DELHI: Across major cities, new property launches in the residential segment declined 12 per cent this year, with Chennai recording the sharpest drop at 39 per cent, followed by the Delhi National Capital Region (NCR) at 33 per cent, according to a report.
This year, 1,72,500 residential units were launched. The most were launched in Bangalore, which saw a 15 per cent rise in these launches compared to last year, said a report by international property consultant Cushman & Wakefield. Mumbai recorded six per cent growth in launches, while Kolkata saw a three per cent rise. In Pune, the number of launches fell 20 per cent, while Ahmedabad recorded a decline of five per cent.
Together, Mumbai and Delhi accounted for 65 per cent of the overall launches. Launches in the high-end residential category saw 56 per cent growth, while launches in the affordable, mid-end and luxury segment fell.
Sanjay Dutt, executive managing director (South Asia), Cushman & Wakefield, said, “In the current economic environment, both buyers and developers are taking a cautious approach, not only towards the residential real estate but across all real estate asset classes.”
At 50 per cent, the highest capital appreciation was recorded in central Bangalore (mid-end properties) — Rs 9,000-12,000/sq ft — followed by Velechery in Chennai at 27 per cent (Rs 6,000-8,000/sq ft).
The high-end segment in the NCR markets of south, west and southeast and the luxury category in Gurgaon saw five-seven per cent declines in capital values through the last year.
Most locations that saw significant rise in capital values were established residential markets that saw limited launches of new properties, despite the fact that demand from end-users and investors was strong, the report added.
* New property launches decline by 12% in 2013
* Launches in Chennai drop by 39%, NCR by 33%, Pune by 20%
* Mumbai recorded growth in launches at 6%
* Mumbai and Delhi account for 65% of total launches