Navi Mumbai all set for a nose dive in prices

By Dr. Sanjay Chaturvedi

After a headline news of Mid-Day about Airport shift to Ambernath, Navi Mumbai residential prices have seen a nose dive in prices. Land rates, as told to Mid-day by Manohar Shroff, are all down by 70%. The rates were artificially kept high by CIDCO. Last year only 4500 sq.mtrs. of residential plots were released for occupation.
Besides this a major issue of mortgage for housing finance purposes is not solved while CIDCO not giving NOCs nor it gives permissions in lease deeds.
After opening of Panvel and surrounding areas, where more than 10,000 acres is put to use for residential purposes and almost 4 crore sq.ft. is under construction in various townships and projects.
The registration of documents have been down drastically. A fall from 800 flats in a month now its just 150 flats on an average recorded. Commercial lease is advertised a Rs.25/- per sq.ft. in Vashi IT parks and much down below in Belapur, Kharghar, Kamothe, Nerul and Sanpada. Aroli and Khandeshwar are worst hit where residential rates are below 2001 level.
Experts predicts a further fall of 25% is expected in next three months.