Premium for ‘experience’ widens in realty projects

Branded developers rake it in with the promise of quality

- RAGHAVENDRA KAMATH

WHEN BIRLA ESTATES, part of Aditya Birla Real Estate, sold a 2,434 square feet apartment in luxury project Birla Niyaara in Worli early this year, the selling price was 85,090 a sq ft.

The property got registered in March this year. Next month, another property by a local developer got registered at ₹42,007 a sq ft, according to data provided by Zapkey, a real estate data analytics firm.

The difference between Birla property and that of the local developer's was 103%. This is just one example of the widening price difference between residential properties of top and local brands.

When an apartment in Oberoi Sky City in Borivali East in Mumbai was sold and registered this month, the selling price was 51,712 a sq ft. As per registration data, a local developer in the same locality sold an apartment for ₹26,463 a sq ft, which was lower by 95%. Though the branded properties are feature-heavy and come with the promise of quality construction as compared to those of the local players, it gives an idea of the extent of premiumisation of the property market in India.