Pune real estate market hopes for turnaround in 2015

Date : Dec 30, 2014

Property Price in prominent micro markets in Pune saw decent increase over the year 2014 with only a few localities being, more or less, stable. Despite the general slowdown witnessed across other major cities, Pune realty market stood resilient mainly due to high demand from the IT/ITeS sectors. Add to this, property prices are relatively 'affordable' in Pune in contrast to other markets such as MMR and NCR.

According to Commonfloor's Annual Realty Report. Pune witnessed the launch of about 230 projects during the year 2014 out of which 29 per cent projects were launched in west region, 23 per cent in east region, followed by 22 per cent in South and only 5 per cent in central part of the city.

Data indicates that the new launched supply in Pune in 2014 was largely dominated by small and mid-sized projects (less than 500 units each) which comprised almost 90 per cent of the total project supply. This validates the fact that the city is expected to witness ample supply of ready-to-move-in property in 2016, followed by 2015.

Meanwhile, the multinationals that were hesitant to foray into the Indian market because of the uninspiring political environment are now dusting off their plans for India and getting their entry vehicles back in gear.

However, city has witnessed launch of super luxury homes project by US based real estate company Trump Towers is association with Panchashil Realtors. The each unit priced at around Rs 14 crore and area of 6000 sq feet. Trump is not infusing any equity but is a license agreement to use Trump's brand name and standard specification for an undisclosed fee. The Trump Towers in Pune are a set of two towers in glass and granite facades. Each tower will have 23 flats with a total area of 6,100 square feet, priced at Rs 22,000 per square feet.

According to JLL, Indian Real Estate Report 2014, the year has been quite fruitful for the real estate sector in terms of business sentiment.

Anuj Puri, chairman & country head, JLL India said, "The winds of change are now blowing more perceptibly. Inflation, including the house price component, has now been reduced to the lowest level in recallable history. Property buyers are back in force in most cities as enquiries have rebounded, and developers are finally reading the writing on the wall more accurately."

Source And Courtsey By :- http://www.business-standard.com/article/companies/pune-real-estate-market-hopes-for-turnaround-in-2015-114122901152_1.html