PropIndex | Magicbricks
Residential Market Insights
Metro connectivity driving residential demand in select areas
Chennai residential market has seen a steady rise in prices over the last four years. Improving connectivity viaChennai Metro, Chennai-Bengaluru infrastructure corridor, and peripheral road are particularly driving theresidential market in peripheral regions. The limited number of new launches by the developers has helped the sectorto maintain the supply-demand balance while cushioning price levels.
Property prices for both the Under-Construction (UC) and Ready-to-Move (RM) segments, witnessed visible priceincrements in almost all price brackets in Q1 2020, defying fears of a systematic slowdown in the larger Indianeconomy. We expect the localities with upcoming metro connectivity to gain traction in the near term.
5 YearChange YoY QoQ
1.0%6.7%18.7%
5 YearChange YoY QoQ
0.3%1.9%3.2%
"Under constructionsegment prices alsoimproved, albeit
marginally, with almost2% price growth YoY"
ChennaiJan-Mar 2020
Parameters India Chennai
Demand+ +5.3% +6.4%Supply++ -0.8% +1.9% Price Index+++ +0.1% +1.0%
"Chennai residentialprices witnessed adecent 6.7% YoY priceincrease, indicative ofpositive sentiments"
Notes:Above parameters represent QoQ change in Q1 2020 atIndia and city level + volume of property searches ++ volume of active listings +++ change in the weighted average price
Source: Magicbricks Research
Casagrand Builders
Radiance Realty
Alliance Group
Puravankara
Mahindra Lifespace
KG Developers & Promoters
TVS Emerald
Shriram Properties
Doshi Housing
Appaswamy Real Estates
The Metrozone Anna Nagar
Provident Cosmo City SIPCOT
SKC Homes Guduvancheri
Alliance Orchid Springs Korattur
Shri Sai Apartment T Nagar
Akshaya Today Kelambakkam
Harini apartment Thiruvanmiyur
Embassy Residency Sholinganallur
Prestige Bella Vista Iyyappanthangal
Happinest Avadi
Average changes in prices for localities in various price segments
Market Dynamics
Ready to Move Price Index
Under Construction Price Index
- Good metro connectivity is turningMount Poonamallee road into OMR 2.0for IT firms, driving demand forresidential space
- Metro phase 2 project comprising ofcorridor 3 (Madhavaram to SIPCOT);corridor 4 (Lighthouse to Poonamallee);and corridor 5 (Madhavaram toSholinganallur), to begin operations in2020
- Outer ring road's Nemilichery toMinjur stretch, and peripheral ring roadconnecting Poonjeri Junction to EnnorePort, may also get completed in 2020
"Properties costingmore than INR 7,000per sqft witnessed priceincrements for bothcomplete and underconstruction units"
Key Trends to Watch Out
2014
2015
2016
2017
2018
2019
2020
4,000
5,000
6,000
7,000
8,000
2014
2015
2016
2017
2018
2019
2020
4,000
5,000
6,000
7,000
8,000
Price Bracket (INR/sqft)
< 5,000 5,000-7,000 7,000-9,000 > 9,000
RM UC RM UC RM UC RM UC
0.2%
0.5%
0.2%
-0.4%
0.7%
0.9%
1.8%
0.7%
Key Projects based on consumersearches
Key Developers based on activelistings
Average Price INR per sqft
Average Price INR per sqft
The above table represents the top developers by share ofactive listings on Magicbricks website in Q1 2020
Source: Magicbricks Research
Note:The above table represents the top projects by consumerpreference on Magicbricks website in Q1 2020
Source: Magicbricks Research
Notes:1. Ready to move price index represents the weighted average price of completed properties on Magicbricks website as on March 20202. The trend line represents the average prices of dominant asset class in each locality of the city. Source: Magicbricks Research
Note:1. Under-construction price index represents the weighted average price of under-construction properties on Magicbricks website as on March 20202. The trend line represents the average prices of dominant asset class in each locality of the city.
