Independent floors, offered at different price points, are alluring buyers like never before, especially in Gurugram
Trends come, trends go, and many make a comeback The real estate sector too is not untouched with such patterns. Haryana’s top cities Gurugram and Faridabad are seeing a major housing market trend reversal, with independent floors gaining traction post the pandemic. Developers are lining up for launching independent floor homes in both these NCR cities – over 20, 000 independent floor flats are expected to be launched in both the cities in the next one year. Santhosh Kumar; vice chairman, ANAROCK Group, says, “As many as 4, 500 Independent flats have already been launched in Gurugram and Faridabad in the first three quarters of 2021 – amounting for over a 40 percent share of this period’s total supply in these two Approximately 10,970 units across different property types have been launched in Gurugram and Faridabad between January to September 2021, of which 4,500 units are independent floor units.” Talking further about the trend of independent homes, Vivek Singhal, CEO, Smart World Developers, says “Covid-19 has redefined trends in real estate, with personalisation and customer-centricity becoming the key priorities for developers. Buyers are now preferring homes to accommodate an office space and study home for the kids to have a perfect work-life balance. This has propelled a preference for independent floors located in gated townships endowed with best-in-class amenities, allowing families to live without compromising on their privacy and optimised living at a comparatively lower cost than villas and penthouses”
DEMAND-SUPPLY DYNAMICS
The concept of independent floor homes as a property type is not new In Gurugram and Faridabad and existed much before the pandemic. Between 2006 and 2010, these two Haryana cities added nearly 21,300 independent floor units. The supply of independent floor homes dropped by more than 50 percent to approx 10,000 units between 2011-2015, when high-rise apartments started gaining prominence. Between year 2018-2020, the overall new supply of independent floors dropped even further – by 73 percent against preceding period – with just 2,990 units being added.
“Buyers’ preferences have changed due to the pandemic and the Haryana government’s Deen Dayal Jan Awas Yojna scheme. Under this scheme, developers can build independent flats up to four floors and sell them individually. Many developers with land banks in these cities are now lining up for license to construct independent floor homes,” adds Kumar.
Earlier, independent floors were typically developed by local NCR developers, today, branded players are in the fray.
A major motivator is the fact that the development turnaround time for independent flats is faster than high-rises, providing an opportunity for faster monetisation. Also, money generated from builder floors starts Flowing in within one year, while high-rises take at least four years to pay off.
Karen Kumar, CMO, DLF Ltd, shares, “The popularity of independent floors is centred around the nucleus of co-living without com-promising privacy and Individuality. A segment of discerning customers wish to limit unnecessary community influence in their comfortable and indulgent living, and this is prompting the popularity of independent floors. The customers now do not look at the Independent floor from a myopic lens as an investment option but as a promise of privacy comfort, and an indulgent lifestyle. As a result, this product class has witnessed significant appreciation In value terms over the recent years. There are certain advantages that are unique to this kind of a product – the opportunity for multiple generations within a family to live together and yet independently amass various floors, the comfort of living in a low-rise, low-density environment with more floor space and the ease of working with the interiors of your space to make them evolve and grow as your family does. Further, independent floors are also better and more easily integrated with community infra-structure like parks and green spaces where they exist in abundance.”
Elaborating further and taking about the market traction, Amar Sarin, managing director and CEO of TARC, says, “Independent floors are showing a lot of traction, especially in Gurugram. Homesbuyers today want freedom of space and independent floors help them achieve that The DDU scheme has helped people fulfil their dreaming of owning independent homes and plots in Gurugram. From young millennials to corporates, the buyers’ profile is very vivid, highly end-user. The location and product will be the driving factors for independent floors.”
DEMAND SURGE
Homebuyers today are keen an quick possession. The possession time for independent floors is significantly shorter than for multistory apartments. Builder floors are also gaining popularity bemuse they combine the benefits of bath traditional apartments and villas.
“In India, people have always loved to have a ‘living in a bungalow’ feeling, and independent floors fulfil that desire. After the pandemic, people have also started to look for larger spaces, health-related amenities, spaces that are a little away from bustling city centres, and places that are not cramped. For the price bracket of 60 lakh to 80 lakh, we have mid-segment buyers who are looking to upgrade their lifestyle. However; major demand is corning from the HNIs looking far luxurious dwellings spread over a vast area; NRIs are also investing In such properties,” asserts Nayen Raheja of Raheja Developers.
Harsh Trehan, chairman, Trehan Group, divulges, “Independent floors were always the first choice of people in North India Now with the pandemic in the background and work-from-home culture gaining traction, demand for such floors has increased. A recent report suggests that more than 20,000 such floors are likely to be launched in Gurugram and Faridabad in the next one year. Also, home loan interest rates are historically low and the properties prices too are almost stagnant, thus increasing the affordability of prospective homebuyer’s.”
There is also clarity regarding the roof right “The concerns on unauthorised constructions too are being addressed by organised developers,” Trehan concludes.
