A 225 sq ft house in Dharavi to cost Rs 9 Lakh!!!

August 31, 2007	(2 votes, average: 4.5 out of 5)  Loading ...
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Asia’s largest slum Dharavi is seeing a sharp appreciation in its property prices since Rs 9,250 crore plan has been intended for its re-development.  A one-bedroom-hall-kitchen (BHK) house in the congested by lanes of Dharavi is to fetch the same prices as been commanded by an exclusive house in Kandivli or Borvli.

Property prices in Dharavi are believed to have increased by 30-40% in the last couple of months. Surprisingly, the cheapest price range for residential property in Dharavi is starting from Rs 4,000 per sq ft. This means that a 225 sq ft house, in the area would come at a prohibitive Rs 9 lakh.

Spread over a large area of 523 acre, Dharavi accommodates around 60,000 families. The slum is, indeed, bigger than Nariman Point, one of the known locations in Mumbai. Another interesting fact regarding this shanty town is the annual turnover of its industrial base. It is Rs 4,000 crore.

With such a scenario, no one can call Dharavi a poor man’s living area. Property buyers are making a beeline to buy dwellings within the price range Rs 5-6 lakh but cannot find any. The underlying reason for such a hike in property prices here is none other than the area’s makeover plan.

Property buyers are desperately waiting to get a house here and then sell it off at higher price. The house in Khamedo Nagar in Dharavi bought for Rs 9 lakh just three or four months ago is commanding Rs 15 lakh.

Dharavi has always been considered as a nauseating place to live where people earlier looked to sell out property and buy houses elsewhere. Today, no one in Dharavi is ready to sell property, expecting prices to touch roof in future, says a real estate agent in the area.

Once re-developments plans fall in green box, the property prices in Dharavi will touch Rs 10,000 per sq ft. The slum is also seeing preference because of its proximity places such as Bandra- Kurla Complex, one of the prime commercial districts in Mumbai, predicts Anuj Puri, managing director of JLL Meghraj.

News Published Under:   Mumbai |