Mumbai’s Real Estate: The Importance of Proximity to Metro Stations

Mumbai’s real estate has always been a topic of interest amongst investors, home buyers and real estate developers. The city of dreams has a great potential for growth, considering the pace at which it is developing. However, amongst all the factors that contribute to the value of real estate in Mumbai, there is one which seems to be gaining significance - proximity to metro stations.

With the city expanding by leaps and bounds, the population density is increasing day by day. The already overcrowded roads and local trains have been the means of transportation for Mumbaikars for ages. However, the introduction of the metro in Mumbai has given the residents an opportunity to move around the city hassle-free. The metro not only connects different parts of Mumbai but also provides the much-needed connectivity to the suburbs.

Studies indicate that properties situated near metro stations have witnessed a rise in prices of up to 10-15 percent, whereas the ones situated far from metro stations are not able to fetch the same price. This is because properties near metro stations provide the residents with convenience, accessibility and connectivity all at one go. The ease of moving around the city has made it a preferred choice amongst home buyers and investors.

Real estate developers have also started taking note of the growing importance of the metro to boost the value of their projects. The proximity to a metro station has become a vital selling point for most developers and is considered as one of the key features of the real estate projects. Hence, most developers are trying to acquire land parcels closer to metro stations to develop their projects. It not only benefits the developers but also helps in the growth of the area around the metro station.

Moreover, the development of the area around a metro station has been phenomenal. The metro has resulted in the increase of commercial activities, which, in turn, has led to a rise in residential demand. As a result, new shops, department stores, restaurants, cafes and even start-ups are coming up around the metro stations. It has also led to the creation of jobs which are attracting people from all over the city.

However, considering the rising importance of the metro, developers have started developing projects close to metro stations, even if they are priced higher than the ones situated far away from metro stations. The ones that are priced higher may seem like an added expense to home buyers but also promise to yield higher returns as compared to other properties in the same area in the long run.

To sum up, Mumbai’s real estate market has undoubtedly been affected by the metro. Proximity to the metro stations seems to be one of the latest trends driving the real estate industry of the city. The connectivity, convenience and accessibility that the metro provides has made it a preferred choice amongst home buyers and investors, and hence has contributed to the rise in property prices in areas near metro stations. The rising importance of the metro stations is likely to continue to impact the development of the real estate industry in Mumbai.