The Rise and Rise of Bandra East

The development of the sprawling CBD of Bandra Kurla Complex (BKC) on what was earlier just a huge patch of marshy waste land on the northern side of the nearby Mahim Creek, has been the key game changer for the realty fortunes of this area, from its erstwhile avatar of a residential hub for the lower and middle income categories choked by massive slum colonies and haphazard development to a now sought after real estate destination.

The emergence and subsequent popularity of the BKC as a centrally located CBD has been instrumental in attracting a steady stream of prominent corporates, business houses, financial institutions, consulates and the country’s largest diamond bourse which have relocated here mainly from Nariman Point, on the southern tip of Mumbai. 

The growing demand for commercial property and the subsequent spike in demand for residential options in the vicinity, especially among the white-collared working population here has in turn triggered the launch of a slew of new residential projects and the redevelopment of old existing housing colonies by leading developers including Sunteck Realty, Shree Naman Group, Hubtown Sunstone, RNA, Kalpataru and Kanakia among others looking to encash the trend.

INFRA, CONNECTIVITY & RECREATION

The growth of infrastructure facilities here has also been steady starting with the arterial Western Express highway that connects it to the Western suburbs, the newly built Santacruz-Chembur Link Road (SCLR) that has tremendously reduced the commuting time for people coming here from the city’s Central suburbs and the picturesque Bandra-Worli Sealink, for those travelling to and fro from north Mumbai. By rail, this suburb is easily accessible from the Bandra railway station (on the Western line) and Kurla station (on the central side).  The newly built Lokmanya Tilak Rail Terminus is also close at hand for those looking to get out of the city on business or pleasure.

Last but not the least, Bandra East also offers a good network of academic institutions (American School of Bombay, Dhirubhai Ambani International School), reputed hospitals (Asian Heart Institute, Lilavati hospital), upmarket hotels & clubs (The Trident, Sofitel, Mumbai Cricket Association Club) with more luxury chains like The Bellagio and MGM Grand in the pipeline.

Another stellar attraction here are the sprawling MMRDA grounds that regularly host a string of mega trade and industrial exhibitions, award nights and music concerts with the likes of Beyonce, Michael Learns To Rock, Shakira, Pitbull, 50 Cents and Bryan Adams having regaled the city with sellout concerts here in the not-so-distant past.

For those looking at moving to a quieter location, away from the chaos, traffic and congested living of other popular destinations along the Bandra - Borivali belt, Bandra East with its large open spaces, broad roads, ample green cover, adequate car parking zones, central location and well developed infrastructure facilities now offers an attractive and viable alternative.

REALTY OUTLOOK

With so much to offer and a lot of spillover residential demand from the now saturated Bandra West to accommodate, it comes as no surprise that capital and rental values in this fast growing suburb are on the upswing. According to industry estimates, residential realty rates here have zoomed from a low of approximately INR 9500- 13,000/- psf just about a decade ago to a whopping INR 28,000/-       approx psf now going upto almost INR 35,000/- psf in some really good projects, while rental values have hovered in the range of approx INR 80-85 psf in recent times.

With both capital and rental values likely to increase here in the near future, Bandra East is being looked upon as an ideal destination by property investors looking to leverage the considerable demand for premium rental properties here by a growing pool of expatriates, consular staff, diamond merchants, investment and banking professionals, senior business executives and other non-locals working in the BKC. 

Buoyed by a steady supply of old housing colonies with under-utilised FSI, some developers have also opted for the redevelopment route here by offering an attractive bouquet of incentives to tenants to either sellout or redevelop the existing structure. However builders are being cautious in terms of selecting only those projects whose tenants harbor realistic expectations and the project itself is viable on the RoI front. 

Quite clearly then, while Bandra West may continue to hog the limelight for its many celebrity and Bollywood residents, glitzy malls and upmarket eateries, Bandra East is slowly but surely making its presence felt in the real estate space by way of its broader roads, better connectivity and bright prospects for the future.