Delhi NCR leads the luxury residential launches segment in H1 2024: Report

Luxury real estate: In the first half of 2024, Delhi NCR showcased a notable 64% share of luxury residential launches among the top seven cities in India. According to data from real estate consultancy firm JLL, Gurugram has excelled as the leading performer in the luxury real estate segment, with 88% of all launches concentrated in the Dwarka Expressway and Southern Peripheral Road regions. This substantial growth indicates a rising demand for upscale residences in these specific areas.

In terms of luxury sales in India, Delhi NCR stands out as the leader among the country's top seven cities. It holds a significant market share of 65%, with a total of 4,763 units sold. The Delhi NCR residential market witnessed a strong rebound in H1 2024, with a total of 23,500 units launched. This surpassed the total launches of 2023, which stood at 22,707 units, indicating a growing preference for luxury homes.

This impressive performance can be attributed to factors such as the rising disposable income, a growing aspiration for a luxurious lifestyle, and the continuous development of infrastructure in the region. One of the latest infrastructure projects that is influencing the demand for luxury housing is the recent launch of the Dwarka Expressway.

According to the JLL report, the number of new launches in the real estate market exceeded the total launches of 2023, which were recorded at 22,707 units. This indicates a noticeable inclination towards luxury homes among buyers. 

Gurugram lead the market with 55% share of the new launches, followed by Noida with 35% contribution. Gurugram has shown remarkable performance in the luxury real estate market. A significant 88% of all new launches are focused on the Dwarka Expressway and Southern Peripheral Road regions. This data highlights the growing desire for high-end residential properties in these specific areas.

Change in choices

Developers are strategically adapting to the evolving preferences of homebuyers, who are demonstrating an increasing inclination towards spacious, high-end residences with enhanced amenities. This shifting consumer demand has precipitated a notable uptick in the introduction of luxury housing projects, a noteworthy departure for some developers who had previously concentrated on catering to the affordable and mid-range housing segments.

Interestingly, a significant proportion of these new launches, representing approximately 26% and comprising about 6,200 units, consisted of luxury apartments valued at Rs 5 crore or above. Comparatively, in the preceding year of 2023, luxury developments constituted a mere 12% of the total launches, marking a significant increase in the luxury housing market within a year.

"Today’s buyers are increasingly seeking personalisation in their homes. Luxury homebuyers now prioritise bespoke design elements that reflect their unique tastes, this shift means that we are moving towards a realm where every detail is tailored to the individual. In essence, the luxury real estate market is evolving into a space focused on creating meaningful, sustainable living environments. By aligning sustainability incentives, enhancing industry standards, and leveraging government support, we can significantly boost the real estate sector's contribution to GDP from 7% to a projected 13%, helping us exceed our goal of becoming the world's third-largest economy by 2030. This marks a new chapter in high-end living, where personalisation and responsibility are central to every decision," said Pavan Kumar, Founder and CEO, White Lotus Group.

"The luxury real estate market is witnessing a transformative shift, driven by the evolving preferences of discerning homebuyers. Today’s consumers are not just seeking opulence; they are looking for homes that align with their values and lifestyles. Modern luxury homebuyers increasingly prioritise smart home technology as an essential feature, with 77% considering it crucial when selecting a new home (Coldwell Banker Real Estate LLC). This trend highlights a growing demand for homes that seamlessly integrate convenience, comfort, and exclusivity. The focus is now on creating living spaces that not only reflect the personalities of buyers but also anticipate their future needs. With the Indian luxury real estate market projected to grow at a CAGR of 3%, the future of luxury living lies in sustainable and tech-enabled projects that push the boundaries of what luxury can offer," said Ashok Chhajer, CMD & Chairman at Arihant Superstructures.