Weekly Real Estate News Tracker – 2 July 2023

Stay updated with India’s real estate highlights — major property sales, leases, investments, and global realty trends this week.

MUMBAI UPDATES

1. Mumbai’s Property Sales Decline By Over 6% Year-On-Year

• Property registrations in Mumbai dropped 6.39% YoY, from 66,760 in H1 2022 to 62,492 in H1 2023.

• In June 2023, Mumbai recorded 10,319 property registrations, compared to 9,919 the previous June.

• Despite a steady demand, higher property prices and interest rates slightly dampened sales momentum.

• Experts expect stabilization in the coming quarters as developers push new launches.

2. Macrotech Developers Emerges Top Bidder for V Hotels

• Lodha Group’s Macrotech Developers won the bid for V Hotels Ltd, owner of the former Centaur Hotel Juhu.

• The hotel sits on a 6.1-acre land parcel on Juhu Tara Road, Mumbai, with 367 keys, restaurants, and banquets.

• The property, currently non-operational, has high redevelopment potential for residential or mixed-use projects.

• This acquisition strengthens Lodha’s presence in prime western suburbs of Mumbai.

3. Mumbai Accounts for 77% of India’s Tallest Buildings

• 77% of India’s tall buildings (above 150 metres) are located in Mumbai, ranking it 17th globally and 14th in Asia.

• India has around 250 tall buildings, half completed and half under construction.

• Hyderabad follows Mumbai in vertical growth trends, according to CBRE India.

• Mumbai continues to dominate India’s skyline due to high-density urbanization and luxury demand.

4. Highest-Ever Half-Yearly Stamp Duty Collection in Mumbai

• Mumbai recorded over 10,113 property registrations in June 2023, totaling 62,285 in H1 2023.

• The state exchequer collected ₹837 crore in June through stamp duty charges.

• Half-yearly collection reached nearly ₹5,600 crore, the highest ever for Mumbai.

• Demand remains robust despite higher loan rates, showcasing strong end-user confidence.

5. K Raheja Corp Signs Deal for Luxury Project in Mumbai

• K Raheja Corp entered a development agreement with Cinevista Ltd for a suburban luxury housing project.

• The total plot area spans 15,817.5 sq. m. with 52,117 sq. m. permissible built-up area.

• The developer holds a 75.5% share, while Cinevista retains 24.5%.

• The market value of K Raheja Corp’s share stands at ₹272 crore, marking another premium addition to its Mumbai portfolio.

NCR UPDATES

1. Supertech Chairman R.K. Arora in ED Custody

• Supertech Ltd. chairman R.K. Arora was arrested under PMLA for alleged money laundering.

• The ED sought 14-day custody to investigate fund diversion in real estate projects.

• Arora was remanded to ED custody till July 10, 2025.

• Authorities are probing alleged frauds worth several crores in homebuyer funds.

2. Conscient Infrastructure Acquires 6.6-Acre Land in Gurugram

• Conscient Infrastructure bought 6.6 acres of land in Gurugram for ₹80 crore.

• The parcel offers 1 million sq. ft. development potential for residential group housing.

• The company also partners with Hines for upcoming luxury and mid-segment projects.

• The deal strengthens Gurugram’s position as a high-demand residential hub.

3. Hero Realty Launches Premium Plotted Project ‘The Ark’

• Hero Realty Pvt Ltd (HRPL) launched a new brand, Hero Earth, for plotted developments.

• The first project, The Ark, spans 5 acres in Sector 85, Gurugram, with 77 plots.

• Plot sizes range from 139 to 175 sq. yards, featuring open green spaces and amenities.

• The launch reflects growing demand for premium plotted developments in NCR.

4. DDA’s Phase 4 Housing Scheme for 5,500 Flats

• DDA announced Phase IV of its housing scheme with 5,500 flats across Jasola, Dwarka, Rohini, Siraspur, and Narela.

• Bookings opened on June 30 with a non-refundable ₹1,000 registration fee.

• The scheme operates on a first-come-first-serve online model.

• Options include flats for LIG and EWS categories, expanding affordability across Delhi.

5. The “Golden Ring” Boosts Delhi-NCR Tier-2 Cities

• The Golden Ring connectivity network is fueling growth in Bhiwadi, Bahadurgarh, Sonipat, Alwar, Jewar, and Meerut.

• These cities are emerging as major real estate and investment hubs.

• Improved infrastructure and amenities attract both homebuyers and investors.

• The expansion marks a shift toward decentralized urban development in NCR.

INDIA UPDATES

1. India’s Housing Sales Hit Record High in Q2

• India’s top 7 cities saw 115,100 housing units sold in Q2 2023, a 36% YoY increase.

• Sales defied high loan rates and global economic challenges.

• Mumbai, Pune, and Bengaluru led the surge, driven by end-user and NRI demand.

• The record shows India’s housing market resilience amid global uncertainty.

2. Prestige Group Aims for 10x Office Rental Growth

• Prestige Group targets ₹3,000 crore in annual rental income over five years.

• Plans include developing 40 million sq. ft. of office assets in Bengaluru, Mumbai, and Hyderabad.

• The company previously sold assets to Blackstone and is now rebuilding its portfolio.

• Strong demand for Grade-A offices drives expansion.

