'14Q1
FY'15Q2
FY'15Q3
FY'15Q4
FY'15Q1
FY'16Q2
FY'16Q3
FY'16Q4
FY'16Q1
FY'17Q2
FY'17
< Rs.25 Lakhs Rs.25-50 Lakhs Rs.50-75 Lakhs Rs.75-100 Lakhs > Rs.1 Crore
% of units
Government incentives to developers in the affordable
segment continues to provide the necessary momentum for the
segment
Q3
Q-o-Q budget-wise unit launches in top-9* cities
Source: PropTiger DataLabs Sep’16
Page 12 REALTY DECODED Q2 FY’17
Consumer & Demand: Stagnant Sales
Sales witnessed annual growth of 12%; stable on quarterlybasis though
Source: PropTiger DataLabs Sep’16
* Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad.Analysis includes apartments and villas across the regions.
Notes:
114,302107,013
92,725
80,36676,739
65,789
57,24548,976
53,457 51,550 55,500 54,721
Q3FY'14
Q4FY'14
Q1FY'15
Q2FY'15
Q3FY'15
Q4FY'15
Q1FY'16
Q2FY'16
Q3FY'16
Q4FY'16
Q1FY'17
Q2FY'17
-39%
12%
Sales increased by 12% in Q2 FY’17 as compared to the same
quarter last year with major contribution from Mumbai and Pune
Sales trend in top - 9 cities*
150,000
# of units
120,000
90,000
60,000
30,000
0
Page 13 REALTY DECODED Q2 FY’17
60% of the sales being witnessed in projects launched more than12 months ago
50,14047,351
37,413
30,25028,894
25,83220,978
14,32317,655 16,676 17,529 15,510
27,200
20,90816,093
13,79511,497
8,075 7,207 6,636 6,531 6,025 6,272 6,116
36,962 38,754 39,219 36,321 36,34831,882
29,060 28,017 29,271 28,84931,699 33,095
Q3FY'14
Q4FY'14
Q1FY'15
Q2FY'15
Q3FY'15
Q4FY'15
Q1FY'16
Q2FY'16
Q3FY'16
Q4FY'16
Q1FY'17
Q2FY'17
Age% Change
(Q-o-Q)
Units Launched in ≤ 6 months -12%
Units Launched in 7 -12 months -2%
Units Launched in > 12 months 4%
# of units
60,000
50,000
40,000
30,000
20,000
10,000
0
Source: PropTiger DataLabs Sep’16
* Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad.Analysis includes apartments and villas across the regions.
Notes:
Units Launched in ≤ 6 months Units Launched in 7-12 months Units Launched in > 12 months
Sales in top - 9* cities: New launches vs old projects
Page 14 REALTY DECODED Q2 FY’17
Page 15 REALTY DECODED Q2 FY’17
Kolkata and Hyderabad emerged as top selling cities, while sales in Gurgaon declined by 28%
158169
116
9393
105
81 83
118
85
120
143 148
183
115
106
139
97 85102
100100
115115
50
70
90
110
130
150
170
190
Q2FY'16
Q3FY'16
Q4FY'16
Q1FY'17
Q2FY'17
Ahmedabad Bengaluru Chennai Gurgaon^ Hyderabad Kolkata Mumbai** Noida* Pune
)0
01
=6
1’Y
F 2
Q :e
sa
B( e
ulav
xe
dnI
Q-o-Q Sales Index (base: Q2 FY’16)
Q-o-Q sales in Kolkata increased by 35% and in Hyderabad by 24%
Source: PropTiger DataLabs Sep’16
* Noida includes Greater Noida and Yamuna Expressway.** Mumbai includes Navi Mumbai and Thane.^ Gurgaon includes Bhiwadi, Dharuhera and Sohna.Analysis includes apartments and villas across the regions.
