Mumbai: The completion of upcoming metro lines in Mumbai, particularly in the Bandra Kurla Complex (BKC) area, is expected to significantly impact the real estate landscape in the Mumbai Metropolitan Region (MMR). The MMR has experienced rapid urbanization and a doubling of its population over the past 30 years, reaching over 22 million, with projections to reach 25 million by 2030. This growth, coupled with existing transportation and infrastructure challenges, highlights the need for a substantial infrastructure upgrade in the MMR.
As per a report by Colliers, current infrastructure, such as the suburban train network, expressways, and the Bandra Worli sea link, have been crucial for connectivity in the city. Recent upgrades, including operational metro lines and the monorail, have had a limited impact on capacity augmentation and burden reduction on existing infrastructure. To address these concerns, the government has announced several projects aimed at improving infrastructure and the quality of life for MMR residents.
One of the key upcoming infrastructure projects is the expansion of the Mumbai Metro, encompassing Lines 2B, 3, 6, 9, and 12. These new metro lines are expected to significantly enhance connectivity within BKC and the surrounding areas, as well as improve connectivity in the Western Suburbs. BKC, already an established commercial hub and the de facto Central Business District (CBD) of MMR, is poised to benefit greatly from the reduction in travel time to and from the eastern and western suburbs due to the new metro lines.
The impact on the real estate demand is expected to be substantial. BKC is anticipated to solidify its position as a world-class commercial hub, attracting more office developments and leading to an increase in housing developments in the vicinity. The reduction in travel time is likely to incentivize developers to invest in high-quality office supply, with an estimated infusion of approximately 7 million square feet of office space post-completion of the metro lines.
Developers have strategically planned their projects to align with the completion of the metro lines, aiming to capitalize on the enhanced connectivity and increased demand. This is expected to drive up occupancy levels and average monthly rentals in BKC. Overall, the Mumbai metro is anticipated to amplify demand for properties across various segments, further establishing BKC as a highly sought-after micro market in the city.