3. KLA Tencor Leases 3.2 Lakh Sq Ft at DLF Downtown, Chennai

• KLA Tencor, a US-based semiconductor firm, leased 3.2 lakh sq ft in DLF Downtown Taramani.

• The space will serve as its India technology centre.

• One of the largest commercial leases in Chennai this year.

• Relocation to the new office is expected within three months.

4. GMADA to Launch 550 Flats in Mohali

• GMADA to offer 550 flats in Phase 2 of Purab Premium Apartments.

• Includes 1BHK (₹54L), 2BHK (₹80L), and 3BHK (₹1.01Cr) options.

• The scheme opened on June 30 and closes on July 31.

• Affordable housing initiative aims to expand Mohali’s urban footprint.

5. Robust Warehousing Demand Attracts Institutional Investors

• Warehousing demand across India continues to soar post-pandemic.

• Institutional investors, including AIFs and sovereign funds, are increasing exposure.

• $216 million invested in Q1 2023, the highest across all real estate sectors.

• Demand-supply gap for operational assets remains a key challenge.

6. The Executive Centre Invests ₹100 Crore to Lease 2 Lakh Sq Ft

• Hong Kong-based TEC leased 200,000 sq ft across 8 centres in H1 2023.

• Plans similar expansion in the second half of 2023.

• Flexible office demand is growing, with 56% occupiers allocating >10% of portfolios.

• Premium coworking segment sees strong momentum across metros.

7. Firms Increasing Flexible Office Space Use

• 47% of corporates plan to expand flex office portfolios within a year.

• Tier-2 cities like Jaipur, Lucknow, and Coimbatore are gaining traction.

• Flex spaces provide cost efficiency and agility for hybrid work setups.

• Growing infrastructure and skilled workforce boost smaller city demand.

8. UP RERA Fines Ansal API ₹3 Crore for Fund Misuse

• UP RERA barred Ansal API from selling or transferring units in Greater Noida projects.

• The firm was penalized ₹3.05 crore for misappropriating ₹60.57 crore from buyers.

• Violations were found across three projects under investigation.

• The move enforces stricter compliance in the state’s real estate sector.

9. Reloy Raises ₹7.2 Crore in Pre-Series A2 Round

• Reloy, a homebuyer loyalty platform, raised ₹7.2 crore for expansion.

• Funding led by existing investors, with participation from BlueLotus VC and others.

• Previous round raised ₹5.9 crore in February 2024.

• Funds will drive technology enhancement and market penetration.

10. Sundaram Alternates to Raise ₹1,500 Crore via Realty Credit Fund

• Sundaram Alternates Assets plans to raise ₹1,500 crore through RE Credit Fund IV.

• The fund targets growth and special situation opportunities.

• Includes a ₹750 crore green-shoe option.

• Focuses on structured debt in residential and commercial real estate.

11. Private Equity Funding in Realty Drops 20% in H1 2023

• PE investment in India’s realty sector fell 20% YoY to $2.58 billion.

• Offices, warehousing, and residential projects saw reduced inflows.

• Despite the decline, India remains a top destination for long-term investors.

• Analysts predict recovery in H2 2025 with improved liquidity.

GLOBAL UPDATES

1. Airbnb Faces Revenue Decline Raising Market Concerns

• Airbnb’s revenue dropped up to 50% in key US cities like Phoenix and Austin.

• Analysts warn of potential housing market stress, echoing 2008 patterns.

• The slowdown reflects changing post-pandemic travel trends.

• Market watchers urge caution amid softening short-term rental demand.

2. Indian Investors Drive Dubai’s Booming Real Estate Market

• Indians invested ₹35,000 crore in Dubai properties in 2022, making them top buyers.

• Average investment per home ranges between ₹3.6–3.8 crore.

• Investors are attracted by 5–7% rental yields, higher than Indian metros.

• Dubai’s stable ROI and global connectivity fuel continued interest.

3. Invesco Launches Commercial Real Estate Finance Trust

• Invesco Real Estate introduced INCREF, a private credit REIT.

• The fund focuses on commercial real estate loans and preferred equity.

• It offers risk-adjusted returns amid high inflation and rate volatility.

• Targets accredited investors seeking stable long-term yields.

4. Singapore’s Skyscrapers Defy Global Commercial Slowdown

• Prime office rents in Singapore rose 2.5% in H1 2023.

• Occupancy hit 94.4%, outperforming global peers like New York and Hong Kong.

• The city-state continues to attract MNCs relocating headquarters.

• Demand growth highlights Singapore’s resilience amid global uncertainty.

5. US Regulators Urge Support for Stressed Commercial Borrowers

• US regulators directed lenders to assist creditworthy real estate borrowers.

• Guidance includes payment deferrals and restructuring support.

• Office loan defaults have increased as property values fall.

• The move aims to stabilize the US commercial real estate sector.

Conclusion

India’s real estate market remains dynamic despite macroeconomic challenges.
Mumbai and NCR continue to dominate residential and commercial activity, while tier-2 cities gain investment traction. Institutional and foreign capital flows are reshaping warehousing and flexible office demand. Globally, cities like Dubai and Singapore highlight resilience, while US and Airbnb sectors face cautious optimism. Overall, 2025 presents a landscape of balanced growth, innovation, and strong investor confidence.