Mumbai Oversupply + Gurgaon Problem of Plenty in Next 18 Months

On our last count, we estimated ~32 new towers to be delivered in the mid Mumbai micro market over the next few months. These include Beau Mont (3 towers, Prabhadevi), Planet Godrej (5, Mahalaxmi), Ashoka Towers (4, Parel), Bellisimo (2, NM Joshi), RNA/Raheja/Atlantis/Harmony (all Worli) (details inside). These could total up to ~6-7msf of supply, as compared to negligible deliveries over the last couple of years.

Deliveries have commenced for a few of these projects. We have already seen roughly 50% rental correction in Planet Godrej (from Rs 2 lk/month for a 3BHK in 3Q08 to Rs1.1 lk/month now), where only two out of five towers have been handed over. In the suburbs, Raheja Acropolis rentals have corrected from Rs60k/month to Rs40/month currently over the past year.

Residential supply in the next 18 months in Mumbai:
Project and No of Towers
Beau Mont 3
Planet Godrej 5
Ashoka Towers 4
Bellisimo 2
Casa Grande 2
Imperial Towers 2
Vivarea 3
Ashoka Garden 4
Sumer Builders 2
Vision Crest 1
RNA 1
Raheja 1
Raheja Atlantis 1
Lokhandwala Harmony 1

Residential supply in the next 18 months in Gurgaon:
Project and Area in million sft
Unitech Fresco 1.6
Unitech Harmony 1.1
Unitech Escape 0.7
Unitech World Spa 1.7
Unitech Close 3.0
Unitech Espace 1.1
DLF Magnolias 2.5
DLF Belaire 1.3
DLF Park Place 2.2
Emaar Meadows NA
Parsvnath Exotica 2.5