Developers, buyers back in luxury home market

In Mumbai, developers have launched or reopened ultra luxury projects, complete with limousine and concierge services

Interest in luxury residential projects is back both from developers and buyers on improved sentiment and economic conditions.

In Mumbai, developers like the R K Jatia and Lodha groups have launched or reopened ultra luxury residential projects, complete with limousine and concierge services.

Property consultants say a number of projects such as Raheja Vivarea and Runwal’s The Reserve are sold out.

Bengaluru, the country’s information technology capital, has seen the likes of the Prestige group launching luxury projects after a long time to tap buyer interest.

The R K Jatia group promoted Provenance Land, asset owners of the Four Seasons Hotel in Mumbai’s Worli area, has sold five apartments in its recently launched private residences that cost between Rs 30 crore (Rs 300 million) and Rs 100 crore (Rs 1 billion).

The 26 apartments in the project are managed by Four Seasons and services include laundry, grocery, stocking and butler services.

“There is a pent-up demand for exclusive projects in the city.

"We are catering to that demand for exclusivity,” said Adarsh Jatia, managing director of Provenance Land. “Mostly users are buying these apartments,” Jatia said.

The Lodha group recently reopened bookings for its World One towers, touted as the world’s tallest residential project.

The developer claims to have sold apartments worth over Rs 500 crore (Rs 5 billion) within nine days of reopening bookings on November 29.

Since its launch three years ago, the developers have sold 50 per cent of the apartments.

“There is optimism in the Indian economy and that has helped improve appetite for high-quality development.

Customers across sections are aspiring to enhance their lifestyle,” a Lodha group spokesperson said.

Gaurav Gupta, director of the Omkar group, says the company has sold 50 per cent of the apartments in its ultra luxury project ‘1973’ within a year of launch.

Apartments in the project are going for around Rs 14 crore (Rs 140 million( and prices have shot up 20 per cent since launch.

“The building is ready and people can see 35 floors.

When you see the ready floors, it will offer a different level of comfort,” Gupta said.

The Bengaluru-based Prestige group launched two luxury projects this month, Prestige Leela Residences, a joint development with the Leela group, and Kenilworth in the city’s central business district Cunningham Road.

Apartments at Prestige Leela are priced between Rs 5 crore (Rs 50 million) and Rs 12 crore (Rs 120 million) and the Kenilworth apartments cost above Rs 5 crore (Rs 50 million).

“We have launched luxury projects after a long gap, since we have been focusing on mid-income housing all these years.

We saw enquiries from customers for luxury apartments,” said Venkat Narayanan, chief financial officer of the Prestige group.

He said within a week or so the company had sold 25-odd apartments, or 35 per cent, in both the projects.

Another Bengaluru-based developer, Puravankara, has launched a luxury project, Purva Evoq, overlooking the Chennai Race Course as well as high-end villas, Sound of Water, off Bannerghatta Road.

The company has sold 50 per cent of the apartments released in the first phase.