Destination of the Future for Mumbai Realty

With Booming commercial property development on LBS Marg and Neighboring locations like Ghatkopar, Vidyavihar, Powai / Connectivity to all suburbs, BKC, Eastern Express Highway, LBS MARG is becoming an hot destination for commercial property development. Since LBS Marg is centrally located and connected to all suburbs, it is becoming a more preferable destination for most of the corporates. It has got connectivity to major destinations like Bandra Kurla Complex, CST Road, Kalina, Eastern Express Highway, Jogeshwari Vikroli Link Road which helps people to drive down from Eastern Suburbs to Western suburbs, Powai - Sakivihar road which connects to Andheri and from Eastern Express Highway people can easily drive down to Airoli, Vashi, Ghatkopar, Chembur, Sion and towards town. Also, the first proposed METRO RAIL coming up from Versova-Ghatkopar Belt is one of the reasons for the major development. All the railway stations like Ghatkopar, Vikroli, Kanjurmarg, Bhandup, Mulund are at a walking distance near to LBS MARG.

Demands from corporate sector mainly from IT, ITES, BPO’s / demand - supply position in the commercial property :-- Considering all the above factors, sectors like IT/ITES/BPO’s / FINANCE and BANKING/RESEARCH firms and even premium hotel players are eyeing the LBS Marg belt from Ghatkopar To Thane. Already players like WNS, Accenure, CapGemini, Wipro Spectramind, Prudential, Colgate Palmolive, HCC, CIPLA, Johnson and Johnson are located in this area and demand is still coming up for office space requirements from corporates. However, one of the major factor which attracts the demand at LBS Marg are the rates that are quite lower compared to Bandra Kurla Complex, where the lease rates are approximately Rs.300-400 per sq. ft. Those who are not able to match their requirement considering the availability of supply and rate factor at BKC, they switch over to LBS MARG where the rates are in the range of Rs. 60 to Rs.180 per sq. ft, which is still at the lower side compared to Bandra Kurla Complex. Currently there is a demand of more than 20 lakh sq. ft for office premises ranging from 5000 sq. ft till 2,00, 000 sq. ft each. However, there is a scarcity of commercial office premises for ready possession. Most of the constructions coming up are under construction phase. Total construction of around 60 lakh sq. ft is coming up at LBS MARG and connected to areas like Powai, Ghatkopar (East), Ghatkopar (West), Vidyavihar, Chembur.
Projects coming up from well known developers:-- Considering the demands coming from all above players, most of the developers are coming up with development of commercial office space with state of the art amenities and malls on LBS MARG belt. Developers Like Runwal, K Raheja Construction, Hiranandani, Kohinoor Group, Nirmal and other private developers from Ghatkopar are coming up with large floor plates of commercial office premises / IT PARK / Malls to meet demand for these corporates.

Following are few of the projects coming up :

Rates / Appreciation of property values in last 2 years and future prospect:- Rates in these location are ranging from Rs. 7500 per sq. ft to Rs. 18000 per sq. ft (Capital Value) and for lease it ranges from Rs.60 per sq. ft till Rs. 180 per sq. ft. There has been an appreciation in the capital value of property in last 2 years by more than 100%. Rates in same areas were around Rs. 4000 per sq. ft two years back. Analyzing the current growth scenario and demands coming up, prices are expected to rise further; we can see more and more companies having their corporate offices in LBS MARG and connected areas like Powai, Ghatkopar, Vidyavihar, Chembur.