Source: Magicbricks Research
Note:Above table represents the price changes for Ready to move (RM) and Under construction (UC) properties on Magicbricks website in Q1 2020 for various price buckets
Source: Magicbricks Research
Page 1© magicbricks.com
1 BHK11%
3 BHK30%
Above 3 BHK3%
2 BHK56%
DEMAND
Demand Supply Analysis Chennai | Jan-Mar 2020
Healthy demand-supply equation in all price brackets
2 and 3 BHKs most preferred typesIT/ITeS and infrastructuregrowth keep the residentialsegment on track
Robust connectivity and growth in IT/ITeS andindustrial segments in the city have led toconsumer demand matching supply in mostareas of the city
"2 BHK configuration received themost traction in Q1 2020 with 56%of the city's searches falling in this
segment"
- Alternate Investment Fund (AIF) and creditguarantee schemes for Non- Banking FinancialCompanies (NBFCs) have eased the liquiditysituation for developers, while sustainingbuyer's trust in developers to complete theirprojects on time, and enhancing the residentialdevelopment in the city
- Chennai is one among the few markets in thecountry where the premium segment continuesto do well and the city witnessed 20% of itsconsumer searches for properties costing morethan INR 9,000 per sqft
- OMR micromarket continues to do well, whilebeing most favored by buyers, as major ITdevelopments and various industries are locatedwithin this region
- Anna Nagar and Ambattur micro-markets havewitnessed a significant surge in demand inQ1 2020, as buyers anticipated the current andupcoming metro lines to significantly enhancethe future prospects of these locations
Rank of 90 ..1 to 7
Top Micromarkets by consumersearches
Propensity of demand and supply in terms of searches andlistings by localities
1 BHK8%
2 BHK51%
3 BHK37%
Above 3 BHK4%
SUPPLY
7,000-9,00010%
5,000-7,00034%
> 9,00015%
< 5,00040%
SUPPLY Price buckets in INR per sqft
Top Micromarkets by active listings
7,000-9,00012%
5,000-7,00030%
> 9,00020%
< 5,00039%
DEMAND Price buckets in INR per sqft
Notes:1. Demand represents property searches on Magicbricks website during Q1 2020, segregated by Bedroom, Hall, Kitchen (BHK) configuration2. Supply represents active listings on Magicbricks website during Q1 2020, segregated by BHK configuration
Source: Magicbricks Research
.Notes:1. Demand represents property searches on Magicbricks website during Q1 2020, segregated by price buckets2. Supply represents active listings on Magicbricks website during Q1 2020, segregated by price buckets
Source: Magicbricks Research
Note:1. Above map depicts the key localities of the city, with the size of the bubble depicting demand (consumer preference) /supply (active listings) forproperties in the localities on Magicbricks website in Q1 20202. This is an interactive map available on Magicbricks.com under Propindex section.Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.
Source: Magicbricks Research
Note:1. Top micro-markets of the city, ranked by their active listings onMagicbricks in Q1 20202. Price ranges represent the range of avg locality prices in themicromarket in INR per sqft.
Source: Magicbricks Research
Note:1. Top micro-markets of the city, ranked by number of searches onMagicbricks in Q1 20202. Price ranges represent the range of avg locality prices in themicromarket in INR per sqft.
Source: Magicbricks Research
Mahindra World City
Sholinganallur
Kelambakkam
Guduvancheri
Poonamalle
Thiruporur
Avadi
© OpenStreetMap contributors
Demand/SupplyDemand
OMR 3200 - 8850
Ambattur 3000 - 7700
Porur 3800 - 7250
GST- Perangalthur 3050 - 5200
Medavakkam 3800 - 6100
Central Chennai 6200 - 20700
Velachery 4000 - 9050
11
42
33
24
75
56
67
Micro-Market Price Range Rank Rank Q1-20 Q4-19
OMR 3200 - 8850
Central Chennai 6200 - 20700
Ambattur 3000 - 7700
Anna Nagar 5100 - 14900
Velachery 4000 - 9050
Arcot Road 4900 - 11850
GST- Perangalthur 3050 - 5200
11
22
83
104
45
56
37
(Price in INR per Sqft)
Micro-Market Price Range Rank Rank Q1-20 Q4-19
Page 2© magicbricks.com
Note:1. Size of the bubble depicts demand, measured by volume of property searches in localities in Q1 20202. Color of the bubble represents price change in Q1 2020, with green color representing price increase and red color price decrease.3. This is an interactive map available on Magicbricks.com under Propindex section.Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.
