By the time Mumbai’s second airport is up and running at Navi Mumbai, surging air travel may well overtake its capacity. But property prices in the sprawling area, planned as a mega city to decongest Mumbai, are already taxiing for take off. Like everywhere in India, property prices in the Navi Mumbai region are currently undergoing a correction from their peak levels since hardening of interest rates and prices are likely to fall further during the next six months due to lack of demand say real estate agents.
“ Prospective house buyers should wait for six months. The airport will completely change the face of this entire locality and property rates are likely to appreciate by more than 25 per cent once construction of the airport gains momentum,” said Manohar Shroff of Shivam Real Estate, a leading Navi Mumbai real estate consultant and developer.
Real estate consultants say prices in the region are likely to drop by 15 to 20 per cent in the coming months and house buyers/investors should come in at a time before prices shoot up due to the implementation of the airport project.
“Land prices in the region are already at a peak. Several builders have already purchased huge tracts of land with an objective to build townships and scarcity of land would further jack up land prices going forward,” said Manju Yagnik, Vice Chairperson, Nagar Group of Builders.
“There would be residential and commercial property development spanning 20 kms near the airport. Real estate prices in Navi Mumbai can match that of Mumbai city,” she claimed.
According to builders, apart from residential construction activity, commercial construction will also boom. “Several hotels, Malls, multiplexes and retail chains would occupy bulk of the land. Big retail chains like WalMart have already blocked space. Any business that is associated with the airport would come up here and property prices may go up by 100 per cent in three years,” said a developer asking not to be named.
Hectic construction activity is all set to take place in the regions of Kharghar, New Panvel and Kamothe, which are very close to the proposed airport. Currently these areas are undergoing a period a recession. “ We are hardly getting any inquiries. In a month, two deals are taking place as compared to a deal every week three months ago. But we expect better days ahead,” said Shroff.