Mumbai's real estate to soar with upcoming infrastructure: Colliers
Navi Mumbai is expected to draw around $4 billion in data centre investments over the next three to five years due to improved connectivity infrastructure.
- Republic Business
- 2 min read
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-169692509414416_9.bin?w=1280&h=720&q=75&format=webp "Mumbai's real estate to soar with upcoming infrastructure: Colliers")
Mumbai's real estate sector is on the brink of growth as four major infrastructure projects near completion, says a report by Colliers India. These projects, including the Mumbai Trans Harbour Link, Navi Mumbai Airport, Coastal Road Project, and Mumbai Metro, are expected to have an impact on various segments of the real estate market.
Navi Mumbai revamp
Colliers forecasts that these infrastructure enhancements will usher in a transformation in Navi Mumbai, impacting residential, office leasing, and data centre sectors. Navi Mumbai is expected to draw approximately $4 billion in data centre investments over the next three to five years due to improved connectivity and infrastructure.
With the forthcoming DN Nagar-Mandale and Colaba-SEEPZ metro lines, public transportation in Bandra Kurla Complex (BKC), a prime commercial real estate area in Mumbai, is expected to improve. BKC's annual leasing is projected to increase 1.5 times by 2025, with an additional 7 million square feet of space set to become available in the next three years.
Price uniformity progress
The report also highlights that the western suburbs of Mumbai will witness more uniform housing prices, reducing existing disparities. Residential prices in areas like Andheri, Jogeshwari, Malad, Goregaon, Lokhandwala, Kandivali, and Borivali have already risen by 5 to 10 per cent over the past couple of years.
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Enhanced connectivity, including the completion of phase 1 of the Coastal Road and the Mumbai Trans Harbour Link, is expected to stimulate office demand in South Mumbai and the western suburbs, creating new investment prospects. Navi Mumbai is poised to benefit, with the potential for a 20 to 25 per cent surge in annual office leasing starting in 2025.
Colliers concludes that these infrastructure upgrades will comprehensively reshape Navi Mumbai's real estate landscape, making it a hub for investors, particularly in areas like Uran-Ulwe, Panvel, Dronagiri, Kharghar, and Taloja. The report estimates that Navi Mumbai could attract $3-4 billion in data centre investments over the next 3-5 years.