City infra development to unlock real estate supply of 13mn sqm: Knight Frank

Global real estate consultant Knight Frank India estimates that Mumbai’s current transit infrastructure development is expected to unlock the development potential of 12.63 million square metres or 136 million square feet.

This was reflected in its latest report ‘India Urban Infrastructure Report 2020 — Special Focus on Mumbai Transport Infrastructure with Key Impact Markets’ which assesses the impact of massive Rs 1.8 lakh crore worth transport infrastructure (metro and road) projects currently underway in the Mumbai Metropolitan Region (MMR).

It is estimated that 246 km of metro lines and 68 km of road projects are under various stages of construction in MMR.

While some of these projects will be operational in the next three years and will have an immediate impact on the neighbouring real estate, other projects are expected to complete over the next four to eight years.

Some of the immediate real estate development potential are: office markets of Goregaon West, Malad West, Goregaon East and Bandra Kurla Complex, Wadala Truck Terminus, Jogeshwari-Vikhroli Link Road, the belt between Sonarpada metro station and Pisarve metro station, besides Chirle and Kasarvadavali-Gaimukh belt in Thane.

“Infrastructure development and connectivity to employment hubs of the city play a crucial role in determining the fortunes of a real estate market,” said Shishir Baijal, Chairman and Managing Director of Knight Frank India.

“While most infrastructure projects in Mumbai are playing catch-up with real estate development, the scale of upcoming transit-oriented projects across the MMR will open up possibilities for heightened real estate participation,” he said.