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October, 2017
WORLI
SOUTH CENTRAL, MUMBAI
MICRO
MARKET
O V E R V I E W
www.anarock.com
CONTENTS
Micro o Evolution of the Micro Market
1 Market o Location Mapping
o Connectivity & Major Growth Drivers
Overview o Social Infrastructure
o Physical Infrastructure – Existing/Ongoing/Proposed
Commercial o Overview
2 Market o Rental Values Comparison – Mumbai Metropolitan Region
o Capital Value Trends – Worli
Overview o Key Completed Commercial Developments in the Precinct
Residential o Inventory Summary
3 Market o New Launch Supply-Unsold Inventory Dynamics –
Under Construction Projects
Overview o Unsold Inventory Breakup with Absorption
o Price Trends
o Unit Size-Ticket Price Breakup with Absorption
o Graphical Representation – Key projects
Livability
4 Assessment
Why
5 Worli?
Worli I Micro Market Overview
Micro
Market
Overview Evolution Story
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Worli, once known as a popular Propinquity and easy Due to its distinct “downtown”
textile mills destination of the then accessibility to the seashore image and seamless
S o u t h B o m b a y, t o d a y h a s have significantly transformed connectivity to Mumbai’s CBD
completely transformed into a the Realty landscape of Worli. (Bandra-Kurla Complex), Worli
posh neighborhood of South When the premium residential has become the most sought-
Mumbai. micro markets in South after residential destination in
Mumbai were struggling for the city. Home buyers are also
Located in the southern part of large-scale residential willing to pay surcharges due to
Mumbai, Worli has emerged as one developments, due to lifestyle amenities provided by
of the prime residential areas in unavailability of large land the developments in this micro
the last decade. This micro-market parcels, Worli emerged as a market and as the distinct
is considered to be the new luxury prime residential market for “address” due to the celebrities
housing destination for luxury developments as a residing in the neighborhood.
industrialists, business honchos, seaside promenade.
Bandra-Worli Sea Link
Worli I Micro Market Overview
Micro
Market
Evolution Story Overview
Mumbai Central Bus Terminus www.anarock.com
Mumbai Central Railway Junction
Chhatrapati Shivaji International Airport
Mumbai Metropolitan Region
Arabian Sea
Proposed Metro Line 3
Metro Rail Network (Proposed)
Eastern Express Highway
Eastern Freeway
Bandra-Worli Sea Link
Western Express Highway
Arterial Road Network
Rail Network
Waterbodies
Localities
Mahalakshmi race Course
Worli I Micro Market Overview
Micro
Market
Overview Connectivity
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Worli is
Road
Ÿ Well-connected to Western Suburbs – Bandra-Worli Sea Well-Connected
Link, which originates from Khan Abdul Gaffar Khan
Road in Worli, provides excellent connectivity to Bandra.
Further, it merges into Western Express Highway and
to various parts
connects Worli to Chhatrapati Shivaji International
airport and key micro markets of Western Suburbs such of Mumbai
as Andheri, Goregaon, Malad, and Borivali.
through a grid
Ÿ Proximity to Eastern Express Highway – Worli lies in
propinquity to the Eastern Express Highway, which
provides excellent connectivity to the eastern suburbs as
of roads and
well as the metropolitan area of Thane.
an established
Rail Rail Network.
Ÿ Worli is well-connected to major railway stations such as
Dadar and Chinchpokli on the Central line and
Mahalakshmi and Elphinstone Road on the Western line.
MAJOR GROWTH DRIVERS
Ÿ The micro market enjoys easy accessibility to the commercial establishments of South Mumbai and
the Western Suburbs. Moreover, improved connectivity via Bandra-Worli sea link to BKC, which is now
Mumbai’s ipso facto CBD, is also an added advantage.
Ÿ Apart from the improved physical and social infrastructure, Worli also benefits significantly from the
presence of several Grade-A office spaces and retail developments. Availability of land parcels near
the seashore and its distinct ‘downtown’ image has attracted several developers to this micro market.
Ÿ Considering the location advantages, Worli already has a vibrant real estate market, and the micro
market may continue to command a premium over the long term. In addition, post operationalization
of metro line 3 in the next 5 years or so, the micro market is likely to witnesses a further surge in
capital values and rentals.
