Mumbai: JLL India, the country’s largest real estate consultancy and professional services firm, announced the closure of an exclusive transaction of 10.3 acres of land parcel in the micro market of Kalyan in Mumbai. Mahindra Lifespaces executed the agreement to acquire this land from Ecohomes Townships LLP. JLL was the exclusive transaction partner for the said land deal for both parties. The deal was closed using a hybrid model of both online and offline technologies during and after the lockdown.
The land parcel located at the Kalyan Bhiwandi junction on Mumbai-Nashik Highway is approximately 300 meters away from the proposed Ranjnoli metro station. The micro-market of Kalyan has seen launches by large and trusted developers in the last couple of years on the back of high end-user demand. Further, it has seen rapid growth in demand for affordable housing with a boost in connectivity due to several key infrastructure developments.
“We see great growth potential in the micro markets like Kalyan in the coming years. The government’s policy push has paved the ground for a greater recovery of the residential market. Today, we see the end-user back in the market due to softening interest rates and better bargains being offered to the buyers,” said Karan Singh Sodi, Managing Director – Mumbai Metropolitan Region, JLL.
“While this deal was initiated during the lockdown period, we interjected technology into our day to day interaction with the clients to successfully close the deal,” he added.
“The runaway success of our first residential project in Kalyan validates the growing demand for high quality, aspirational homes by trusted brands in this attractive suburb. Our latest land acquisition in Kalyan is aligned to our strategy of strengthening our presence in high-performing markets. We look forward to delivering our next outstanding project in Kalyan,” said Arvind Subramanian, Managing Director & CEO, Mahindra Lifespace Developers Ltd.
Demand in residential market on an upswing
Aided by policy push by the Government of India, the residential market across pan-India has been on an upswing, with fence sitters rapidly converting into buyers due to lower interest rates and a ‘buyer’ favouring market. So much so that the Q1 (Jan-March) 2021 residential sales have recovered by more than 90% of the volumes, witnessed in Q1 2020 (pre-Covid 19) across the top seven cities. Importantly, sales either improved or stayed at similar levels (in Q1 2021 when compared to Q4 2020) in majority of the residential markets under consideration. Mumbai has consistently been the largest contributor to sales in the last four quarters.
Sustained growth of the sector expected in 2021
Guided by the expected economic growth trajectory, the uncertainty around the stability of jobs and incomes is only expected to reduce in the coming quarters. This is likely to have a direct positive impact on the housing sector with enhanced buyer confidence.