LocalityAvg.Price
PriceChange
Veppampattu
Oragadam
Thalambur
Avadi
Kelambakkam
Poonamalle
Urapakkam
Mahindra City
Perumbakkam
Siruseri
G S T Road
Guduvancheri
Madambakkam
Nanmangalam
Padur
3.8%
4.6%
0.6%
0.0%
2.6%
-2.1%
0.3%
-5.3%
-0.3%
1.4%
-3.8%
3.7%
1.9%
-0.6%
-1.4%
-0.2%
7.5%
-7.5%
0.0%
-0.3%
-0.9%
6.2%
1.2%
4,894
4,844
4,842
4,758
4,701
4,609
4,529
4,450
4,438
4,434
4,423
4,383
4,346
4,342
4,265
4,185
4,185
4,054
4,034
3,998
3,990
3,716
3,160
< INR 5,000 psf INR 5,000-7,000 psf INR 7,000-9,000 psf > INR 9,000 psf
Price Analysis Chennai | Jan-Mar 2020
- Most of the localities with notable price declines were located close to the centre of the city and bound by ORR
- Growing industrial and IT developments along OMR and GST Road were the major drivers behind the price increments in these regions
Source: Magicbricks Research
LocalityAvg.Price
PriceChange
Kolathur
Velachery
Perungudi
East Coast Road
Choolaimedu
Valasaravakkam
Arcot Road
Kodambakkam
Koyambedu
Saligramam 7.5%
-5.3%
3.4%
-4.7%
-3.4%
2.3%
-2.4%
7.5%
-3.1%
7.5%
8,772
8,297
8,009
7,816
7,726
7,712
7,653
7,410
7,372
7,013
LocalityAvg.Price
PriceChange
Vadapalani
Anna Nagar
Thiruvanmiyur
Kilpauk
T Nagar
Mylapore
Adyar
Egmore
Nungambakkam 7.5%
-4.9%
-4.2%
7.5%
-3.5%
3.5%
2.0%
1.0%
-2.5%
16,016
14,668
13,108
13,099
12,930
11,851
10,551
10,363
9,459
Note:1. Above is the list of major localities of the city, with information about their average prices and QoQ price changes in Q1 2020. This is an interactive table available on Magicbricks.com under Propindex section.2. The locality prices are calculated by averaging the prices of all properties in a locality in multi-storey and builder floor segment, after removing the outlier properties that might distort the overall prices.3. The four tables above categorize the localities in various price buckets.4. The color of the numbers represent the price change in Q1 2020, with green color representing price increase, red color price decrease, and grey as neutral. Source: Magicbricks Research
Disclaimer: The data represented above is compiled by MagicBricks from multiple sources. MagicBricks gives no warranty, express or implied, as to the accuracy, reliability, and completeness of any information and does not acceptany liability on the information which may or may not be subject to change from time to time due to Governmental or non Governmental regulations/directions.
Q1 2020 Price changes for the city's major localities
LocalityAvg.Price
PriceChange
PH Road
Selaiyur
Madhavaram
Vanagaram
Ambattur
Sholinganallur
Nolambur
Madipakkam
Manapakkam
Karapakkam
Pallikaranai
Porur
Kovilambakkam
Iyyappanthangal
Pallavaram
-6.0%
-7.2%
7.5%
2.1%
0.1%
-3.2%
1.4%
-5.0%
-5.7%
-1.2%
7.3%
-1.9%
-1.3%
2.6%
0.3%
0.1%
2.8%
0.8%
1.4%
-0.3%
-2.6%
6,852
6,445
6,444
6,358
6,217
5,997
5,965
5,856
5,855
5,837
5,674
5,653
5,603
5,583
5,535
5,505
5,383
5,262
5,057
5,056
5,012
Surabhi Arora | Head of Research Devendra Lohmor | Chief Manager Ankur Upadhyay | Data Manager Kavya N | Research Analyst [email protected] [email protected] [email protected] [email protected]
Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.
For more information and research related queries, please contact:
Old Mahabalipuram Road4.6%Mahindra City
-0.2%
Guduvancheri3.7%
Veppampattu1.2%
Mangadu0.3%
Avadi-0.3%
© OpenStreetMap contributors
-7.5% 7.5%
-5% -2.5% 0% 2.5% 5%
Page 3© magicbricks.com