Notes:
Mumbai, Pune and Bengaluru commands lion’s share at around57% of absorption in Q2 FY’17
Page 16 REALTY DECODED Q2 FY’17
7%
19%
7%
5%
6%5%
23%
9%
19%
8%
17%
7%
4%
8%
7%
21%
9%
19%Ahmedabad
Bangalore
Chennai
Gurgaon
Hyderabad
Kolkata
Mumbai
Noida
Pune
City -wise split of total absorption in Q2 FY’17
Inner Pie – Q1 FY’17 Outer Pie – Q2 FY’17
Mumbai, being the largest contributor in total absorption, saw a decline of its contribution from 23% on Q1 FY’17 to
21% in Q2 FY’17
Source: PropTiger DataLabs Sep’16
Affordable segment continued to dominate the sales trend;Pune’s share at 25%
Page 17 REALTY DECODED Q2 FY’17
1: Affordable segment: Units within < Rs.50 lakh budget2: Mid-segment: Units within Rs.50-75 lakh budget3: Luxury segment: Units in > Rs.75 lakh budgetAnalysis includes apartments and villas across the regions.
Notes:
23%
22%
5%
6%6%
5%4%59% 59% 57% 56% 56% 56% 52% 52% 52% 52% 52% 51%
18% 18% 19% 20% 21% 19% 23% 21% 19% 20% 21% 21%
23% 23% 24% 24% 23% 25% 25% 27% 29% 28% 27% 28%
Q3FY'14
Q4FY'14
Q1FY'15
Q2FY'15
Q3FY'15
Q4FY'15
Q1FY'16
Q2FY'16
Q3FY'16
Q4FY'16
Q1FY'17
Q2FY'17
100%
% of sales
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Source: PropTiger DataLabs Sep’16
Affordable Segment Mid Segment Luxury Segment 321
Sales in top - 9* cities by budget segment
Demand for affordable segment is predominant in Ahmedabad, Noida and Pune
Page 18 REALTY DECODED Q2 FY’17
* Noida includes Greater Noida and Yamuna Expressway.** Mumbai includes Navi Mumbai and Thane.^ Gurgaon includes Bhiwadi, Dharuhera and Sohna.^^ Based on survey of enquiries received by PropTIger.com.Analysis includes apartments and villas across the regions.
Notes:
23%
22%
5%
6%6%
5%4%
15%1%
12%1% 3% 8% 1% 7%
53%
37%
30%
8%21%
34% 20%
59% 49%
27%
36% 33%
20%
42%
34%
18%
26% 32%
2%
14% 16%
39%
18%11%
13%
11% 8%
3%12% 9%
33%
18% 18%
41%
3% 4%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
> Rs.1 Crore
Rs.75-100 Lakhs
Rs.50-75 Lakhs
Rs.25-50 Lakhs
< Rs.25 Lakhs
% of demand Budget - wise real estate end - user demand^^ - Q2 FY’17
Source: PropTiger DataLabs Sep’16
Page 19 REALTY DECODED Q2 FY’17
22%
6%6%
Inventory: Reading Between The Lines
Source: PropTiger DataLabs Sep’16
Page 20 REALTY DECODED Q2 FY’17
Six cities, barring Ahmedabad, Kolkata and Pune have witnessed adecline in inventory levels
Source: PropTiger DataLabs Sep’16
* Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad.Analysis includes apartments and villas across the regions.
Notes:
1718
20
2325
29
33
3735
38
35 35
Q3FY'14
Q4FY'14
Q1FY'15
Q2FY'15
Q3FY'15
Q4FY'15
Q1FY'16
Q2FY'16
Q3FY'16
Q4FY'16
Q1FY'17
Q2FY'17
Q-o-Q overall inventory overhang in top - 9* cities
Range bound# of months
Inventory overhang for Q2 FY’17 across cities excluding Gurgaon stands at 33 months
0
5
10
15
20
25
30
35
40
Hyderabad is emerging as preferred city on liquidity front withdeclining inventory and inventory overhang
22%
6%6%
Ahmedabad39,772
Bengaluru99,334
Chennai48,184 Gurgaon
45,748
Hyderabad28.838
Kolkata38,535
Mumbai165,984
Noida90,547
Pune80,109
15
20
25
30
35
40
45
15 25 35 45 55 65
Age of unsoldinventory (months)
Age of unsold inventory vs inventory overhang in top - 9* cities (Sep‘16)
Inventory overhang (months)
Source: PropTiger DataLabs Sep’16
* Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad.Analysis includes apartments and villas across the regions.Size of the bubble indicates total inventory in units.
