The Indian real estate sector is set to witness record project launches worth ₹60,000 crore in Q4 FY25, a significant jump from ₹24,000 crore in the same period last year. This surge is primarily driven by pent-up demand following election-related delays in approvals, particularly in Maharashtra and Delhi. A Kotak Institutional Equities report highlights that the total launch pipeline for FY25 stands at 106 million sq. ft with a gross development value (GDV) of ₹1.6 lakh crore, compared to 88 million sq. ft in FY24.
Prestige Estates, a Bengaluru-based developer, will account for nearly half of these launches, bringing ₹30,000 crore worth of inventory to market. Projects such as Prestige Southern Star and Prestige Suncrest in Bengaluru, Pallava Gardens in Chennai, and Prestige Nautilus in Mumbai have received approvals and are set for launch in the coming weeks.
Lodha is also expected to launch over ₹7,000 crore worth of inventory in MMR and Bengaluru, while Mahindra Lifespaces will introduce ₹2,000-₹3,000 crore worth of projects in Q4. Analysts at JM Financial note that approval challenges are largely resolved, and developers are catching up on delayed launches from previous quarters.
Despite record-breaking launches, experts do not anticipate an oversupply. Amit Kumar Sinha, MD & CEO of Mahindra Lifespace Developers, states that demand from end-users remains strong, though pricing growth seen in the past three years is expected to moderate. Vivek Venkateswar of Shriram Properties adds that decision-making in real estate is concentrated in Q4, ensuring a strong quarter for developers.
Anarock Property Consultants' chairman Anuj Puri highlights that inventory overhang across India’s top 7 cities is at its lowest in 2024 at 14 months, indicating a healthy market trend. Developers are focusing on premium and luxury housing to meet high demand.
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