Is it worthwhile to invest in real estate in Palghar, Mumbai?
Has Palghar become an emerging investment destination for Real Estate
The proposed bullet train when operational will speed up growth in Palghar.
Real estate in Palghar, along with places such as Vasai-Virar, Boisar and Dahanu are slated for growth, mainly, because of the proposed bullet train which will connect two main cities Mumbai and Ahmedabad. These towns lie to the north of Mumbai and are on the periphery of the Mumbai Metropolitan Region.
Virar will also gain from the proposed Virar Alibaug multi-modal corridor and the elevated rail corridor which will connect it to Churchgate. The Delhi Mumbai Industrial Corridor is also likely to boost real estate prices in Vasai and Virar.
Coming back to the bullet train, the latest news is that the Japanese agency has submitted its final feasibility report of this project and it is estimated that the bullet train corridor will cost almost INR one lakh crore. If the work starts on the project by 2017, the first train is likely to run by 2024. The current travel time between the two cities is seven hours; the bullet train will cut it down to two hours. Eleven stations are being proposed along the route; on the Maharashtra side of the border besides the Terminal at Mumbai’s Bandra-Kurla Complex, Thane, Virar and Dahanu are likely to be the other stations.
Palghar is located on the Western Line of the Mumbai Suburban Railway on the Mumbai Ahmedabad rail corridor. It is 35 km from Virar and 20 km from the Mumbai Ahmedabad National Highway (NH) 8. Last year, Palghar was given district status making it the 36th district in Maharashtra.
Why should you invest in Palghar
Palghar is a bustling industrial and educational hub servicing the villages around. The town is well connected by road and rail. Palghar is directly connected to towns such as Miraj, Pune, Vaduj, Thane, Bhiwandi, Aurangabad, Ahmednagar, Kalyan, Alibaug, Nandurbar, Bhusaval, Shirdi and Nashik. It is an important station on the Western Railway line of the Mumbai suburban railway. Local train services such as the shuttle, MEMU (mainline electric multiple unit) and EMU (electric multiple unit) as well as long distance trains halt at Palghar.
The demand for new homes in Palghar comes mainly from end users and for smaller housing units of 1 bedroom, hall, kitchen (BHK) or 2BHK.
Meanwhile, looking at the larger picture of real estate in Mumbai, it shows that though sales are slow, the prices have just leveled out and not exactly dipped. Many home buyers are waiting for the prices to fall a notch or two before they make the final plunge. But a vast majority find that the prices within Mumbai city is far too high to suit their budget and are looking at the suburbs and peripheral areas such as Palghar, where housing is still affordable.
Incentives offered by builders
However, on a brighter note, developers are getting a lot of enquiries which indicate that there is light at the end of the tunnel. On their part, builders in Mumbai region are offering buyers a number of discounts which include waivers, festive offers and so on. Many are offering a one-time discount of about 10% while others are offering waivers on floor rise charges.
However, it would always be wise to invest in a ready-to- move-in apartment, vis-a-vis one which is still on the drawing board, howsoever sweet the offer from the developer is. Many of the builders are coming out with a number of schemes which give the home buyer a hefty discount if he puts in a large chunk of the cost upfront. According to research only 3.35% of the total unsold inventory of apartments in the Mumbai, Thane and Navi Mumbai are completed. It is also worthy to note that a majority of the unsold apartments have been priced at over INR 1 crore.
Palghar has been selected by the state government for focused infrastructure development, with plans to build a model town as the district headquarters. Palghar is favourably located with close proximity to Mumbai and near the Delhi-Mumbai railway line. Palghar railway station is an important stop on the Western Railway line of the Mumbai Suburban Railway. Many long distance trains halt at Palghar and quite a few are Gujarat-bound. National Highway (NH) 8, connecting Mumbai to Ahmedabad is a short drive away. Strategic location and connectivity advantages mean that residents can easily travel to nearby Mumbai or Surat, both of which offer innumerable employment and business opportunities.
