Mumbai and its metropolitan region (MMR) have emerged as the prime property market amongst the top eight cities of India throughout the last decade. As the prime locales in the Mumbai district have become saturated, residential development has boomed along the fringe areas, such as Thane, Kalyan-Dombivli, Vasai-Virar, and Navi Mumbai. However, one locale that has garnered immense developer and homebuyer interest in the past years is Thane West.
Thane West has surfaced as the top micro-market, recording the highest property sales for the last 7 years, not only in MMR but also in the rest of the top eight cities. One of the most vital contributing factors to the residential boom in this locality is its locational advantage and continuity to Mumbai. The area has robust connectivity via roadways and railways to central and western suburbs of Mumbai, and is located 20 km away from the international airport. It is also in close proximity to the industrial and warehousing zone in the Kalyan-Dombivli-Bhiwandi belt, along the Mumbai-Agra National Highway. Also, the ongoing development of Metro Line 4 and 5 will further enhance the connectivity of Thane to its neighbouring suburbs.
The city has also been taking strides in terms of physical and social infrastructure development, especially under the Smart City Mission. Thane West is, in fact, under the ambit of Area Based Development under Thane Smart City with ongoing projects focusing on smart streets, waterfront and lakefront development, redevelopment of the station area, sanitation, and e-governance, amongst others, boosting the habitability of the locale.
Along with infrastructure development, Thane West has witnessed strong retail development in recent years. With the coming of Grade-A malls, high streets, and recreational and entertainment centres, it has now become a retail hub in Mumbai’s metropolitan region. All these factors have enhanced the liveability of the micro-market and the city, which was ranked 11th on the Ease of Living Index amongst 111 cities. Thane West, thus, offers a blend of habitability along with relatively low prices than the suburbs of Mumbai, which has contributed to a strong residential boom, making it one of the top micro-markets in the country.
- The current trends suggest that the weighted average property prices for new supply and inventory are INR 10,900-11,000 per sqft in Thane West, as compared to INR 22,000-24,000 per sqft in the suburbs of Mumbai.
- The new supply levels in Thane are at the 2017 level, with approximately 7,500 units launched in H1 2022.
- The micro-market recorded a 91 per cent increase in demand in the first half of 2022.
- Homebuyers in Thane West preferred apartments with a 2 BHK configuration in the INR 1-3 crore price bracket.
- According to Housing Research, the majority of the units sold belonged to projects located along Godhbander Road, Balkum and Eastern Express Highway.
- At the end of H1 2022, the majority (30 per cent) of available residential units are concentrated in Balkum and Kolshet, along SH 35 (Bhiwandi-Wada Road).
To sum it up, Thane West which suffices the need for habitability and lifestyle, has come up as a great alternative to the relatively expensive suburbs in Mumbai. It takes the highest share in property launches and demand across MMR. The residential demand in H1 2022 is already 70 per cent closer to the 2021 levels. In the ensuing quarters, the micro-market will continue to garner developer and homebuyer interest, with areas along Bhiwandi-Wada Road and Godhbander Road taking the lead.