Supply-demand gap for affordable housing in MMR
Real Estate

Supply-demand gap for affordable housing in MMR

Despite considerable demand for affordable housing in the Mumbai Metropolitan Region (MMR), there is a significant supply gap in the low-income category, i.e. houses costing less than Rs 25 lakh. According to a Knight Frank and Naredco report, while demand for this segment is 67 percent, supply is only 22 percent. This is primarily due to the high cost of land, as well as better returns from other asset classes, which makes it unviable for real estate developers to undertake affordable housing projects in prime areas.

MMR registered high demand for affordable housing units with 67 percent demand concentration being registered for units less than Rs 25 lakh. The demand concentration for housing units in the range of Rs 25 to Rs 50 lakh was recorded at 13 per cent and units above Rs 50 lakh at 20 per cent.

The supply of housing units above Rs 50 lakh recorded the highest concentration at 44 per cent followed by units in the range of Rs 25 to Rs 50 lakh at 34 per cent. The supply concentration for housing units less than Rs 25 lakh was recorded the lowest at 22 per cent, clearly showcasing the huge supply gap for urban affordable housing in the region, it said.

Despite considerable demand for affordable housing in the Mumbai Metropolitan Region (MMR), there is a significant supply gap in the low-income category, i.e. houses costing less than Rs 25 lakh. According to a Knight Frank and Naredco report, while demand for this segment is 67 percent, supply is only 22 percent. This is primarily due to the high cost of land, as well as better returns from other asset classes, which makes it unviable for real estate developers to undertake affordable housing projects in prime areas. MMR registered high demand for affordable housing units with 67 percent demand concentration being registered for units less than Rs 25 lakh. The demand concentration for housing units in the range of Rs 25 to Rs 50 lakh was recorded at 13 per cent and units above Rs 50 lakh at 20 per cent. The supply of housing units above Rs 50 lakh recorded the highest concentration at 44 per cent followed by units in the range of Rs 25 to Rs 50 lakh at 34 per cent. The supply concentration for housing units less than Rs 25 lakh was recorded the lowest at 22 per cent, clearly showcasing the huge supply gap for urban affordable housing in the region, it said.

Next Story
Infrastructure Energy

REC Transfers HVDC Project to Power Grid

REC Limited has successfully handed over the Special Purpose Vehicle (SPV) for a High-Voltage Direct Current (HVDC) transmission project to Power Grid Corporation of India Limited (PGCIL). This strategic move aligns with the nation's objectives to strengthen its power transmission network. Key Highlights: Project Overview: The HVDC project, under the inter-state transmission system (ISTS) initiative, is a critical component of India's push toward robust and efficient electricity transmission. It aims to handle bulk power transfer across long distances while ensuring minimal losses. Role of RE..

Next Story
Infrastructure Transport

NF Railway Collaborates with IIT Guwahati

The Northeast Frontier (NF) Railway has signed strategic Memorandums of Understanding (MoUs) with IIT Guwahati to foster technological advancements and improve railway operations in the region. This partnership focuses on innovative solutions to enhance safety, efficiency, and sustainability in rail infrastructure. Key Highlights: Purpose of MoUs: The collaboration aims to leverage IIT Guwahati's expertise in technology and research for implementing cutting-edge solutions across railway operations. Key areas of focus include: Automation and digitization in maintenance. Sustainability initiati..

Next Story
Infrastructure Transport

Danapur Division Modernization Plans Revealed

The Railway Board has unveiled ambitious plans for the expansion and modernization of the Danapur Division, a critical hub under the East Central Railway. The initiative focuses on infrastructure development, enhanced passenger amenities, and operational efficiency. Key Highlights: Scope of Modernization: The Railway Board's blueprint emphasizes: Upgrading existing infrastructure to accommodate more passenger and freight traffic. Improving station facilities, such as platforms, waiting areas, and connectivity. Introducing advanced signal systems for safer and smoother operations. Freig..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000