Pune residential sales near 50,000-mark

Knight Frank’s India Real Estate 2023 report stated that Pune’s residential market witnessed 13.5 per cent sales growth year-on-year, with 49,266 housing units sold during the year. The weighted average price of residential units in Pune increased by 5 per cent YoY to Rs 4,507 per sq ft.

In the case of office spaces, the January to December 2023 period saw 9 per cent growth in transaction volumes at 6.7 million sq ft, the highest till date. Rentals increased by over 5 per cent. New office completions fell by 46 per cent YoY to 3.6 million sq ft. Completions are expected to improve in the coming months. Global capability centres accounted for 49 per cent of office space transactions.

In 2023, Pune’s real estate market displayed continued growth, recording the best residential sales since 2013, according to the report. A considerable segment of homebuyers in Pune consists mainly of migrant workers, particularly salaried individuals seeking housing mortgages. Despite the elevated home loan rates, the outlook remains optimistic. There were new launches of 42,437 residential units, up 10 per cent YoY.

Vilas P Menon, National Director, Occupier Services, Capital Markets and Branch Head, Pune, Knight Frank India, said, “Pune’s real estate market witnessed continuous growth in 2023, fuelled by improved market sentiment. The city’s evolution as a thriving IT hub, bolstered by the government’s continued infrastructure development, has firmly established Pune as a pivotal housing destination. The notable uptick in property sales above Rs 1 crore reflects rising buyer’s confidence. The city’s emergence as a thriving IT and ITeS hub, coupled with the government’s emphasis on infrastructure development, positions Pune as an emerging housing destination.”