Mumbai air quality: 5 real estate micro markets homebuyers should watch out
Mumbai air quality: 5 real estate micro markets homebuyers should watch out
maztro looks at five micro markets in the financial capital that investors may want to avoid due to bad air quality.
Mumbai air quality latest: Homebuyers in the Mumbai real estate market looking to purchase or rent an apartment in a particular micro market that has poor air quality may be able to get discounts in price, if the problem persists in the coming years, according to real estate consultants.
Mumbai’s air quality has been deteriorating for the past two years posing serious health risks to citizens. With the air quality again reaching alarming levels, the Mumbai civic body, known as the Brihanmumbai Municipal Corporation (BMC), has issued guidelines to be followed by real estate developers in the Mumbai real estate market and other infrastructure projects executing agencies to reduce pollution.
Currently, there are around 6,000 construction sites in the city, including private real estate projects, the Mumbai Trans Harbour Link (MTHL) connecting Mumbai and Navi Mumbai, the Mumbai Coastal Road project, the Bandra Versova Sea-Link project and several Metro projects being executed by the authorities.
According to the guidelines issued by BMC, layouts (projects) exceeding one acre must maintain a 35-foot barricade, while those under one acre should have a 25-foot barricade. Further, green cloth or jute sheet coverings should be deployed at construction sites, regardless of the construction stage.
The BMC has said any uncovered building under construction will face a stop-work notice from it. The installation of a sprinkler system on key plot/site areas is mandatory, with regular misting throughout the day during construction, said the BMC on October 20.
However, air quality worsening is new for the country’s financial capital unlike Delhi which has been suffering from bad air quality for the last few years. Against this backdrop, Moneycontrol looks at five micro markets in the financial capital that investors may want to avoid due to bad air quality.
Along with BKC, adjoining areas like Kalanagar and Maharashtra Nagar also face the problem of bad air quality. In the past one decade, several top developers in the city have constructed apartments in Kalanagar. The apartment rates here vary between Rs 40,000 and Rs 60,000 per square foot and even above, say local real estate brokers.
2: Chembur
Chembur, a central suburb, is located on the tip of Mumbai and has easy access to Navi Mumbai, Panvel and Pune. The Chembur micro-market is surrounded by oil refineries owing to which the pollution level is high resulting in bad air quality. The AQI of Chembur on October 26 was 241, which is in the poor air quality category.
The per-sq ft rate in Chembur varies between Rs 20,000 and Rs 40,000 on project to project basis, according to real estate experts. Along with Chembur, neighbouring micro-markets like Mankhurd and Govandi also face similar problems relating to air quality.
Also read: Mumbai air quality: BMC issues pollution control guidelines to 6,000 construction sites
3: Mazgaon
Mazgaon is located in south Mumbai on the eastern seafront and is considered to be one of the affordable micro-markets compared to others in south Mumbai. Mazgaon also has problems relating to bad air quality owing to the presence of refineries along with shipping movement on the eastern coast due to a dock.
On October 26, the AQI of Mazgaon was 130, which is considered to be moderate. The micro-market has apartments in the range of Rs 25,000 to Rs 40,000 per sq ft, according to local brokers.
4: Andheri
Andheri is a prominent western suburb of Mumbai and home to several commercial office spaces with easy access to the Mumbai International Airport. The Andheri micro-market, which has an industrial presence, is also seeing construction of various infrastructure projects and facing traffic jams, leading to deteriorating air quality.
On October 26, the AQI of Andheri was 166, which is considered to be moderate. The per-sq ft rate of apartments in the Andheri micro-market is between Rs 30,000 and Rs 60,000, according to local brokers.
5: Malad
Malad is another western suburb and home to several commercial offices and a high street with two shopping malls. The micro-market has been reporting bad air quality owing to several reasons including traffic jams, and infrastructure works that were ongoing for Metro construction. However, with Metro construction completed, there is some respite expected this year. The AQI for Malad on October 26 was 133, which is considered to be moderate.
The per-sq ft rate for apartments in Malad is between Rs 20,000 and Rs 35,000 depending on the project, as per local brokers.Also read: Home and dry? 5 Mumbai areas that see waterlogging every year during monsoon
Discount for homebuyers in areas having bad air quality?
According to real estate consultants, homebuyers looking to purchase or rent an apartment in a particular micro market that has poor air quality may be able to get discounts in price if the problem persists in the coming years.
“Poor air quality in Mumbai is relatively new when compared to Delhi or other cities in North India. Hence, the market has not reacted by offering discounts for purchasing apartments in areas having poor air quality,” said Piyush Shah, a real estate broker from Mumbai’s western suburbs.
“However, people do avoid owning in areas like Chembur, Govandi and Mankhurd due to the presence of refineries in the vicinity. But we have seen several branded developers being able to pull off good sales in the last one decade. More than poor air quality, homebuyers in Mumbai are more worried about water logging and proximity to workplace,” he added.