Worli I Micro Market Overview
Micro
Market
Overview
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DY Patil International School
Sacred Heart High School
Greenlawns Hilltop Hotel
School
People Mobile Hospital
French
International
School of ESIS Hospital
Banking
MA Podar Hospital
ITC Grand
Pre-Primary Central
Four Seasons
Podar ORT Hotel
International High Street
School Phoenix Mall
Atria Mall
Nirmala Hospital
Mumbai Central Bus Terminus
Connectivity Mumbai Central Railway Junction
Arterial Road Network Chhatrapati Shivaji International Airport
Rail Network Mumbai Metropolitan Region
Waterbodies Arabian Sea
Localities Proposed Metro Line 3
Mahalakshmi race Course Metro Rail Network (Proposed)
Hospital Eastern Express Highway
Hotel Eastern Freeway
Retails Bandra-Worli Sea Link
SCHOOL School Western Express Highway
Worli I Micro Market Overview
Micro
Market
Overview Physical Infrastructure – Existing
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Name Description
Bandra-Worli Connects Bandra (Western Suburbs) to Worli in South Mumbai. This
Sea Link link significantly reduces the travel time.
Western
The Western Express Highway, is a 25 km long multiple-lane arterial
Express
road stretching from Mahim creek to Dahisar.
Highway
Eastern The Eastern Express Highway, is a 24 km city express highway. It is a
Road Express north-south artery of Mumbai connecting the city to the eastern
Highway suburbs and the metropolitan area of Thane.
Eastern The Eastern Freeway is a 17 km long road connecting the P D'Mello
Freeway Road in South Mumbai to the Eastern Express Highway at Ghatkopar.
Name Connectivity Description
Western Line Dahanu Road to The Western line consists of more than 30 stations
(Mumbai Churchgate from Dahanu Road to Churchgate Railway Station.
Railway Station
Suburban
Railway)
Rail Central line Chhatrapati Shivaji The Central line consists of more than 20 stations f
(Mumbai Maharaj Terminus rom C.S.T. to Kalyan junction. It further extends
(C.S.T.) to Kalyan upto Kasara and Khopoli.
Suburban
junction & beyond
Railway)
Name Connectivity Description
Mumbai Chembur to The first phase of monorail - the 8.8 km stretch
Monorail Wadala between Chembur to Wadala is operational. An
extension for Line 1 consisting of 11 stations from
Line 1
Wadala to Jacob Circle is also expected to be
Mono Rail operational by the end of 2017 or early 2018.
Worli I Micro Market OverviewMicro
Market
Physical Infrastructure – Ongoing Overview
& Proposed www.anarock.com
Ongoing
Name Description
The metro line will connect Cuffe
Parade in south to SEEPZ in the north-
central with 26 underground and one
Line 3 Phase 1 -
at-grade station. The cost of this
Mar 2021,
(Colaba- corridor is estimated at INR 23,000 Under
Bandra- crore. Line 3 is expected to reduce construction
Phase 2 -
Metro Rail SEEPZ line) road congestion, besides reducing the
Dec 2021
load on the Western rail line between
Bandra and Churchgate
Proposed
Name Description
The Coastal Road is a proposed 29 km freeway that would
run along Mumbai's western coastline connecting Marine
Coastal Road Lines in the South to Kandivli in the North. The construction
work of Coastal Road may start by the end of 2017.
The Mumbai Trans Harbor Link (MTHL), also known as the
Metro Rail Sewri-Nhava Sheva Trans Harbor Link, is a proposed 22 km,
Mumbai Trans
Harbour Link freeway grade road bridge connecting Mumbai with Navi
Mumbai. Bidding for development of this link is still in progress.
Source : Mumbai Metropolitan Region Development Authority
Worli I Micro Market OverviewCommercial
Market
Overview
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Worli is one of the busiest commercial
hubs in Mumbai, with the presence of
commercial establishments such as Shiv
Sagar Estate and occupiers such as GSK
Pharma, TATA, Novartis, HDFC Bank, Yes
Bank, Siemens, Deloitte, etc. The micro
market has emerged as one of the
premium residential-cum-commercial
precincts of Mumbai.
Peninsula Business Park
Dr. Annie Besant Road, the major interior road of
Worli has become the cynosure of real estate
developments. This locality has attracted several
developers for large-scale residential and
commercial development, due to its strategic
location advantage and proximity to sea shore and
Bandra-Worli sea link.
Commercial activity in the precinct has driven the
residential demand in Worli and has significantly
boosted the real estate development in and around
the micro market.
Shiv Sagar Estate Indiabulls Finance Center
Worli I Micro Market OverviewCommercial
Market
Overview
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Rental Values – Mumbai Metropolis
Rental values
Micro markets Y-o-Y Change (in %)
(INR/Sqft/month)
Bandra Kurla Complex (BKC) 230 - 320 1%
CBD 210 - 260 0%
Worli 180 - 220 -2%
Prabhadevi 170 - 210 -3%
Kalina 140 - 180 -4%
Lower parel 170 - 210 -2%
Powai 110 - 130 -4%
Goregaon 230 - 320 -4%
Andheri East 90 - 140 0%
Malad 80 - 110 1%
Navi Mumbai 70 - 110 0%
Thane 60 - 80 6%
Price Trends - Commercial Property (Capital Value)
26,500
26,000
Price in INR.
