Why Thane Real Estate Investors Are Earning High Returns

Homebuyers are looking for the blooming suburban areas of Mumbai for their new home because of problems like space deficiency, over-crowding and affordability in the city. The emerging city of Thane is one of such suburbs. Thane was one of the top cities to be included in the Smart Cities list. In the past, many homebuyers, as well as developers, stayed away from Thane considering it a risky investment. It has transformed a huge deal in the past decade or so from being a not so favourable destination to the next in-demand location after Mumbai. This development has created exponential growth in numerous markets, including real estate, in Thane. Following is a tentative summary of why investors in Thane real estate are earning high returns.   

Thane is also known as the ‘City of Lakes’ with the presence of about 35 lakes and waterfronts within the city, a part of Thane is situated in across the Thane creek on the mainland and the rest of the part is located on the Salsette Island. 2011 Census shows that this was the most populated district, with a  whopping population of about 1,10,60,148, in the entire country. The count reached this value because Thane witnessed of about 29.3 lakh increase in its population between the 2001 and 2011 census and about 8 lakh people out of this population were the ones who moved out from South Mumbai to Thane. The development of educational institutes, civic amenities, residential structures, entertainment options, rail & road connectivity and many such things are the reasons why Thane is in the limelight of homebuyers. Reasons like these have made a once industrial and polluted region become favourable amongst homebuyers and hence they prefer buying flats in Thane.         

Thane has smartly replaced Mumbai on the migrant map owing to its easy availability of homes and better residential areas as compared to the overcrowded parts of the city, especially South Mumbai. It is little wonder that a significant price appreciation has been noticed averaging 44% over the last 6 years. The population influx for Thane has increased threefold. With 25% green cover, it is nestled amidst Sanjay Gandhi National Park and Yeoor Hills, making it a visual delight. On top of that, the cost-of-living in Thane is 71% lesser and 30% less costly than the neighbouring prime areas of Mumbai. 

Thane is strategically one of the best locations in Mumbai. It is well connected to the suburbs by the Eastern Express Highway and the western suburbs by Ghodbunder Road. It also lies in close proximity to Navi Mumbai by train and road. All the important roads in the city such as EEH, Pokhran Road 1 and 2 and GB lead to the elite neighbourhoods of Thane, thus making connectivity a major plus point. Projects in Thane offer easy connectivity to schools, colleges, playgrounds, multiplexes and other necessary destinations as well. Youths can relish in great alternatives with close proximity to water parks, amusement parks, scenic locations like Yeoor hills, Tiger hilltop, etc. While adults can engage in creative entertainment with theatres like Gadkari Rangayatan and Dr. Kashinath Ghanekar Natyagruha while there are a number of PVRs and multiplexes for the Bollywood fanatics. For the family people, a perfect weekend gateway is just within reach with places like Kolad, Malshej Ghat, Matheran, Alibaug, Lonavla, Dahanu and Jawahar within 100 km of Thane. 

Mumbai, the finance capital of India has attracted immense economic as well as public growth pertaining to this reason. The present state of major business centres of Mumbai like Bandra-Kurla Complex (BKC), Lower Parel, Powai are facing problems like saturation and space deficiency. While on the other hand, the neighbouring cities like Gujrat and Ahmedabad are amplifying their course of development with the construction of projects like Gujarat International Finance Tec-City (GIFT) which will be the country’s first international financial services centre. New developments like these have to lead to the need to expand the financial districts. Tracing back in the past, in the early 1990s, Bandra-Kurla Complex was built along the marshy regions of the Mithi river. Due to this new development, a substitute financial hub was created, other than Nariman point at that time. Then gradually due to the requirements of the changing time, the business centre grew to Worli, Lower Parel, Malad and other regions. This change is the trigger behind in making Thane as the prime technological hub. With its stronghold in the residential sector now Thane is on its way towards ruling the industrial sector. The soon opening first-ever start-up centre of the district and the planning of a new financial district along the Thane-Belapur road are a proof of it. This will definitely result in an increase in the number of residential projects in Thane as it will create various and promising employment opportunities for the residents in and around the vicinity.

Thane is located close to the Mumbai University sub-campus as well as some of the country’s best schools and is said to have a high literacy rate of 89.4%. It also enjoys close proximity, of about 10 minutes, from the top schools such as Singhania, D.A.V., Vasant Vihar High School and Junior College and C.P. Goenka among others. While access to some of the most elite healthcare facilities such as Bethany and Jupiter Hospital with a customer rating of 4.5 and above is easily available. Other than this, one can enjoy the Mumbai city lifestyle with the presence of the best retail, entertainment, dining and outing avenues such as Viviana Mall, Korum Mall, Cinemax Wonder Mall and much more. 

As developers are offering both luxurious as well as budget-friendly homes which are designed by keeping in mind the needs of the homebuyers of varying range. In the last five years, Ghodbunder Road has seen a growth of about 300% while the average property rate here is around Rs. 10,369 per sq. ft. as of the April-June 2019 calculations. The infrastructure in Thane is growing with wider roads and flyovers but the traditional way of living is still carried out with community gatherings during festivals like Ganesh Chaturthi, Maha Shivratri, Diwali, Christmas and other such occasions.

Thane has become an ideal location for homebuyers where their every need is satisfied, offering them the premium city life but not at the premium prices. Hence, Thane real estate investors are earning high returns on their investments.