With established developers from other parts of the country cornering a piece of the Rs 1-lakh crore housing pie in the Mumbai Metropolitan Region, home-grown players such as the Lodha Group-owned Macrotech and Godrej Properties are adopting a two-pronged approach: to hold off competition and expand their market shares.
According to an expert, following the entry of the likes of Gurugram-headquartered DLF and Bengaluru-based Prestige Estates, realtors such as Macrotech and Godrej Properties have responded strategically through aggressive launches in premium micro-markets.
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The Lodha Group’s recent launches show that it is leveraging its deep local market knowledge and regulatory environment, said Sangram Baviskar, founding member & CEO (real estate), TruBoard Partners. Whereas, Godrej Properties has been particularly aggressive in joint developments, he added.
Currently, Macrotech has a market share of 10% in the Mumbai Metropolitan Region and is looking to double it by 2030-31. While, Godrej has seen its business rise multifold in the past few years and cross Rs 6,500 crore in FY24, making the region its second-largest zone.
Baviskar said the entry of developers such as DLF and Prestige into Mumbai signalled the market’s robust potential.
The entry of major developers is not about disrupting existing players but responding to strong customer demand for premium developments, he said, adding Mumbai is India’s premier real estate market with room for multiple quality players.
Anuj Puri, chairman of Anarock Property Consultants, agrees, and adds new players are getting into the Mumbai market via the redevelopment route. “The entry of Prestige and others will not really be of much concern for local players,” he said.
DLF, the country’s largest developer, plans to launch the first phase of its Mumbai project in Andheri suburb in the fourth quarter of this fiscal. The apartments are priced between Rs 5.5 crore and Rs 7.5 crore. Prestige Estates has under construction projects in Pali Hill, Mahalakshmi, Mulund, among others. Recently, it acquired 22,135 square metres of land in Mira-Bhayandar near Mumbai for Rs 291.58 crore.
Anarock’s Puri says both Godrej and Lodha have seen considerable growth in their market presence in Mumbai. “Godrej has been rapidly increasing its footprint in the market with sales bookings and a focus on top-notch projects.
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