Land transactions slow on price pressure, election nerves in Q2 2024: Anarock report

Mumbai (Maharashtra) (India), July 21: The Lok Sabha elections and high land prices appear to have dampened interest in land acquisition among developers and other parties in the second quarter of 2024.

The number of land deals closed in the second quarter of 2024 dropped to 25 deals for an area of ​​325+ acres, according to the latest data from real estate consultancy Anarock. In contrast, around 29 land deals for 721+ acres were closed across the country in the first quarter of 2024.

Prashant Thakur, Regional Director and Head of Research and Advisory at ANAROCK Group, says Bengaluru tops the list in terms of land transactions.

“The city saw nine separate deals for around 114 acres closed in Q2 2024. All the deals were proposed for residential developments. Gurugram followed suit and remained a hot market for land deals in Q2 2024. As many as 7 deals for over 77.5 acres were closed here during this period for residential development and agriculture,” Thakur said.

Of the total land deals closed in Q2 2024 (April-June), more than 17 for 163+ acres were proposed for residential developments. Agriculture, mixed-use development, data centers, logistics parks, industrial and retail saw one deal each.

“While Bengaluru continues to be a hotbed for housing development, Gurugram has also stepped up efforts,” Thakur said.

“Demand has skyrocketed here in the last few years and developers are able to sell units in new projects very quickly after launch. Mumbai, which had been leading in land transactions in the previous quarters, saw only two land transactions in Q2 2024 — one for industrial purposes and the other for retail development,” Thakur said.

On the other hand, the trends in land transaction data for the first half of 2024 are more optimistic. As many as 54 deals for 1,045+ acres were closed in the period nationwide. In contrast, around 46 deals for 950+ acres were closed in the corresponding period last year (first half of 2023).

Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor.

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