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One of Mumbai’s biggest project launches in recent times by Lodha Developers saw a surge in demand from non-resident Indians (NRIs) on the back of a weakening Indian rupee.
The project, which did a global launch of its latest luxury project ‘The Park’ centrally located in Lower Parel, got Rs 625 crore in booking from NRIs across geographies like the US and UAE on the first day of applications. This formed 25% of the Rs 2,500 crore in bookings seen on the first day for the project.
Apart from six Indian cities, the project which offers apartments in the price range of Rs 3.6 crore ($545,454) to Rs 10 crore ($1.5 million), was also marketed in international cities like Dubai to try and draw in NRIs.
“NRIs form 15% to 20% of our overall customer base,” says managing director Abhisheck Lodha.
Last week, the Indian rupee hit a new low of R68.845/$ and has fallen close to 20% during the current calendar year. This is providing an opportunity to overseas buyers to invest in properties in India at a lower rate in terms of dollars.
Along with Mumbai, the increased demand from NRIs has been particularly strong in projects launched in Southern cities.
Bangalore-based realty company Puravankara Projects’ Ocena project in Kochi has seen more sales from NRIs than domestic buyers. Purva Skydale, its theme project based on Spanish habitat in Bangalore, with 314 luxury apartments, has a lot of interest coming in from NRIs and HNIs. Ashish Puravankara, joint managing director, Puravankara Projects, says with the continuous rupee depreciation, he expects the company’s share of overall sales from NRIs to go up to 30% versus the current 25%.
“We have increased the frequency of advertisements in the West Asian, the US and Singapore markets and are running online ad campaigns as well. We are also advertising our projects among Indian community groups abroad, for example community group of US doctors,” says Puravankara.
According to sources, another project in Chennai by Jain Housing and Constructions, a Chennai-based developer, has seen as much as 50% bookings coming in from NRIs, though at