Notes:
Page 21 REALTY DECODED Q2 FY’17
Pune and Ahmedabad have around 37% of unsold inventory aged over 2 years, lowest across all 9 cities
Page 22 REALTY DECODED Q2 FY’17
22%
6%6%41%
31% 28%
15%
40%36%
27%
12%
35%
23%
23%19%
17%
12% 22%
23%
14%
28%
14%
21%
16%
27%
16%
21%
17%
17%
18%
22% 25%
37%41%
32%
21%
33%
57%
19%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Ahmedabad Bengaluru Chennai Gurgaon^ Hyderabad Kolkata Mumbai** Noida* Pune
% of inventory Age of unsold inventory in top - 9 cities (Sep’16)
≤ 1 Yr
1 to 2 Yrs
2 to 3 Yrs
> 3 Yrs
* Noida includes Greater Noida and Yamuna Expressway.** Mumbai includes Navi Mumbai and Thane.^ Gurgaon includes Bhiwadi, Dharuhera and Sohna.Analysis includes apartments and villas across the regions.
Notes:
Source: PropTiger DataLabs Sep’16
Around 25% of unsold inventory in Bengaluru, Hyderabad and Chennai continue to be in the mid segment
Page 23 REALTY DECODED Q2 FY’17
22%
6%6%
35%
6%12%
18%
3%
26%21%
9%20%
35%
32%
43% 27%
32%
42%
25%55%
44%
12%
29%
23%
14%26%
17%
13%
20% 20%
5%
14%
9%
11%12%
6%
9%
8% 8%13%
19%13%
30%27%
9%
32%
8% 8%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
> Rs.1 Crore
Rs.75-100 Lakhs
Rs.50-75 Lakhs
Rs.25-50 Lakhs
< Rs.25 Lakhs
% of inventory Budget breakup of unsold inventory (Sep’16)
* Noida includes Greater Noida and Yamuna Expressway.** Mumbai includes Navi Mumbai and Thane.^ Gurgaon includes Bhiwadi, Dharuhera and Sohna.Analysis includes apartments and villas across the regions.
Notes:
Source: PropTiger DataLabs Sep’16
Increased focus on deliveries across the segments
Page 24 REALTY DECODED Q2 FY’17
22%
6%6%
Completions as % of inventory
1: Affordable segment: Units within < Rs.50 lakh budget2: Mid-segment: Units within Rs.50-75 lakh budget3: Luxury segment: Units in > Rs.75 lakh budgetAnalysis includes apartments and villas across the regions.
Notes:
Source: PropTiger DataLabs Sep’16
3%
7%
8%9%
10%
3%4%
4%
9%
11%
0%
2%
4%
6%
8%
10%
12%
14%
Affordable Segment Mid Segment Luxury Segment Overall
Q3FY'14
Q4 FY'14
Q1 FY'15
Q2 FY'15
Q3 FY'15
Q4 FY'15
Q1 FY'16
Q2 FY'16
Q3 FY'16
Q4 FY'16
Q1 FY'17
Q2 FY'17
13%
Completions as % of inventory across segments in top - 9 cities
* Inventory includes only under-construction units
3%5%
5%5%
5%
6%
8%
12%
11%
9%
8%
12%
12%
Page 25 REALTY DECODED Q2 FY’17
22%
6%6%
Pricing: Largely Range-Bound
Source: PropTiger DataLabs Sep’16
Prices have remained range-bound across the cities except Hyderabad with 11% annual appreciation
Weighted average^^ BSP (Rs./sq.ft.) of apartment units as at the end of quarter
City Q2 FY’16 Q2 FY’17Price Change
(Y-o-Y)
Ahmedabad 3%
Bengaluru 4%
Chennai 4%
Gurgaon^ -2%
Hyderabad 11%
Kolkata -2%
Mumbai** 3%
Noida* -4%
Pune -1%
Notes: ^^ Price weighted on number of units supply in respective projects in a city. * Noida includes Greater Noida and Yamuna Expressway. ** Mumbai includes Navi Mumbai and Thane. ^ Gurgaon includes Bhiwadi, Dharuhera and Sohna. Analysis includes apartments across the regions.
