A business family bought 10 super-premium apartments worth a total INR 232 crore in the Omkar 1973 project in Mumbai’s plush Worli locality,marking a record for luxury skyscrapers. The country’s most expensive property market is witnessing a transaction of this magnitude in the residential segment for the first time in several years, even exceeding the sum typically paid for homes in South Mumbai.
(Source: The Economic Times, 12 April 2017)
Colliers Research View
Mumbai market is regarded as one of the most expensive markets in the luxury segment with average prices ranging between INR45,000 – 70,000 per sq ft especially in plush localities like South Mumbai, Worli, Bandra, Santa Cruz, etc. Apart from the business family, several other important personalities and professionals from entertainment, finance, banking, education and telecom sectors have purchased apartments in the Omkar 1973 project. In addition, Omkar Realtors’ promoters also bought 4 apartments in the same project for INR1.2 billion a few months ago. Although developers were challenged by low demand post demonetisation, the demand for luxury segment is still alive as it is mostly driven by personal wealth. New launches slowed down considerably in the last six months; however luxury and ultra-luxury sales are finally picking up as buyers are getting more confident and several Mumbai developers are providing a purchase price assurance on their products. We expect the luxury segment to revive despite the slow growth at the back of increased demand from the affluent buyers as well as investors.