18th January 2017 - Premium end Residential Rental Market Update for Gurgaon - Q4, 2016 and January 2017
Post Diwali, when there was fair amount of demand for premium end residential accommodation in Gurgaon, then the market saw a slight stagnation owing largely to two reasons – 1) General season change for executive moves 2) Supply pipeline contraction owing to previous rental declines and accommodation take-up in earlier quarters.
October was fairly inactive, whilst in November activity picked up that too in certain micromarkets. Magnolias continued to record residential rental transactional activity with expats moving in as well as on the supply side rental cycles opening up adding to the supply of new flats available for rent.
Belaire too saw some demand with tenants opting for the 3000 – 3500 sq. ft. size and some Korean / Japanese firms demanding accommodation in Belaire. Park Place also continued to see transactional activity and remains popular with expats looking for sizes of 2000 – 2400 sq. ft.
Overall residential rentals picked up by 5% in Q4 2016 over Q3 2016 but this trend is evident in premium end complexes bear in mind.
World Spa and Laburnum which had gone quiet in terms of residential unit demand in the month of December has suddenly recorded surprise high demand in the month of January with executives on company and personal leases choosing these complexes in line with high profile corporate crowd and good complex ambience. There was demand for villas in laburnum, as also 3 and 4 B/R's whilst World Spa also saw interest in 4 and 5 B/R units. Magnolias also continues to show demand side fillip with Indian and foreign expats choosing the complex for a superior living experience. Rentals have slotted between 3 – 3.5 lac + maintenance for magnolias.
Overall I see healthy transactional activity and stable rentals for Q1 2017. This seems to be the season for moves despite the downturn so we may even see some micro-markets recording an increment in rentals during this quarter.
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