Property Launches Down 12% this Year

Published on Dec 19th, 2013
New Property Launches Bangalore, Real Estate Capital Appreciation Bangalore
Across major cities, new property launches in the residential segment declined 12 per cent this year, with Chennai recording the sharpest drop at 39 per cent, followed by the Delhi National Capital Region (NCR) at 33 per cent, according to a report.

This year, 1,72,500 residential units were launched. The most were launched in Bangalore, which saw a 15 per cent rise in these launches compared to last year, said a report by international property consultant Cushman & Wakefield. Mumbai recorded six per cent growth in launches, while Kolkata saw a three per cent rise. In Pune, the number of launches fell 20 per cent, while Ahmedabad recorded a decline of five per cent.

Together, Mumbai and Delhi accounted for 65 per cent of the overall launches. Launches in the high-end residential category saw 56 per cent growth, while launches in the affordable, mid-end and luxury segment fell.

Sanjay Dutt, executive managing director (South Asia), Cushman & Wakefield, said, “In the current economic environment, both buyers and developers are taking a cautious approach, not only towards the residential real estate but across all real estate asset classes.”

At 50 per cent, the highest capital appreciation was recorded in central Bangalore (mid-end properties) — Rs 9,000-12,000/sq ft — followed by Velechery in Chennai at 27 per cent (Rs 6,000-8,000/sq ft).