The Southern markets of Chennai, Bengaluru and Hyderabad have witnessed the maximum number of completed residential projects, at a time when property buyers are preferring such ready to move in homes, as per a study.
As per a latest Anarock research, out of the total new housing unit introductions in each top city between 2013 till Q3 2020, Chennai had the highest share of ready/completed homes at 61% of its total inventory, followed by Bengaluru with 48% and Hyderabad at 44%.
Chennai saw the introduction of over 1.32 lakh new units between 2013 and Q3 2020, of which 61% has already been completed. In stark contrast, National Capital Region (NCR) saw over 5.54 lakh units of new supply in this period, of which just 26% (1.45 lakh units) were completed.
In Bengaluru, out of the total new supply of nearly 3.83 lakh units during the period, nearly 1.85 lakh units are ready. Hyderabad saw a new supply of 1.16 lakh units during the period, of which 51,710 units were completed.
Kolkata saw new supply of 1.41 lakh units, of which 40% or nearly 56,100 units were completed. In Pune, out of the total introduction of over 3.50 lakh units, nearly 29% (1.02 lakh units approximately) have been completed. Mumbai Metropolitan Region (MMR) saw introduction of nearly 6.26 lakh units during the period. Of this, 28% (1.73 lakh units approximately) was completed.
Altogether 23 lakh units were introduced between 2013 and Q3 2020 across the top 7 cities, 34% (approximately 7.92 lakh units) of this is completed. Another 19% is scheduled to complete within the next 12 months, and another 19% between one to two years, the research data said.
Anuj Puri, chairman, Anarock Property Consultants said “Predominantly driven by end-users from the IT/ITeS sector, the conservative housing markets of the Southern cities also benefit from the proactive project completion focus of developers active there.”
Out of all the projects introduction and completed between 2013-till date, the average time to complete projects in Chennai, Bengaluru and Hyderabad is between 4.1-4.3 years for smaller projects (with 100-500 units each) and between 5.5-5.9 years for large projects (above 500 units each). This is significantly less than the average completion time in NCR, where it is 6 years and 7.2 years, respectively.
Cumulatively, the top cities saw more than 7.92 lakh units (34%) completed out of the total of 23 lakh units introduced between 2013 and Q3 2020. The average time taken to complete smaller projects in the top cities is about 5.1 years, and 6.6 years for large projects. “Chennai stands head and shoulders over its peers, followed closely by Bengaluru and Hyderabad,” Anarock said.