22%
Source: PropTiger DataLabs Sep’16
2,912
4,811
4,998
5,525
3,991
3,879
8,349
3,987
4,8914,938
4,155
8,117
3,946
3,602
5,618
4,827
4,633
2,827
Page 26 REALTY DECODED Q2 FY’17
Source: PropTiger DataLabs Sep’16
* Top 9 Cities are Mumbai (including Navi Mumbai & Thane), Pune, Noida (including Greater Noida & Yamuna Expressway), Gurgaon (including Bhiwadi, Dharuhera & Sohna), Bengaluru, Chennai, Hyderabad, Kolkata and Ahmedabad.Analysis includes apartments and villas across the regions.
Notes:
Weighted average price index of residential units in top - 9* cities
100 102 102
104 104105
108109
107
101 101103
104106
107 107108
109110 111
101101
102 101102 102 103 104
105105
100 100 99 99 9998
95
9798
103
106 106109
111 115
118
103 104
106107
99 9897 96
96 95
103 103
103103
90
95
100
105
110
115
120
Q3FY'14
Q4FY'14
Q1FY'15
Q2FY'15
Q3FY'15
Q4FY'15
Q1FY'16
Q2FY'16
Q3FY'16
Q4FY'16
Q1FY'17
Q2FY'17
Ahmedabad Bengaluru Chennai Gurgaon Hyderabad Kolkata Mumbai Noida Pune
Ind
ex v
alu
e (
Ba
se: Q
3 F
Y’1
4=10
0)
Page 27 REALTY DECODED Q2 FY’17
22%
6%
Hyderabad and Bengaluru witnessed maximum price increasesinceQ3 FY’14
Notes: *Affordable Segment : Units within < 50 lacs budget range.
**Mid Segment : Units within 50-75 lacs budget range.
***Luxury Segment : Units in > 75 lacs budget range. Source: PropTiger DataLabs Sep’16
Price trend map for prominent suburbs for Q2 FY’17
Q-o
-)
%( e
gn
ah
C e
cirP
Q
Affordable Segment* Mid Segment** Luxury Segment***
< 1%
1% t
o 2
%A
bo
ve2
%
Greater Noida Central (1%)
Mysore Road, Bengaluru (2%)
Kolkata West (1%)
Beyond Panvel, Mumbai (1%)
Gandhinagar South,Ahmedabad (2%)
Navi Mumbai(1%)
Kolkata Central (7%)
Bengaluru North (1%) Hyderabad
East (1%)
Outer Ring Road, Bengaluru (1%)
Noida Expressway
(< 1%)
Sohna Road, Gurgaon (1%)EM Bypass,
Kolkata (< 1%) Chennai Central (< 1%)
Bengaluru South (2%)
New Gurgaon (4%)
Whitefield, Bengaluru (2%)
Pune Solapur Highway (3%)
OMR, Chennai (1%)
Mumbai Pune Bypass, Pune (1%)
ORR West , Hyderabad (2%)
Hyderabad West (2%)
Central Mumbai(1%) Kolkata East (1%)
ORR South, Hyderabad (5%)
Secunderabad, Hyderabad (2%)
Old Airport Road, Bengaluru (3%)
Prices remained range-bound in the luxury and mid segments,appreciated in the affordable segment
Page 28 REALTY DECODED Q2 FY’17
Policy Developments & Key Transactions
Source: PropTiger DataLabs Sep’16
Page 29 REALTY DECODED Q2 FY’17
22%
6%
Major policy developments during the quarter
National Haryana KarnatakaMaharashtra
The Cabinet Committee on Economic Affairs (CCEA) has approved a proposal by Niti Aayog to boost construction sectors and restart stalled infrastructure projects
Central Government is all set to impose a “betterment charge” on land sale in the areas where the prices have appreciated due to infrastructure development
Central Government has allocated Rs.18 Lac Crore for improving urban infrastructure
Haryana Urban Development Authority (HUDA) to spend Rs.700 Crore to acquire nearly 102 acres of land for the construction of the Central Peripheral Road (CPR) to connect Dwarka Expressway with the Southern Peripheral Road (SPR) and NH-8
Haryana Government to build a new 4.5 Km long 4-lane-road from Bajghera in Gurgaon to Bijwasan in Delhi
Bengaluru Development Authority (BDA), which has been developing and allotting plots and low-cost housing units, has entered into the premium segment of housing with high-end facilities
The Urban Development Department (UDD) has agreed to increase the FSI to 2.95 in Nagpur