25,500
25,000
24,500
24,000
Q1 - 2016 Q2- 2016 Q3 -2016 Q4 - 2016 Q1 - 2017 Q2 -2017
Wtg. Average Price in INR/Sqft
Key Completed Commercial Projects in the Precinct
Project Name Built up Area Rental Capital Values
(In Sqft) (INR/Sqft/month) (INR/Sqft)
Lodha Excelus 5,00,000 140 - 160 18,000 – 22,000
Shiv Sagar Estate 4,10,000 115 - 130 28,000 – 32,000
Peninsula Business Park 12,00,000 200 - 220 49,000 – 53,000
Indiabulls Finance Center 10,80,000 (Tower 1 & 3) 165 - 180 25,000 – 29,000
Worli I Micro Market OverviewResidential
Market
Overview Inventory Summary of
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Under-Construction Projects in Worli
Ÿ The residential market of Worli has around
Total Units 3,600
3,600 units at different stages of
construction, providing buyers a fairly wide
Available Units 1,500
range of options.
Value of unsold stock 14,000
Ÿ The worth of unsold inventory in Worli is a INR(in crores)
whopping INR 14,000 crore, highest among
Weightage Average 1,660
all the residential markets of South Central
Size (Sqft)
Mumbai, delineating the availability of big-
Weightage Average
ticket units in the micro market. Price (BSP – INR/Sqft) 51,000
Ÿ The micro market offers a wide range of Data Source: Anarock Research Team, as on 31st Aug 2017.
Luxury, Ultra-luxury - high rise properties to Note: Above data includes under construction projects in Worli – RERA
home buyers, who are willing to invest in this registered projects only. Data has been verified with MAHA RERA
Website. Above mentioned wt. avg. sizes and wt. avg. prices are on
premium location. carpet area of under construction projects in the precinct.
New Launch Supply-Unsold Inventory Dynamics –
Under Construction Projects
Ÿ The residential market of Worli witnessed a
huge supply addition in 2013, which is an
a p p rox i m ate 7 1 % o f t h e ove ra l l u n d e r 3,000
construction units. In 2013, Lodha - The Park
2,500
consisting of around 2,200 units was launched,
and it made a significant difference in Worli’s 2,000
supply trend.
Units
1,500
Ÿ However, the plummeting supply trend 1,000
connotes that developers are now focused on
offloading existing inventory instead of infusing 500
new supply. No new project was launched in
0
2017. 2008 2011 2012 2013 2014 2015 2016
Launch Units Available Units
Ÿ Out of the overall under-construction supply,
nearly 58% is already absorbed in the primary Note: The above data includes breakup of unit launches and unsold
inventory for respective years
market.
Worli I Micro Market OverviewResidential
Market
Y-o-Y Unsold Inventory Breakup Overview
with Absorption www.anarock.com
3,000 100
90
2,500
80
Absorption in %
70
2,000
60
units
1,500 50
40
1,000
30
20
500
10
0 0
2018 2019 2020 2021 2022 2023 2024 2025 2028
Total Units Available Units Absorption in %
The Y-o-Y inventory break-up analysis depicts that the projects nearing completion possess a
significant number of unsold inventory. As depicted in the above chart, there is a huge inventory
available due to the projects reaching completion by 2021, as also with the proposed completion
timeline of two large projects this year.
Micro Market Price Trend - Price on carpet area
51,200
51,000
Price in INR/sqft
50,800
50,600
50,400
50,200
50,000
49,800
Q1 - 2016 Q2- 2016 Q3 -2016 Q4 - 2016 Q1 - 2017 Q2 -2017
Prices on Carpet Area
There has been a marginal price appreciation during the past 2 years. Post demonetization the prices
remained stagnant in Q1 2017, and have slightly picked up in Q2 2017, due to an accretion in demand.
Worli I Micro Market OverviewResidential Micro
Market Market
Overview Unit Size-Ticket PriceOverview
Breakup
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with Absorption - Sizes in terms of
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Carpet Area
Units Size in sqft
Ticket Price
Ÿ Out of overall under construction supply in the residential market of Worli, nearly 76% of inventory falls
under the size range of 1,000 – 2,000 sqft, followed by properties above 3,000 sqft and less than 1,000
sqft, at 14% and 5%, respectively. Nearly 61% of inventory in the size range of 1,000 – 2,000 sqft is
already absorbed in the primary market, which is a second preferred range in Worli in terms of
absorption, delineating the high demand-supply of mid-size properties in the residential market of
Worli.
