New residential projects launch drops by 56 % in Chennai

The delay was mainly due to approvals according to a report

The Chennai residential market reported a 56% drop, on new launches, during the first half of the current fiscal. According to a recent report the delay was mainly due to approvals.

 

The global real estate consultancy, Cushman & Wakefield (C&W) report stated that Chennai witnessed influx of around 5,500 residential units in the housing market during the first half of 2013, a significant drop of 56% as compared to the same period last year, which witnessed 12,600 units addition.

 

During the first half of 2013, more than 4,500 or around 96% of these new units were launched in the affordable and mid-end segments mainly in locations like Rajiv Gandhi Salai, GST, Velachery and Mogappair. However, this is considerably lower than first half 2012 that saw more than 11,900 new units launched in the mid-end category alone.

 

During Q1 2013, a decrease in residential launches was witnessed majorly due to the delays in obtaining planning approvals, but the scenario improved during the last three months and an increase of 40% was recorded as more than 3,200 new residential units were launched in Q2 2013, said in the report.

 

It was further stated, ff which approximately 700 and 200 units comprised of affordable and high-end segments. While locations like Tambaram, Maraimalai Nagar and Guduvanchery on GST Road witnessed the launch of affordable projects, Nungambakkam, Anna Nagar and Kotturpuram saw new apartment and villa projects being launched in the luxury segment.