Stamp duty in Nagpur Metro Rail corridor has been hiked by 1% to 7.5%. However, it remained unchanged for the rest of the city
Maharashtra Government has extended the redevelopment policy bonanza for old and dilapidated buildings to the suburbs
The Maharashtra state cabinet approved the construction of two new metro lines - Metro line 2B from DN Nagar, in Andheri West, to Mandala in the eastern suburbs and Metro line 4 is proposed from Wadala to Kasarvadavali, expected to be operational by 2022
Source: PropTiger DataLabs Sep’16
Page 30 REALTY DECODED Q2 FY’17
22%
6%
Major policy developments during the quarter
Andhra Pradesh Other StatesUttar Pradesh
Government panel clears three new airports in Andhra Pradesh at Bhogapuram and Dagadarthi in Nellore district, and Orvakallu in Kurnool district
House allotment process goes online in Bhopal
The Kerala Government has envisaged a complete rehabilitation package for the homeless and landless in the next five years through a comprehensive housing scheme, expected to directly benefit over 4.70 lac families
The proposed airport at Jewar, Greater Noida has got the no-objection certificate from the Ministry of Defence
Ghaziabad to get a direct Metro link with Noida, with the extension of the Blue Line of the Delhi Metro
Noida Authority has decided not to increase the FAR in under-construction projects
Page 31 REALTY DECODED Q2 FY’17
22%
6%
Source: PropTiger DataLabs Sep’16
Key transactions during the quarter
Other States Uttar Pradesh
Bengaluru Chennai MumbaiGurgaon
Total Environment Building Systems has raised Rs .300 Crore in theform of equity from HDFC Capital to fast-track its 5 ongoing residentialprojects
Piramal Fund Management has invested Rs .520 Crore in the form ofstructured debt and construction finance to Bengaluru baseddeveloper Century Real Estate
Kotak Realty Fund has invested Rs .155 Crore in a residential projectof Alliance Infrastructure
Piramal Fund Management has invested Rs .100 Crore inAhuja Constructions' premium residential project Altus inWorli
Vipul Ltd. has raised Rs .275 Crore from PNB Housing Finance for itsluxury project Aarohan
M3M India has signed an agreement with Tata Realty andInfrastructure to sell its proposed IT-SEZ in Gurgaon. The deal size isestimated to be Rs .500Crore
Signature Global is likely to invest around Rs .950 Crore to develop5,000 low-cost homes under the Haryana Government's affordablehousing policy
IREO Management, a private equity development fund, plans to build11 million sq.ft. IT-SEZ on 67 acres of land parcel in Gurgaon over thenext 5 to 7 years
Lodha Group has raised Rs .2,320 Crore in a debt transactionfrom Piramal Fund Management for the development of itsprojects in south and central Mumbai
Piramal Fund Management and Shapoorji Pallonji Real EstateDevelopment jointly invested Rs .300 Crore in a residentialproject launched by Ornate Spaces at Oshiwara in suburbanMumbai
Sethia Group has raised debt worth Rs .115 Crore fromEdelweiss Group to finance the development of two of itsnewly launched projects in western suburbs of Mumbai
Kotak Investment Advisors has partly exited its investment inMumbai-based builder Sunteck Realty, reportedly at a loss
Source: PropTiger DataLabs Sep’16
Page 32 REALTY DECODED Q2 FY’17
22%
6%
Key transactions during the quarter
Noida Other StatesPune
Kautilya Finance has invested Rs .160 Crore in aresidential project of Noida-based developer SAHAInfratech
Altico Capital has invested Rs .300 Crore in KUL Ecoloch, a townshipproject of Kumar Urban Ltd. in Hinjewadi
