5 January 2013

Development Of The Real Estate Sector In Mumbai

Mumbai, the Capital of the great State of Maharashtra has always been on the countries commercial map for being an ever-evolving city. For decades the city has housed brands and corporate giants, but today the scene is on another level. The city is the commercial Capital of India and lodges all international major brands and corporate companies that have entered the country as well. The city is bursting at the seams in terms of development and growth in all sectors of the industry. Being the biggest commercial hub has translated into the city getting an inflow of talented professionals from all across the country as well as abroad. While the city does provide ample career opportunities for young and aspiring professionals, the fact remains that the land within the city limits is limited.


Mumbai saw an unprecedented rise in real estate prices for commercial as well as residential properties in the last couple of decades. It first started with the increase in rates for commercial projects in the various commercial hubs of the city; namely Worli, Nariman Point, Fort, and Parel, which later involved suburban places such as Andheri, Bandra Kurla Complex, Navi Mumbai, Malad, and Powai. This was because of the emergence of corporate giants and the IT sector in the city. As the companies came, so did the professionals wanting to work in them. This translated into a great increase in demand for residential projects. As said before, the city area is limited and already packed with no open spaces left to develop. This situation gave rise to developers looking to redevelop buildings that were old, turning old bungalows into skyscrapers, and buying off properties left, right and centre.

It has been quite a few years since this trend has started, and hence today the city looks completely different than it used to a few decades ago. However, in the last ten or twelve years developers found that they had exhausted these opportunities as well. It was hence time for another plan and strategy. Many leading developers studied the real estate market and realized that there were two types of buyers in Mumbai; ones that simply wanted an affordable home with some basic amenities, and ones that had the money and willingness to spend on buying a house that had state-of-the-art amenities and world-class design. The only problem was location. In view of the fact that the city has always had an awesome infrastructure in place for connectivity within and around the city, developers were in a position to seek better location beyond the city limits.

This is the trend we are seeing in the recent past: Developers are concentrating their effort in developing Boisar real estate, coming up with residential complexes in Vasai, getting geared up to build high-segment residential projects in Navi Mumbai, and the like. Not only is the development is taking place in the residential real estate sector of such areas, but even new companies that need ample space for operations and don’t mind being a little far from the hustle-bustle of the main city are providing interest in buying commercial properties here. Developers have realized that the days are long gone when people would not live in commercial areas. These days, people want to be situated close to their workplace for convenience. In a city like Mumbai, no matter where you are there is no scarcity of places for recreation and entertainment. Today, these far off places also have a number of great restaurants, malls, shopping centers, pubs, parks, etc. Plus, the city is just a short train or bus ride away.

Macy S. is a freelance writer for the http://mirchandanigroup.com/ . She has been thinking about investing in a property in Mumbai and is now considering Boisar real estate market for investment. This has led her to study the property sector of the city. Being a writer she often blogs about the different options for investment for foreigners, and the pros and cons of investing in real estate.

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