Mumbai: Notwithstanding weak market sentiment, Mumbai witnessed a significant rise in housing project launches in January-June period with Thane and Navi Mumbai accounting for nearly 40 percent of total units launched in Mumbai during H1 2014, according to a CBRE study.
Micro-markets like Dronagiri, Karanjade, Panvel and Ulwe in Navi Mumbai and locations along Ghodbunder Road in Thane formed a significant proportion of units launched in the high and mid-end segments during the period, said property consultant CBRE.
Capital values in select premium micro-markets of the extended eastern suburbs and Navi Mumbai appreciated in the range of 3-5 percent, while that of the high and mid-end segment rose by about 8-10 percent.
Premium property prices in the eastern suburbs increased in the range of 7-9 percent.
Going forward, large inventory pile up is likely to keep capital values stable across most micro-markets in the short to medium term, the report said.
"Mumbai is likely to witness an increase in new project launches in the mid-end segment during the second half of the year. Suburban locations of the city?such as Kandivali, Mulund, Thane and Navi Mumbai will continue to remain the main growth areas owing to improving infrastructure and a steady supply of housing units," CBRE South Asia Chairman and Managing Director Anshuman Magazine said.
He further said that though the home buyer demand did not pick up during the period, it is expected to improve by the forthcoming festive season, on the back of improved market sentiments and easing of interest rates.
