How connectivity shapes homebuyer preferences and property prices
What You Need to Know
- 15 March, 2024
When it comes to buying a home or apartment in Mumbai, one of the most important factors to consider is location. With Mumbai’s extensive rail network, properties located close to major train lines often see higher demand and value.
Specifically in Mumbai, the adage “location, location, location” rings true. Properties situated near major railway lines (Be it Metro or local) typically command higher prices and see greater long-term appreciation due to connectivity factors.
Mumbai’s expanding metro rail network is also shaping real estate pricing and preferences in key corridors. Properties located close to metro lines, alongside the traditional railway network, see strong demand from homebuyers.
Properties situated near railway and metro stations see tremendous demand and higher values due to connectivity.
Western Line:
The Western line is Mumbai’s most popular and busiest train corridor, ferrying over 30 lakh commuters daily between Churchgate and Virar. Given the concentration of IT hubs, corporate offices and commercial centers in the Bandra-Kurla Complex and Andheri/Goregaon belt, the Western line has become the most coveted transit link. Homebuyers are willing to pay a massive premium for residences near stations on the Western line. Capital values of apartments in areas like Bandra to Andheri near Western line stations are as high as Rs 70,000 per sq ft in some places. Even far northern suburbs like Borivali and Dahisar near stations see 25-30% higher prices over areas just 5-10 minutes inland. Proximity leads to higher prices.
Central Line:
The Mumbai Central Business District, BKC, Parel, Lower Parel and other commercial hubs are best connected via the Central line running from CST to Thane/Kalyan.Premium corporate workspaces in Parel like One World Center or Ilah Palace are just walking distance from stations like Curry Road, Chinchpokli and Parel. Central Mumbai’s rapid development has resulted in residential demand mushrooming around Central line stations. Dadar, Parel, Curry Road, Kurla and Ghatkopar near the Central line stations command very high rates owing to ease of rail connectivity. 1 BHKs in plush towers in Parel can cross Rs 3 crores.
Metro Lines:
Mumbai Metro’s operating Lines 1 and 2 provide key north-south and east-west connectivity between suburbs and commercial centers. Areas like Andheri, Ghatkopar, Andheri, DN Nagar located near metro stations see higher rates due to seamless access to offices and transit hubs. The upcoming metro corridors also influence prices – properties near under-construction stations on Lines 2A, 7, 9 etc already enjoy a pricing benefit due to expectations of connectivity and time savings after launch.
For lakhs of Mumbaikars, the decision to buy homes in Mumbai largely depends upon the connectivity and location factor. This connectivity advantage is getting clearly reflected in the real estate prices near transit hubs. Homebuyers are happy to pay a 10-25% premium for residences around stations along the Western, Central and Metro lines.