MMR residential real estate market hits new highs in 2024
City at a glance
Certus Research
MMR Real Estate reaches new peak in 1HCY24
Certus Capital
4 Minutes
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Certus Research
Certus Capital
4 Minutes
MMR residential real estate market hits new highs in 2024
City at a glance
Mumbai is the financial capital of India with around 40% of Indian taxpayers residing in Mumbai.
Mumbai has a diversified economic base, with sectors such as business services, trade and transport, manufacturing, BFSI and IT being the major job creators and economic drivers.
In 2023, Mumbai’s household disposable income was INR 12.8 lakh which is among the highest compared to all cities in India.
Mumbai has a young population with ~74% of the population in the working age group (15 – 64 years) and only 7% of individuals over 64 years in age.
MMR (Mumbai Metropolitan Region) which comprises of Mumbai city, Navi Mumbai, Thane, Kalyan Dombivali, Vasai Virar, Mira Bhayandar, Bhiwandi is one of the major economic drivers of India.
MMR is undergoing a comprehensive infrastructure transformation which is expected to significantly improve connectivity between the main city, suburbs, extended suburbs and major commercial hubs. The Government’s investment in multi-modal infrastructure projects is expected to transform the city into a global services hub further boosting real estate prospects in the city.
MMR Real Estate
MMR is one of the leading residential markets in India contributing 25% of new launches and 22% of overall sales in India during 2022-1H2024.
Expected time to liquidate unsold residential inventory in MMR decreased by ~47% during 2022-1H2024.
Real estate players have acquired (outright or through joint development agreement) more than 260 acres of land in MMR in recent years for residential projects with a development potential of ~42-48 MM sf and sales potential of ~ INR 70,000 crore.
MMR which is home to many domestic and multinational companies comprises of ~19% of the overall Grade A office stock in India. Andheri Kurla belt is one of Mumbai’s largest business districts with 13% of operational office stock.
MMR is only the second city amongst top 6 cities in India where vacancy levels showed improvement between 2021-1H2024 (MMR’s vacancy levels improved by 3.6%).
MMR Residential market
Over 1.15 lakh property registrations done during the first 10 months of this year (JanOct 2024), already reaching 90%+ of registrations done in CY23.
Maharashtra government’s revenue from property registrations from Jan to Oct 2024 has touched close to INR 10,000 Cr, also already reaching 90%+ of revenue from registrations done in CY23.
As per JLL, residential sales value is expected to increase in CY24 by 15% y-o-y.
1HCY24 recorded highest ever half yearly sales:In 1HCY24, sales grew by 29% y-o-y while launches grew by only 1% y-o-y.YTS(1) (expected time to liquidate the unsold inventory) also dropped to a record low of 2.6 years in 1HCY24, down from 2.8 years in the previous year.
Transforming MMR’s infrastructure landscape
MMR is currently amidst major revamp in the city’s physical landscape promoting economic growth and enhancing connectivity.
Projects like the Mumbai Trans Harbour Link, coastal roads and completion of some metro lines have boosted connectivity and enhanced accessibility to major commercial hubs.
The government’s investment in multi-modal connectivity projects (integrating different modes of transportation such as road, rail and ports) is expected to ensure better connectivity across the city in coming years.
Opening up of Metro Line 3 (Phase 1- BKC to Seepz) provides direct connectivity for the residential clusters in Andheri-Kurla belt to the airport and commercial hubs of BKC.
The planned Mumbai-Ahmedabad bullet train will also strengthen connectivity to commercial hubs like BKC from Vasai-Virar, Virar station being one of only 4 stations planned in Maharashtra, along with BKC, Thane, and Boisar.
Below image captures the current infrastructure landscape and proposed infrastructure landscape in 2030:
(1) Years to sell (YTS) is calculated as the number of years to sell the unsold inventory considering the rolling 4-quarter average sales
References 1. Hindustan Times Article – https://www.hindustantimes.com/real-estate/diwali-2024-record-11-861-properties-registered-in-mumbai-in-october-2024-a-21- spike-compared-9-736-in-diwali-2023-101730270442810.html 2. JLL Naredco Research, Mumbai Residential Market, 2024 3. Cushman and Wakefield Marketbeat Mumbai Office Q3CY24 4. Knight Frank Research, Mumbai Property Review, 2023
June 2026
