Prices of super-luxurious apartments cross Rs 5 crore mark, yet demand for such homes only increases

Five years ago, an apartment costing more than a crore would have raised a few eye-brows, but today luxurious homes are selling like hot cakes.

Real-estate experts said the city had long crossed the crore-mark and many projects have apartments costing more than Rs 5 crore to 10 crore.

The market share for luxury apartments may be just two to four per cent but it is increasing everyday.

Looking at the real-estate scene in the city, it is obvious that luxury has got redefined. Private swimming pools, air-conditioned gym and theatres are an important part of these homes.

"Premium apartments are still a very small market in the city. But it's doing really well as people from Mumbai and Delhi are investing in these kinds of houses," said Atul Chordia, chairman of Panchshil Realty. Panchshil Realty has two projects, Yoo in Hadapsar in the segment of Rs 8 to 10 crore and The Address at Boat Club Road costing about Rs 5 crore.

Vishwajeet Jhavar, lead Partner of Marvel Realtors, said the market was growing tremendously. The company's two projects at Magarpatta City and Kharadi, costing almost Rs 2 crore, have sold 200 and 110 apartments respectively.

"There is huge demand for the super-luxurious homes, especially among people who are self-made. They want to lead a comfortable and affluent lifestyle. Personally, I see the segment making up seven to eight per cent of the total market share," Jhavar said.

He said that in fact compared to the demand, the supply was few. Mohammed Aslam, city head, Pune, Jones Lang LaSalle India, and property consultants said the demand for such homes would be steady for the next two years.

"The driving factor of prices of these apartments depends on the location primarily and not the amenities provided. Buyers from Mumbai want to invest in projects in Pune at prime locations like Koregaon Park, Bund Garden Road, and Boat Club, but there are few (open) spaces at these locations."

Rani Wilfred of Prime Realty and Property Management said the buyers in this segment were aged between 35 and 45 years.