The Blackstone Group L.P., in a joint venture with Embassy OfficeParks, will invest Rs .5,000 Crore in the next 3 years to build over 16million sq.ft. of office space in Bengaluru, Hyderabad, Chennai andPune
Salarpuria Sattva Group and Apollo Global Management LLC haveentered into a joint venture to buy two under construction residentialprojects from a group of offshore investors in Bengaluru andVadodara for Rs . 275 Crore
Altico Capital, the non-banking financial wing of Clearwater CapitalPartners, has invested Rs .180 Crore in Pharande Group’s tworesidential projects
Apollo Global Management LLC has invested Rs .400Crore in Logix Group to fund the completion of four ofits ongoing residential projects and a commercialproject
Source: PropTiger DataLabs Sep’16
Page 33 REALTY DECODED Q2 FY’17
22%
6%
ANURAG JHANWAR, MRICSHead – Consulting and Data Insights anurag.jhanwar@proptiger.com+91 - 99678 49666
SUNIL MISHRAChief Business Officer - Primary Business & Developer Solutionssunil.mishra@proptiger.com+91 - 90044 40011
CONTACT PROPTIGER FOR REAL ESTATE INSIGHTS:
Detailed analysis of micro markets | Market intelligence report | Micro market surveys | Price sensitivity analysis| City dashboards and trends | Demand assessment
LIMITATION OF WARRANTY
The information is provided “as is”, without warranty of any kind, it has not been independently verified by PropTiger.com or its affiliates, officers, employees or agents and use of the information is at your sole risk. PropTiger.com or its affiliates, officers, employees or agents shall not be liable and expressly disclaim liability for any error or omission in the content of the information, or for any actions taken by you or any third party, in reliance thereon. The information is not guaranteed to be error-free, or to be relied upon for investment purposes, and PropTiger.com or its affiliates, officers, employees or agents make no representation or warranty as to the accuracy, truth, adequacy, timeliness or completeness, fitness for purpose, title, non-infringement of third party rights or continued availability of the information, withdrawal without notice and to any special conditions imposed by our principals.
DISCLAIMER
All data, figures, information here are provided and/or collated by Proptiger.com and that any of its representatives, officers, employees or affiliates make no representations or warranties as to the accuracy or completeness of any information furnished hereto. This report has been prepared by Proptiger Data Labs solely for information purposes. It does not purport to be a complete description of the markets or developments contained in this material. The information on which this report is based has been obtained from sources that PropTiger.com believes in its reasonable bona fide faith to be reliable, but PropTiger.com has not independently verified this information and does not guarantee/ warranty the accuracy, genuineness or completeness of the information therein. This report contains information available to the public and has been relied upon by PropTiger.com on the basis that it is accurate and complete. Information contained herein should not, in whole or part, be published, reproduced or referred to without prior approval. PropTiger.com accepts no responsibility if this should prove not to be the case. Any such reproduction should be credited to PropTiger Data labs. ©2016 Proptiger.com . All rights reserved