Residential property launches in Mumbai decreased 36% in the first half of 2017 compared to the same period in 2016, hitting a decadal low. Sales also declined, but only by 8%. A significant portion of new launches were priced below Rs. 50 lakh, targeting buyers with smaller budgets. The office market saw transactions fall 19% over the same period due to declines in the traditional BFSI sector, though other service sectors grew. Vacancy rates increased slightly while rents rose modestly across various markets.

1. Mumbai
Residential & Office
January to June 2017
1

2. RESIDENTIAL
RECAP
2016
2

3. KEY
FINDINGS
H1 2017
01 Launches down by
36%, hit a decadal
low
03 A significant chunk of
new launches took
place below INR 50
lakh
02 Smaller apartments
and lower ticket size
attract buyers
04 Maharashtra first to
appoint regulator;
buyers sentiments to
boost demand in
near future
3

4. Half yearly
trend in
launches
4
-
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
No.ofunits
-36%

5. Half yearly
trend in
sales
5
-
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
No.ofunits
- 8%

6. Ticket-size
split analysis
of launches
6
H1 2016 H2 2016 H1 2017
<2.5 mn 13% 11% 36%
2.5-5 mn 20% 52% 32%
5-7.5 mn 23% 13% 16%
7.5-10 mn 6% 9% 3%
>10 mn 22% 7% 12%
>20 mn 16% 9% 1%

7. Micro-market
split of
launches
7
3%
13%
19%
21%
9%
0%
19%
17%
2%
9% 9%
41%
7%
0%
25%
7%
1%
23%
8%
2%
39%
0%
9%
18%
Central
Mumbai
Central
Suburbs
Navi Mumbai Peripheral
Central
Suburbs
Peripheral
Western
Suburbs
South
Mumbai
Thane Western
Suburbs
H1 2016 H2 2016 H1 2017
24,450 units 9,740 units 15,763 units

8. Micro-market
split of sales
8
34,971 units 25,403 units 32,077 units
1%
12%
17%
27%
20%
1%
9%
14%
1%
10%
16%
33%
19%
0%
10%
11%
2%
8% 9%
45%
18%
0%
9% 8%
Central
Mumbai
Central
Suburbs
Navi
Mumbai
Peripheral
Central
Suburbs
Peripheral
Western
Suburbs
South
Mumbai
Thane Western
Suburbs
H1 2016 H2 2016 H1 2017

9. Residential
Price
Index
9
95
100
105
110
115
120
125
130
Indexvalue(Q12013=100)
MUMBAI
CPI

10. Analysis of
unsold inventory
and QTS
10
189,935
209,440
213,742
204,070
194,510
181,151
170,630
154,967
138,653
9
10
12 12
12
11
10 10
8.8
-
50,000
100,000
150,000
200,000
250,000
-
2
4
6
8
10
12
14
H1
2013
H2
2013
H1
2014
H2
2014
H1
2015
H2
2015
H1
2016
H2
2016
H1
2017
Unsoldinventory(no.ofunits)
QTS
Unsold inventory (RHS) QTS

11. Unsold units
at micro-
market level
11
Unsold units Quarters-to-sell
Central Mumbai 4,281 17
Central Suburbs 19,453 13
Navi Mumbai 24,618 11
Peripheral Central Suburbs 31,758 6
Peripheral Western Suburbs 22,126 7
South Mumbai 1,174 16
Thane 13,192 9
Western Suburbs 22,051 12
Mumbai 138,653 9

12. RESIDENTIAL
SUMMARY
H1 2017
12

13. OFFICE
RECAP
2016
13

14. KEY
FINDINGS
H1 2017
01 Fall in transaction by
19%
03 BFSI sector, the
traditional bastion has
seen a sharp fall,
other services sector
sees a substantial
growth
02 New stock in Thane,
Navi Mumbai, Andheri,
Kurla and Ghatkopar
04 Headline vacancy
higher
14

15. Half yearly
trend of
transactions
15
2.5
4.8
2.5
5.0
3.8
3.3
3.1
-
1.0
2.0
3.0
4.0
5.0
6.0
mnsqft
-19%

16. 2.9
6.4
2.3
3.5
4.9
1.0
7.6
-
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
9.0
mnsqft
Half yearly
trend of new
completions
16
54%

17. 17 22.5% 22.6%
21.9%
21.6% 21.6%
19.6%
21.9%
0
20
40
60
80
100
120
Half yearly
trend of
vacancy

18. 18 12-month
rental
change
12-month rental change
BKC & Off-BKC 6%
CBD & Off-CBD 2%
Central Mumbai 6%
PBD -4%
SBD Central 3%
SBD West 2%

19. 19 Sector-wise
split of
transactions
3.8 mn sq ft 3.3 mn sq ft 3.1 mn sq ft
24%
21%
22%
34%
31%
16%
33%
20%
17%
9%
32%
42%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
BFSI IT/ITES Manufacturing Other services
H1 2016 H2 2016 H1 2017

20. 13%
2%
15%
20%
14%
35%
10% 9%
11%
28%
11%
31%
0%
5%
10%
15%
20%
25%
30%
35%
40%
BKC & Off-
BKC
CBD & Off-
CBD
Central
Mumbai
PBD SBD Central SBD West
H1 2016 H1 2017
20 Business
district-wise
transaction
3.8 mn sq ft 3.1 mn sq ft

21. OFFICE
SUMMARY
H1 2017
21

22. Mumbai
Residential & Office
January to June 2017
22
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