Here’s Why A Home At Panvel Is Your Best Bet

  • 29Jul 2022

    Due to the Jawaharlal Nehru Port Trust (JNPT), a robust railway network, upcoming highways, and the much-awaited NMIA in the vicinity, Panvel has become an epicentre of transport development and transformed into a preferred real estate location for both, investors and homebuyers

    “I had booked an apartment in an under-construction project in 2013 at Panvel for Rs 40 lakh; now it costs approximately Rs 62 lakh. But back then, many of my friends and family members thought this was a foolish decision. This was for two reasons: investing in an under-construction project was considered risky back then, and Panvel was still a far-off suburb with limited connectivity and development. But since it was within my budget and I was not in a hurry, I went ahead with the purchase. And while the project was delayed, I am now glad that I invested early,” shares Unmesh Pathak (33), IT professional.

    The Navi Mumbai International Airport (NMIA) project also gave a massive boost to Navi Mumbai’s real estate market, especially Panvel, as the airport is located there.

    But how does a region’s real estate market prosper with transport infra development you ask?

    “Infrastructural projects, especially airports not only open doors for economic development, but also bring tremendous employment opportunities. And if there is a concentration of masses due to such opportunities, the real estate sector in that locality is bound to grow as the demand for housing and retail increases. This new airport will redefine suburban geographies, thus making it the new epicentre of the Mumbai Metropolitan Region (MMR). The airport will boost the real estate market with commercial, residential, retail, healthcare, education, and recreational development mushrooming up its fulcrum,” says Niranjan Hiranandani, vice-chairperson, NAREDCO.

    So, what has Panvel’s story been like?

    Once a neglected spot on the outskirts of Mumbai, Panvel began attracting stakeholders only in the past decade. However, since then it hasn’t looked back. While just like any other region the micro-market of Panvel did face a fall during the lockdown, the housing demand bounced back in a favourable way in mid-2021.

    “The pandemic has made people realise the importance of owning a home, and that has given a boost to the real estate market. As the connectivity and the employment sector grew in the area, it has together created space for housing development in the region. The potential of this micro-market has increased over the past 10 years. Also, CIDCO’s focus on providing affordable housing to the citizens has kept the prices of the houses fairly structured in the area,” says Dr Sanjay Mukherjee, vice-chairperson and managing director, CIDCO.

    “In the last few years, major developers have entered this market and that has helped push prices upwards as the project quality improved significantly,” says Rohan Sharma, director, research and REIS, JLL India.

    The strategic location of the region between Mumbai and Pune creates an appeal for homebuyers from both cities. Additionally, the upcoming transport infrastructure projects will only enhance the connectivity, thus attracting more homebuyers. Moreover, the region also has a good balance of affordable houses, luxury apartments, and even plots for sale. “The region has seen a price appreciation of approx. 40 per cent in the past 10 years,” says Rajkumar Singh, senior director, residential sales, Anarock Group.

    We moved to a rented apartment in Panvel from our rented apartment in Andheri around January 2021. In Andheri, we paid Rs 30,000 for a one-BHK whereas, in Panvel, we got a two-and-a-half BHK for just Rs 25,000. We decided to move because we, my husband, 16-year-old daughter, and I, felt a space crunch in our Andheri apartment. It’s been one-and-a-half years since we moved to Panvel. Looking at the massive infrastructure development and affordable rates, we have now planned to buy a home in Panvel. Since my husband and I have our offices at Churchgate, we can travel via CSMT, thus causing no commute woes. My daughter has already begun attending college at Charni Road, so that is also manageable. Also, with the speed at which all transport infra projects are being completed, soon Panvel will be well-connected. Proximity to several green picnic/outing and trekking spots, hill stations such as Lonavala, Matheran also is a plus point as we can make many weekend plans.

    - Swati Athale, a private sector employee

    The average capital value on carpet area at Panvel and New Panvel has increased from Rs 6,602 per sq ft in 2018 to Rs 8,341 per sq ft in H1 2022 – a 26.3 per cent growth – making it an area that has experienced one of the highest price appreciations across Navi Mumbai.

    - Rohan Sharma, director, research and REIS, JLL India

    Transport options providing seamless connectivity to Panvel:

    Existing

    • Railways connecting Panvel to Mumbai’s employment hubs such as BKC and South Mumbai;
    • Roadways connecting the area to Mumbai, Sion, and Pune, and further to Goa and Bengaluru;
    • Jawaharlal Nehru Port Trust (JNPT).

    Upcoming/Proposed