Mumbai dominates ultra-luxury real estate with 53 homes sold above ₹40 Crore

58 ultra-luxury homes priced above ₹40 crore were sold across seven major cities till November 2023, accumulating a total sales value of ₹4,063 crore. Mumbai led the way with 53 of these opulent properties, as revealed in a research report by Anarock released on Thursday

Mumbai: 58 ultra-luxury homes priced above ₹40 crore were sold across seven major cities till November 2023, accumulating a total sales value of ₹4,063 crore. Mumbai led the way with 53 of these opulent properties, as revealed in a research report by Anarock released on Thursday.

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Comparatively, the preceding year of 2022 witnessed only 13 ultra-luxury sales, amounting to ₹1,170 crore, indicating a 247% surge in the highest-priced bracket. Out of the 58 properties sold in 2023, 53 were apartments, and five were bungalows, contrasting with 10 apartments and three bungalows in 2022. Key luxury hubs like Worli and Malabar Hill saw the highest number of transactions whereas, Delhi-NCR had two apartments in Gurgaon and two bungalows in New Delhi in the ultra-luxe category.

While Mumbai had at least three deals of above ₹200 crore – penthouses purchased by industrialists JP Taparia, Niraj Bajaj and Param Capital director Asha Mukul Agarwal, seven were in the ₹100- ₹200 crore price bracket. In Delhi-NCR, two ultra luxury homes were sold for more than ₹100 crore each, the report said.

The majority of ultra-luxury transactions—79%—were concluded by business tycoons, 16% by senior professionals, while politicians and Bollywood celebrities constituted a minor 5%. Clearly super luxury apartments were preferred over bungalows by the high networth individuals.

The surge in ultra-luxury property investments can be attributed to the capping of capital gains benefits at ₹10 crore. Ultra-high-net-worth individuals strategically invested in luxury homes before capping of capital gains benefit was implemented on April 1.

Anuj Puri, Chairman of Anarock Group, noted, “Demand for both luxury and ultra-luxury properties has surged since the pandemic, with HNIs and ultra-HNIs buying such homes for investment, personal use, or both. The upsurge in demand for ultra-luxury homes can also be traced to the reshuffling of HNI investment portfolios amid the anticipated volatility in the stock market due to the existing geopolitical tensions.”

Ashwin Chadha, CEO of India Sotheby’s International Realty, attributed the rise in ultra-luxury investments to India’s global economic impact, rising manufacturing, exports, and a flourishing start-up ecosystem. He emphasised that the demand for ultra-luxury properties is anticipated to maintain its upward trajectory.

Echoed Ayushi Ashar, Director at Ashar Group and Member of CREDAI-MCHI Managing Committee said the surge in ultra-luxury real estate transactions within Mumbai mirrored India’s dynamic economic growth and evolving investment landscape.”As an emerging hub for elite property investment, Mumbai continues to captivate investors seeking stability and growth potential, reaffirming its position as a premier destination for exclusive and abundant living. This is a direct result of customers looking at opulent spaces with a signature residence that provide customised amenities which define a holistic lifestyle for them and their family members ,” said Ashar, who spearheads the group’s foray into ultra luxury segment in Bandra’s tony Pali Hill where the group has two projects.