Areas such as Panvel, the Virar-Vasai belt, Kalyan, Karjat and Boisar are generating interest among the low- and middle-income segments.
The pick-up in residential sales in these regions is contributing significantly to the decongestion of Mumbai. They are also emerging as important long-term investment destinations.
In Panvel, infrastructure enhancements — such as the upcoming international airport, the Sewri-Nhava sea link, a rail terminus, the monorail and the expansion of Jawaharlal Nehru Port Trust — are adding a new dimension to the real estate market.
Uran is also attracting considerable attention with the announcement of a large mass housing project by the City and Industrial Development Corporation.
Vasai and Virar’s potential has been enhanced by special economic zones being built by DHL and the Mahindras. In Kalyan, manufacturing activity continues to drive residential growth. The proposed infrastructure and real estate projects in Boisar will initiate a major makeover of this area and transform it into a high-demand residential hub.
With distant suburbs getting developed, there are opportunities for investors to enter at affordable levels. Prices will rise as these areas develop in terms of connectivity and infrastructure. These areas are expected to attract more industries specific to the available workforce, further boosting growth.
The overall effect is that Mumbai is witnessing economic diversification, which is good for real estate. However, much hinges on infrastructure facilitation. Proper roads, water and power supply, sewage systems, transport, hospitals, schools, etc, are vital.
The writer is AVP (strategic consulting), Jones Lang LaSalle Meghraj