Limited period investment opportunity for global Indians – from Lodha Group.
Mumbai, the financial capital of India, is the also the most desirable and proven real estate destination. Love it, loathe it, embrace it, there is no escaping the fact that having a real estate asset here is a signal of comeuppance and good investment acumen.
Global real estate consultant, Cushman & Wakefield estimates commercial office space demand of over 180 million square feet (msf) in the next five years (2012 - 16) in the top 8 cities of the country. Among the top 8 cities, Mumbai to see the highest demand and supply over the next 5 years.
WHY BUY AN OFFICE?- what’s in it for the NRI clientele looking for unparalleled investment opportunities.
With interest rates hovering near zero percent in most developed markets and extremely risky asset classes, it is becoming difficult for the NRI base to invest their money in high-return vehicles with conviction. India as a market, having emerged as a burgeoning superpower, sustained financial stability and aggressive futuristic, growth-oriented outlook, is thus is an extremely viable and attractive option. Moreover, the real estate sector has shown the most robust returns, further accentuated by the dismal returns from the capital markets and commodities like gold in recent times.
The Opportunity: The commercial property market has given strong valuations and returns during the past two years. Today the commercial prices are lower than the residential prices which is an anomaly for the market and commercial being at the bottom of the curve is poised for growth upsurge as rightly predicted in May 2013, Knight Frank report which says- investment returns are expected to be at 13% per annum from commercial properties for the next five years
Why Powai? Is a thriving city centre and a business destination in making. It is equidistant from western, central and trans-harbor suburbs. Few kilometers from domestic and international airports and 5 minutes away from upcoming Saki naka metro station, Powai is at the epicenter of development. Powai has global leaders across various sectors vying for space in this part of the city.
The only ‘Grade A’ office space in Powai
Coming from the leader in real estate development- Lodha Group who has given Mumbai its iconic destinations and shaping the future of luxury real estate offerings in India, Lodha Supremus is another landmark in the making.
Bringing to the business hub of Powai, an iconic and visionary concept in professional workspaces, Lodha Supremus stands for uniquely flexible, customised office spaces, which can expand to accommodate the needs of growing businesses.
With Powai lease rentals hovering above Rs 140 psf, an area of 2000 sq ft will fetch monthly rentals close to Rs. 3 lacs, which means given the Rs 12,000 psf rate for the same area (total CV 2.4 Cr) translates into rental yield of ~13% (as against 3% in residential).
Powai rates are poised to move upwards to the levels of Rs 19,500 psf by 2016 (as per Knight Frank report, May 2013), the capital appreciation will be to the tune of 13% y-o-y- higher than any asset class for the same period.