Viceroy SAVANA – ROI Comparison with Similar Projects

HISTORY

Kandivali East, a prominent micro-market in Mumbai's Western Suburbs, has demonstrated a robust yet cyclical property appreciation history over the last 15 years (2010-2025). Initially perceived as a relatively affordable alternative to more developed localities like Andheri and Malad, Kandivali East's strategic location along the Western Express Highway (WEH) and its connectivity to commercial hubs drove significant growth in the early part of this period.

From 2010 to 2015, the market saw a steady upward trend, with property values appreciating by an average of 8-12% annually. This period was characterized by increasing investor and end-user interest, spurred by improving social infrastructure and planned developments. Projects, including those similar in type and segment to Viceroy SAVANA, benefited from this initial boom.

The subsequent phase, roughly from 2015 to 2020, presented a more challenging environment. Factors such as demonetization, the implementation of RERA, and GST led to a market slowdown across India. Kandivali East experienced a period of price stabilization, with appreciation tapering to a modest 2-5% annually, and in some micro-pockets, even stagnation or slight corrections. However, this period also laid the groundwork for future growth with significant infrastructure projects, most notably the Mumbai Metro Line 2A (Dahisar to D.N. Nagar), gaining momentum.

Post-2020, the market witnessed a remarkable recovery and resurgence. Stimuli such as reduced stamp duty by the Maharashtra government, historically low-interest rates, and a renewed focus on homeownership in the wake of the pandemic, injected fresh demand. Crucially, the phased completion and full operationalization of Metro Line 2A in 2022 and 2023 significantly enhanced connectivity, making Kandivali East more attractive to commuters and investors alike. This period, from 2020 to 2025, has seen a healthy appreciation of 5-8% annually, with premium projects and ready-to-move inventory leading the charge. Overall, for residential properties in Kandivali East, including mid-to-premium segments like Viceroy SAVANA, the 15-year cumulative appreciation has been substantial, weathering various market cycles to deliver strong long-term returns for early investors.

FUTURE PROSPECTS

The future prospects for residential property appreciation in Kandivali East, particularly for established projects like Viceroy SAVANA, appear strong for the next 5 years (2025-2030), underpinned by several fundamental growth drivers and a relatively stable outlook for the Mumbai real estate market.

Growth Factors:

1. Enhanced Connectivity: The full integration and impact of Metro Line 2A will continue to be a significant driver. Further enhancements to road networks, potential feeder services, and seamless connectivity to the commercial hubs of Bandra-Kurla Complex (BKC), Goregaon (Nesco IT Park), and Malad (Mindspace) will sustain demand.

2. Social Infrastructure Maturation: Kandivali East's social infrastructure (schools, hospitals, retail, entertainment) is well-developed and continues to evolve, making it a self-sufficient locality highly desirable for families and professionals.

3. Planned Urban Development: Mumbai's overall infrastructure push, including coastal road extensions and improved north-south connectivity, indirectly benefits Kandivali East by enhancing the city's liveability and economic robustness.

4. End-User Demand: Mumbai's population growth and the continued influx of professionals will ensure sustained demand for quality housing in well-connected suburbs that offer a balance of lifestyle and relative affordability compared to South Mumbai.

5. Developer Confidence: Continued interest from reputable developers signifies strong underlying market confidence and ensures a steady supply of well-planned projects.
   Risk Factors:

6. Interest Rate Volatility: Any significant increase in home loan interest rates could temper buyer sentiment and impact affordability, potentially slowing down appreciation.

7. Market Oversupply: While demand remains robust, an aggressive launch of new projects without corresponding absorption could lead to temporary oversupply in specific sub-segments, potentially impacting pricing power in the short term.

8. Global Economic Headwinds: Broader macroeconomic downturns or geopolitical instability could indirectly affect investor confidence and the purchasing power of buyers.

9. Regulatory Changes: While RERA has brought transparency, unforeseen regulatory changes or delays in project approvals could introduce market uncertainty.
   Considering these factors, residential properties in Kandivali East, similar to Viceroy SAVANA, are projected to witness an appreciation of approximately 6-9% annually over the next five years (2025-2030). This forecast assumes stable economic conditions and continued government focus on infrastructure development. The locality's established appeal, coupled with ongoing infrastructural advantages, positions it for sustained and healthy capital value growth.