Echoes: Redevelopment and Property Prices

Mayank Gandhi, Secretary, Remaking of Mumbai Federation (ROMF)
There will most definitely a correction. Prices will come down by 15 to 20 per cent. It will be substantial though. You also have to remember that the all redevelopment is not taking place together unlike Dharavi. The redevelopment projects will happen over a period of time hence the property prices will not fall drastically.

Ashok Gulati, CMD, Sun Realty
At the pace at which the Government is dealing with it, there will not be any price reduction. Redevelopment is a lengthy process tied up in knots in bureaucracy. The construction will take time and we are not in particular advantage with technology. The redevelopment will be over the period of 7 to 8 years. I will give it a 5 year minimum. And 5 years down the line property prices will be higher due to inflation, international market prices and other factors.

Kamal Chandan
No. The Lower Parel mill land sale also was supposed to do that! Results? The same rates exist across the board today. Redevelopment without infrastructure won’t bring down anything except old buildings.

Mahesh Mudda, President, Builders Association of India
It will bring down property prices for sure. By my estimates there will be a correction of 10 to 20 per cent. There would not be a drastic fall but property prices will come down a bit.

A Shyamsunder, ED & COO, Disha Direct
All of the property under redevelopment will not be supplied at the same time. Even if the projects are in massive numbers approximately 30 per cent of the properties will actually come into play. The redevelopment projects have to be spread across a large area and should not be constricted to one place. Even if it is, the effect on property prices will not be immediate.