Big ticket realty deals

Source : ET :28 May 2010, 0217 hrs IST,



Mumbai
A high-end apartment located in Mahalaxmi was sold for a total cost of Rs 12,60,00,000. The apartment, admeasuring 4,000 sqft, commanded a capital value of approximately Rs 31,500 per sqft. It is situated in an under-construction project and has therefore commanded only marginally lower value than the capital values prevalent in this region.

The current average rental value for the location ranges between Rs 34,000 and Rs 55,000 per sqft. With many new residential projects coming up here, the location has been witnessing a steady growth in demand since the past few months. Backed by positive demand, the capital values have remained stable in the last quarter and are expected to strengthen in short-to-medium term.

Central Mumbai has the advantage of being conveniently located — almost equidistant from central business district (CBD) and the other major business centres in Bandra–Kurla Complex, Andheri and Lower Parel — and thus is a preferred location for expatriates and senior executives. The location also boasts of proximity to social infrastructural facilities like retail and entertainment centres, healthcare and education centres.

Pune
An apartment covering an area of 2,800 sqft was taken on lease by a multinational corporation for use by its senior management. Located in Shivaji Nagar, the apartment was leased at a monthly rental value of Rs 1,40,000 per month.

The rental value commanded by the apartment is well within the range for high-end properties in this area, which ranges between Rs 120,000 and 2,00,000 per month. The rate commanded by the apartment, located in a high-end residential building, is in line with the existing values in the location. North-eastern Pune, including Karadi, Kalyani Nagar and Bund Garden Road, has traditionally seen high demand from expatriate and senior corporate executives in the city.

Rental values in this location have remained stable over the past few months as demand has seen some steady increase. With economic stability and resurgence of senior executives’ presence in the city, demand for lease of high-end property is on the rise.

Bangalore
A high-end residential standalone bungalow, spread across 2,400 sqft, was sold at a total price of Rs 2,60,00,000. A part of a gated community, the bungalow is situated in the peripheral location of Whitefield and commanded an average price of Rs 10,800 per sqft.

This residential unit has, however, commanded a much higher capital value due to the fact that this is an exclusive housing project being developed by a national developer and provides all the essential amenities. Whitefield, as a location, has been witnessing interests from senior managements of large Indian and multinational corporates, along with many expatriates, due to the area’s rapid growth as a corporate office location.

In addition, the location also enjoys good connectivity through excellent road network. The location is also developing into a self-sustaining micro-market with many education centres, retail and entertainment options as well as healthcare.

Contributed by Cushman & Wakefield, a real estate consultancy firm