Moreover, Palghar district also offers ample livelihood options since it houses the largest Maharashtra Industrial Development Corporation (MIDC) in the state. The MIDC at Tarapur is home to over 1,500 operating industrial units, including renowned global corporations like TATA Steel, JSW Steel, and Raymond.
Palghar has many Small and Medium Enterprises (SME) located within the district that provide ample employment avenues and spur the local economy. In fact, Palghar already has about 57 working industries as part of Cooperative Industrial Area. Recently, the Maharashtra government offered 157 acres in Palghar district to a private company to produce its indigenously designed 20-seater commercial aircraft.
Key social infrastructure is already in place in the area. Palghar town boasts the presence of several educational institutions (primary schools, high schools, and colleges), cinemas, commercial areas, banks, hospitals, and dispensaries. But there is more to Palghar; the district is also a popular tourist hub, known for its forts and palaces. The tribal ‘Warli’ art form originates from the region, which is also home to the Mahalaxmi and Jivdani temples.
The calm waters of the picturesque Arnala, Mahim, Dahanu, Bordi and Kelva beaches are a big draw. The holiday resort village of Bhandardara mesmerises visitors while the scenic hill station of Jawhar transports one among the clouds. Green, serene, and relatively unpolluted, Palghar offers an opportunity to be part of a planned and fast growing town, at one with nature and yet offering a multitude of professional opportunities.
Going forward, Palghar is expected to witness significant development with the $90 billion Delhi-Mumbai Industrial Corridor – a planned industrial development project between India’s capital Delhi and its financial hub Mumbai – passing through the town. Additionally, India’s first high-speed rail line – the Mumbai-Ahmedabad high-speed rail corridor project – is expected to include a halt at Palghar.
As mentioned earlier, as part of its holistic development approach, the Maharashtra government intends to build a new township in the region, replete with administrative offices and logistics amenities. To be developed by CIDCO, this includes plans for residential, commercial, mixed use, and industrial zones.
The development plan also includes several smart city-like features in the areas of governance (e-office, online plan approval systems and access to project details, mobile apps and messaging app services, third party quality monitoring, etc.) and infrastructure (SCADA system for online water quality monitoring and leakage detection, automatic water meter reading and smart billing system, remote power metering, e-public toilets and GPS/RFID based waste management and sanitation, among others). Community centres, water front developments and gardens are expected to add to the town’s visual appeal. This will further improve the attractiveness of Palghar, both as an investment and residential destination.
Palghar is fast attracting home buyers keen on locations that offer a better quality of life in a clean, green and unpolluted environment, while at the same time being well-connected to nearby urban agglomerations such as Mumbai and Surat. Several institutionalized developers such as VBHC and HDIL are already present in the area having identified its growth potential early on. Currently competitively priced, Palghar is a high growth potential investment destination, with real estate prices all set to rise in accordance with industrial and infrastructural development. The time to invest in Palghar is now, with early investors likely to reap the best benefits.
Scale of growth
Palghar is also home to a number of industrial townships that have many small-scale industries specialising in engineering, pharmaceuticals, plastics, textiles and notebook making. Maharashtra’s biggest fishing center, Satpati, is located around 8 km from Palghar railway station. There are farms growing chickoos, coconuts and palm. Rice is grown during the monsoon. A large part of Palghar’s population commutes to Mumbai daily to make a living. Palghar has its own District Court, Sub-registrar’s office and Inspector of Land Records.
A number of industrial houses such as Welspun, Macleods, Dales Remedies, Fredun Pharmaceuticals, Durian, Prime Notebooks, Sundaram Notebooks, Jayant Printery, Ginza Industries, R&S Electronics, Ebco, Raghuvanshi Exports, Abby Lighting, and Astamed Healthcare have set up shop in Palghar.