Ÿ On the contrary, the fastest selling size and budget range which has recorded an approximate 89%
absorption have a meager share of supply at an approximate 5%.
Worli I Micro Market OverviewResidential
Market
Overview
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Oberoi Three
Sixty West
Nishika Terraces
Omkar 1973
RNA Mirage
K Raheja Artesia JP Unity Tower
Lodha The Park
Palais Royale
Raheja Atlantis
Indiabulls
Blu Marathon
NextGen Era
Runwal Reserve
Localities
Mahalakshmi race Course
Arterial Road Network
Key Projects in Worli Rail Network
Waterbodies
Mumbai Central Bus Terminus Proposed Metro Line 3
Mumbai Central Railway Junction Metro Rail Network (Proposed)
Chhatrapati Shivaji International Airport Eastern Express Highway
Completed Project Eastern Freeway
Under construction project Bandra-Worli Sea Link
Arabian Sea Western Express Highway
Worli I Micro Market OverviewLivability
Assessment
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MODERATE/ LOW/
HIGH/GOOD
AVERAGE NOT SO GOOD
Proximity to Airport
Proximity to BKC
Social Infrastructure
Physical Infrastructure
Night Life
Proximity to Hotel/Mall
Connectivity
Metro Connectivity
Upcoming Metro Connectivity
Proximity to Sea Shore
Quality of Life
Presence of Commercial Development
Worli I Micro Market OverviewWhy
Worli?
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Ritzy skyscrapers, sea-facing properties, excellent connectivity to Mumbai’s CBD Bandra-Kurla
Complex (BKC) – Worli literally has it all in a city where transit infrastructure holds all the aces for the
success of real estate. With so many merits, Worli draws the instant attention of luxury home buyers
not only from the financial capital, but also from other parts of India and the world.
Worli’s residential property market has attracted several developers keen to capitalize on its
upmarket charm and location advantages amidst the high-profile southern part of the city. With its
unique blend of plush office complexes and high-end housing, Worli has emerged as one of the
hottest residential areas in recent years and is a premium destination of choice for industrialists,
business honchos, sports personalities, and celebrities.
Worli’s generous share of prominent luxury skyscraper projects over the last couple of years, have
completely transformed the micro-market’s skyline. With constant real estate development and
improving infrastructure, especially in terms of Metro connectivity via Line 3 (connecting Colaba-
Bandra-Seepz) and the proposed Coastal Road which will provide enhanced connectivity to major
micro-markets of Western Suburbs, Worli is all set to ramp up its allure as a highly popular luxury
housing destination in South-Central Mumbai.
The residential real estate market of Worli offers a wide range of under construction high rise
properties, nearly 1,500 in different stages of construction. In the recent years, new launch activity
has been slow due to availability of huge unsold inventory. Moreover, under the strict RERA-regime,
developers seem focused on offloading existing inventory by offering discounts and lucrative
payment plans. Nonetheless, capital values in the micro market recorded a marginal upward trend
due to a slight uptick in demand and constantly upgrading infrastructure.
Worli I Micro Market OverviewANAROCK PROPERTY CONSULTANTS PVT LTD
(Formerly Jones Lang LaSalle Residential Pvt. Ltd)
The ANAROCK Group is one India’s leading real estate services company
having diversified interest across real estate value chain. The Group’s key
strategic business units comprise of Residential business: broking &
advisory services to clients; Investment business: debt, equity and
mezzanine funding and Research & Consulting business. ANAROCK’s
Investment arm has built a revolutionary business model of bulk-
purchasing residential apartment inventory through a proprietary
investment fund.
With a growing team of over 500 professionals, ANAROCK operates in all
key property markets across India - Mumbai, Chennai, Bangalore,
Gurgaon, Noida, Hyderabad, Kolkata, Pune and has an international
presence in Dubai. With in-depth market information, quality advice and
developer tie-ups for optimal deals, we have been serving the industry
since 2011.
ANAROCK Property Consultants Private Limited
(Formerly Jones Lang LaSalle Residential Pvt. Ltd.)
1002, 10th Floor, B Wing, One BKC, Plot No. C-66, G Block,
Bandra Kurla Complex, Bandra East,
Mumbai - 400051
This publication is the sole property of ANAROCK Property Consultants. and must not be copied, reproduced or transmitted in any form or by any means, either in whole or in part, without
the prior written consent of ANAROCK Property Consultants. The information contained in this publication has been obtained from sources generally regarded to be reliable. However , no
representation is made, or warranty is given, in respect of the accuracy of this information. W e would like to be informed of any inaccuracies so that we may correct them. ANAROCK does
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