Now, you can own a compact 2BHK in Worli for ₹1.59 crore

Hubtown group has launched its "Optimum Living" development in Mumbai's Worli luxury market, offering 2BHK residences on 330 sq ft carpet area. The launch has attracted attention from the real estate industry for its price of INR1.59 crore ($225,000), as market rates for sea-facing homes in the area have crossed INR1 lakh per sq ft. The development comes with an assured mechanised car park, gym, kids' play room and grand lobby, and will offer sea views from higher floors. The development is part of a Slum Rehabilitation Authority project.

Mumbai: Space-jammed Mumbai compels its inhabitants to transform small spaces into aesthetically appealing digs. To that end, a leading developer may have pushed the envelope by launching 2BHK residences on 330 sq ft carpet area in one of the city’s most coveted luxury markets – Worli. This is in sharp juxtaposition to post-Covid trends in Mumbai’s real estate, indicated by the need for large homes.

Located on BG Kher Road or Campa Cola Compound Road, the homes come with an assured mechanised car park and other trimmings such as a gym, kids’ play room, a grand lobby etc. Standing behind Avighna House, Celeste is a salable component of a Slum Rehabilitation Authority (SRA) project. The proposed 38-storey building will offer sea views from higher floors. (Bhushan Koyande/HT Photo)

Hubtown group’s recent launch – Hubtown Celeste, codenamed ‘Optimum Living’ -- has caused a flutter on social media from the real estate fraternity, not least for its price of ₹1.59 crore. It works out to ₹48,181 per sq ft in an area where market rates for sea-facing homes have crossed ₹1 lakh per sq ft.

Located on BG Kher Road or Campa Cola Compound Road, the homes come with an assured mechanised car park and other trimmings such as a gym, kids’ play room, a grand lobby etc. Standing behind Avighna House, Celeste is a salable component of a Slum Rehabilitation Authority (SRA) project. The proposed 38-storey building will offer sea views from higher floors.

Former journalist and real estate watcher Vishal Bhargava said on twitter, “Wow. 2BHK off Worli Seaface at only ₹1.59 crore by Hubtown. You get enthused. Then you probe further. The 2BHK is of only 330 square feet. In any other Indian market, such a small 2BHK offering will not even be imagined. But Mumbai has the ability to accept everything.”

Others were shocked that a leading developer was offering an apartment, slightly larger than an SRA tenement of 300 sq ft. “The irony is that the minimum tenement size for a slum dweller has been finalised at 300 sq ft, but for normal home buyer, a minimum space requirement for 1 BHK and 2BHK has not been specified. Perhaps it is time authorities reflect on this,” said Bhargava.

The developer defended the product saying it was driven by market demands for specific buyers. “Our 330 sq ft homes in Palmrose project in Andheri East and Harmony in Matunga East have received a great response. This is our first in South Mumbai,” said Rushank Shah, senior VP Corporate, of Hubtown.

His brother Khilen Shah said, “A 2BHK in Andheri is priced between ₹1.25 crore and ₹2.5 crore, but we were offering it at 50 per cent less. Most of our buyers were people living around the area who wanted to become homeowners but could not afford to buy. They did not think twice of living in small houses.”

As the buyer profile of Matunga East, a neighbourhood dominated by traditional and large families, was different from Andheri, the company introduced 3BHK homes on 550 sq ft along with 2BHK units of 350 sq ft. “In many places people are converting their 2BHKs into 3BHKs. We are offering the same in a compact form,” said Shah. Optimun living is not a euphemism for Shah, as he reasoned: “We realised that there is a gap in the market – many who have lived traditionally in chawls and smaller homes are now able to take home loans but cannot afford market rates. These spaces are for this demographic.”

The project in Worli has already attracted NRI buyers, especially from the Middle East. “People who have one foot in India want a South Mumbai address, but are not ready to shell out ₹10-15 crore for a home. The location is important when they visit India for 10-15 days, not necessarily the space,” he said. He said the “optimum living” format has also achieved a high sales velocity for the group. “We sold the Palmrose project units priced at ₹70 lakh within a month, whereas units in ₹1.5-2.5 crore bracket would have taken two years to sell. This inventory has been fast moving,” said Shah.