As a district, Palghar covers eight talukas—Palghar, Jawahar, Mokhada, Talasari, Vasai, Wada, Dahanu and Vikramgad. Palghar is the first developed locality after Virar, and is looking at rapid infrastructure development. The state government has set aside Rs 450 crore to create new infrastructure in the city. Education, healthcare and telecom sectors, along with utilities, are being upgraded. Besides, the nearby Boisar area in Mumbai Metrolpolitan Region (MMR) is witnessing rapid real estate development.
Driving out of the city on a weekend to a beautiful landscape is rejuvenating after a hectic weekly work schedule, and to be able to do that anytime is a luxury everyone craves for. Palghar stands out as one of the destinations with its cool climate and popular beaches. Palghar is the 36th district in Maharashtra and was carved out of the old Thane district in August 2014.
Palghar is connected to all major cities by road and accessible by the Mumbai-Ahmedabad National Highway (NH8). It is around 90 km from Thane, 100 km from Andheri and 113 km from Navi Mumbai.
Palghar, due to its popularity as a famous tourist and weekend destination, is also becoming an investment hotspot for individuals seeking a second home. The prime vacation spots in Palghar include: Kelva Beach, Mahim beach, Kelva dam—a popular picnic spot, Satpati Beach—one of the largest beaches in Maharashtra and a popular fishing hub, and Sheetla Devi Temple. During the monsoons, the eastern hills of Palghar are home to several waterfalls and turn into a picturesque hangout for locals and tourists from Mumbai.
A number of players are already setting up affordable projects in the region including BM Group with which is developing affordable housing in Palghar. Moreover, the proposed Mumbai-Ahmedabad Bullet Train will halt at Palghar, boosting connectivity and business growth.
The present capital values in Palghar range from `2,500 to `3,200 per sq. ft. Palghar has witnessed a good absorption based on affordability factor. The average unit size is available anywhere between 500 sq. ft and 700 sq. ft
Both industrial and residential activity is expected to grow significantly in Palghar due to relatively cheaper land and labour. Besides, Palghar’s unpolluted environs and great weather remains a big draw. The city’s imminent development as an SME and industrial hub makes it one of the most sought after investment destinations today.
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- Gokul Pride
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- Vardhaman Nagar
Located at 15 min walking distance from station. Situated near to market, hospital, school, temple. It provides the finest for an Ideal Home.
It is one of the most reputable address of the city with easy access to many famed schools, shopping areas, hospitals, recreational areas, public gardens and several other public amenities. The Project is at a very good proximity from school, market, banks & station. A location which allows to enjoy a chill breeze of beach on weekend by just driving for 15 minutes.
Located next to Virar, it has direct road access to the Mumbai Ahmedabad Highway (NH-8). Mumbai Chhatrapati Shivaji International Airport and Bus stand are also easily accessible from here. In addition, beautiful beaches (Kelva, Mahim and Satpati), ancient forts (Kelva and Shirgaon) and Manor Dam in the vicinity of Palghar make the place an attractive tourist getaway. Maharashtra’s largest fishing center, Satpati is also at a driving distance from Palghar West.
Real estate in Palghar is slated for growth, mainly, because of the proposed bullet train which will connect two main cities Mumbai and Ahmedabad. This town lie to the north of Mumbai and are on the periphery of the Mumbai Metropolitan Region.Coming back to the bullet train, the first train is likely to run by 2024. The current travel time between the two cities is 7 hours; the bullet train will cut it down to only 2 hours. 11 railway stations are being proposed along the route; on the Maharashtra side of the border besides the Terminal at Mumbai’s Bandra-Kurla Complex, Thane, Virar and Dahanu are likely to be the other stations.
Palghar is placed on the Western Line of the Mumbai Suburban Railway on the Mumbai Ahmedabad rail corridor. And is very easy for everyone to access the railway station. Last year, Palghar was given district status making it the Thirty Sixth district in Maharashtra.
About BM Group
BM Group (BM™) is a company established in early 90’s and is based in Mumbai, India. BM Group (BM™) serves for Property Development and Real Estate Consultancy of residential, commercial, warehouse, land, and retail leasing in different regions of Mumbai, Palghar, Thane, Ahmedabad, and Rajkot.
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