By Dominick Rodrigues
Mumbai, May 19: Over 4.22 lakh units across the top 7 cities that are scheduled for completion by 2021-end — with NCR holding about 28% share, MMR (26%) and Pune (18%) — could be facing some delay due to restrictions and disruptions in the supply chain amid the second COVID-19 wave, latest ANAROCK data revealed.
Anuj Puri, Chairman – ANAROCK Property Consultants, said “The tally of 4.22 lakh homes scheduled for delivery across the top 7 cities by 2021-end must, however, be viewed in context with the severe second wave of COVID-19 infections. All the top cities have been affected, and it is likely that a part of these project deliveries will be pushed to 2022. Amid the localized lockdowns and restrictions in most states, construction activities are permitted – albeit mandating COVID-19-specific protocols like adequate social distancing and sanitizing measures among in-situ labourers.”
About 72% of the total homes to be delivered by 2021-end are already sold out (just 28% remain unsold). If the fallout of the second COVID-19 wave does not impact construction activity again, the top 7 cities will have approx. 1.18 lakh homes available for purchase by year-end. +Once-bitten-twice-shy+ homebuyers’ preference continues to be skewed towards ready-to-move homes which mitigate construction risks and project delays.
“As far as housing sales is concerned, we are seeing a temporary slowdown due to the rampant spread of the coronavirus,” Puri said, adding, “The market will quickly regain an even keel once the vaccination drive picks up pace and the health infrastructure crunch abates.”
In terms of budget categories – of over 4.22 lakh homes to be delivered by 2021-end, 40% (approx. 1.69 lakh units if completed) are in the affordable segment priced at Rs 40 lakh; while 35% (approx. 1.48 lakh units if completed) are in the mid-segment priced between Rs 40 lakh to Rs 80 lakh. Also, most developers underwent a steep learning curve since Lockdown 1.0. Since ready homes are in such high demand, many players with projects due to reach completion in 2021 will consider this as a +do-or-die+ deadline, he said.
NCR has 1,16,730 units scheduled for completion in 2021. Of this, at least 43% are in the affordable segment, 39% in the mid segment, and 13% in premium segment priced within Rs 80 lakh to Rs 1.5 Cr, while barely 5% is within the luxury segment (Rs 1.5 Cr)
In MMR, 1,0,9940 units are scheduled for completion during the year — of which 40% is in affordable segment, 24% in mid segment, 18% in premium, and 17% in the luxury category.
Pune has 74,020 units scheduled for completion anytime during 2021 – of which about 59% is in the affordable segment, 30% in the mid segment, 9% in premium, and just 2% in the luxury segment.
In Bengaluru, 56,650 units are scheduled for completion in 2021 of which just 11% is in affordable segment, 56% in the mid segment, 23% in premium category and 9% in the luxury category.
Kolkata has 27,470 units scheduled for completion in 2021. Of this, at least 65% is in the affordable segment, 26% in the mid segment, 5% in premium, and just 3% in the luxury segment.
In Chennai, 21,830 units are scheduled for completion during the year. Of this, 34% is in the affordable segment, 47% in the mid segment, 14% in the premium category, and just 5% in the luxury category.
Hyderabad has 15,860 units scheduled for completion during 2021. Of this, just 6% is in the affordable segment, 37% in the mid segment and 43% in the premium segment, while about 14% is in the luxury segment.
