Prashant Thakur, Head – Research, ANAROCK Property Consultants
Decades ago, Powai was an unfamiliar hamlet in the northeastern suburbs of Mumbai on the banks of Powai Lake, catering to the drinking water supply needs of the city. In 1958, the establishment of the technology and research institution – Indian Institute of Technology, Bombay brought the micro market into the limelight. Serious construction activity in Powai picked up in the late 90’s and there has been no looking back.
Powai is surrounded by hills of Vikhroli Parksite in the south-east, Sanjay Gandhi National Park in the north and LBS Road in the north-east.
Excellent Social Infrastructure
Powai has numerous educational institutions namely Hiranandani Foundation School, Bombay Scottish School, Podar International School and Kendriya Vidyalaya. Dr. L H Hiranandani Hospital, Nahar Medical Centre and Powai Hospital are a few prominent healthcare facilities. Convenience stores like D Mart and shopping centres like Galleria and R City Mall are also available.
The micro market also provides a scenic view of the Powai Hills and the Sanjay Gandhi National Park.
Well-connected Workplace Hub
Apart from residential developments, there are corporate offices such as Crisil, Bayer, L&T, Nomura, Colgate-Palmolive, Deloitte Consulting and Cognizant.
Powai has excellent connectivity with various parts of Mumbai via a well-established road and rail network.
Road – The arterial roads connecting Powai with other prominent areas of the city are Jogeshwari-Vikhroli Link Road (JVLR), Eastern Express Highway, Lal Bahadur Shastri (LBS) Road, Saki Vihar Road and Chandivali Road.
Rail – The nearest railway stations to Powai are Kanjurmarg at a distance of 3.5 km and Vikhroli (located 5 km away) on the central line of Mumbai’s suburban rail network. The nearest metro station is Saki Naka at a distance of 3.4 km. The proposed line 6 of the Mumbai metro rail network from Lokhandwala to Vikhroli will pass through Powai.
Air – Powai is easily accessible to the Chhatrapati Shivaji International Airport (located 8km away) via Jogeshwari-Vikhroli Link Road and Saki Vihar Road.
Between 2013 and Q2 2018, a total of 4,400 units have been launched in Powai, including Chandivali. The highest supply comprising 1,800 units was registered in 2013, after which the new launch supply has declined. This could be due to the rising unsold residential stock.
Of the 2,500 units which are stacked in the unsold inventory, around 2,400 units are currently under construction.
Powai’s residential market is essentially dominated by properties in the price configuration of >Rs. 3 crore, accounting for 47% of the new launch supply since 2015, followed by 31% properties in the Rs. 1 Crore- Rs. 2 crore budget range.
Less than 5% of the ready-to-move-in units are currently available in Powai’s residential market, offering limited RTM options to the homebuyers and investors. However, around 2,100 units will be infused into the market in the next 2 years and another 2,000 units are likely to take more than 2 years for completion.
The recent regulatory reforms amidst significant unsold inventory have slowed down the construction activity to a considerable extent. However, the region continues to be a dynamic one.
Property prices in Powai have been on the rise constantly till Q2 2018. Interestingly, despite the impact of the economic reforms in 2016 and the decline in the new launches, prices in Powai have not seen any major corrections.
Property prices in Powai have appreciated by around 9% over the past two years, with the average price as of Q2 2018 being Rs. 29,200/sq. ft.
Today, Powai has transformed into a major up-scale micro market in MMR. Besides being a residential hotspot, Powai has also emerged as a business, commercial and entrepreneurial hub over the years.
Well-defined infrastructure coupled with the proposed infrastructural developments including metro-line 6 provides a major fillip to Powai’s connectivity. The vibrant neighbourhood with serene atmosphere, away from the city chaos continues to attract a huge influx of property buyers and investors.