By Accommodation Times Burea
Confederation of Real Estate Developers’ Associations of India’s (CREDAI) MCHI Raigad Unit held a ‘Change of Guard’ ceremony where Ateeque Khot took charge as its new President and the developers’ body launched a report titled ‘Raigad District: A New South within the Emerging MMR Corridor’ with JLL.
The report analyses key factors, which are instrumental in bringing up the profile of the district, making it an attractive location for mixed-use development.
Asset class update:
Residential: The development of Raigad residential corridors is currently centred around Kharghar, Panvel, Taloja, Rasayani, Kalamboli, Dronagiri and Ulwe. Compared to Navi Mumbai, these locations offer affordable accommodation, the promise of improved connectivity and higher returns due to appreciating capital values. Prices in the district range between INR 5,000 to 7,000 per sq ft as against average prices in Navi Mumbai which are closer to INR 10,000 per sq ft.
Commercial: Thane and Navi Mumbai markets are in the rental range of INR 50-60 per sq ft per month, i.e. sub-dollar rentals, which is most favoured by the IT-ITES sector. The sub-dollar Grade-A markets in Mumbai, possibly for the first time, open up an opportunity for the city to tap the cost-conscious tenants who are also responsible for driving large volumes, in terms of space. The IT-ITES sector has been critical for the Indian commercial realty space as close to 40% of annual leasing activity is driven by this sector.
Industrial: There are 3,614 units registered as Industries in Raigad. The number of units has been growing steadily over the last 4 years. These industrial units consist of micro, small, medium and large enterprises and together provide employment to about 89,000 people in the formal sector. The total employment generated has increased from 86,511 to 89,137 over the course of 4 years.
Ateeque Khot, President, CREDAI MCHI Raigad said, “The entire real estate sector in India has begun its new era of sustained progress and now Raigad strives to contribute highly to this unceasing momentum.”
Raigad is still at the infancy stage and given the scale of infrastructure and planned urban development, we anticipate a spike in new launches in Raigad. According to MahaRERA, there are currently close to 10 major active office projects under various stages of construction, which would bring in 3.5 to 4 lac sq ft of office space in the near future and are likely to boost residential demand.
Upcoming projects in Raigad are Karanja, Dighi Port Expansion, Mumbai Trans Harbour Link, Virar-Alibaug Multi-Modal Corridor, Panvel-Roha Line track doubling, Passenger Train Terminal at Panvel and Navi Mumbai International Airport and JNPT Expansion.