Housing projects launch prices drop up to 20% in 3 metros

Developers in certain micro markets of metros like Delhi-NCR, Mumbai and Bengaluru witnessed a drop of 4-20 per cent in launch prices of residential projects in 2015 over the previous two years, a report said.

According to the report by property consultant Cushman & Wakefield, metropolitan cities of Delhi-NCR, Mumbai and Bengaluru recorded a drop in launch prices in high development activity markets of these cities. As per the study, new residential projects in select micro markets are cheaper by 4-20 per cent on average weighted basic sale price over the last two years.

The report tracks the development activities in locations of Dwarka Expressway, New Gurgaon Southern Peripheral Road Sohna, Noida Expressway and Noida Extension in NCR, Thane, Goregaon and Malad in Greater Mumbai, and south-west and southern sub-markets in Bengaluru. The suburban location of Mumbai's Goregaon registered the biggest decline in average weighted basic sale price at 20 per cent, where the per sqft rate averaged at Rs 10,500 per sqft in 2015, followed by Thane which saw an 18 per cent decline.

Southern Peripheral Road in Gurgaon also saw a decline of 10 per cent in average base selling price of new launches, as compared to 2013.