Several projects in Pune, Pimpri-Chinchwad, and the Pune Metropolitan region are delayed because developers have not received timely environmental clearances. The ANAROCK Group views this as a strategic market pause, with developers focusing on existing projects rather than launching new ones. As a result, many have sought extensions from RERA.
Last year, the approval process for environmental clearances in the Pune Municipal Corporation, Pimpri-Chinchwad Municipal Corporation, and the Pune Metropolitan Regional Development Authority was temporarily stalled. This included delays in demarcation approvals, which contributed to a reduction in new project launches in Pune.
Several projects within a 5 km radius of PCMC experienced delays of over a year due to the temporary suspension of Environmental Clearances following the Bhopal Bhopal NGT order. This situation affected both new project approvals and those needing revised or extended clearances. Some developers may have sought RERA extensions as a result. Manish Jain, president of CREDAI Pune, said that seeking timeline extensions under RERA due to approval or operational delays is a standard and compliant practice within the regulatory framework.
However, Anuj Puri, chairman of ANAROCK, said there were signs of stress in the market, as real estate stocks dropped in early 2026 and new launches fell by 16% year-on-year in mid-2025. This cautious approach is a response to changes in market dynamics. “The earlier bull run has turned into a period of recalibration, where financial discipline and timely project delivery are more important than ever,” he said.
Abhishek Kiran Gupta, CEO of CRE Matrix, said the current property cycle across India is entering a phase of healthy consolidation, with Pune aligning with this broader trend.
Market Recalibration
According to ANAROCK data, by the end of 2025, the top seven cities saw a 4% increase in unsold units, totalling approximately 5,77,000, as new supply grew by 2%, slightly outpacing actual demand. Average property prices rose by 9-11% year-on-year, with the NCR region experiencing a 27% increase. “This added price pressure strains homebuyers and further impacts demand. Developers are increasingly focusing on high-end luxury housing, which now constitutes 38% of new supply, to protect their margins from rising input costs,” Puri explained.
Kapil Gandhi, managing director of Sigma One Universal, said from a developer’s perspective, seeking a project extension is not an ideal solution. It delays possession timelines for homebuyers and imposes additional financial burdens on the project through increased interest costs and overheads.
Unlike the pre-RERA era, today’s developers operate with much greater discipline. Project timelines are meticulously planned, cash flows are closely monitored, and launches are aligned with regulatory approvals. Consequently, extensions are typically sought only under exceptional circumstances, primarily due to factors outside a developer’s control, such as approval bottlenecks or disruptions in the supply of essential construction materials, Gandhi noted.
Geopolitical Pressures
Evolving geopolitical tensions in the Middle East are beginning to impact input costs, particularly for crude-linked materials such as steel and aluminium. “If this volatility continues, it could create a cascading effect on project timelines across markets, potentially leading to further extension requests unless stabilising measures are implemented,” Jain said.
CREDAI members are calling for the entire approval ecosystem to be integrated into a more cohesive and time-bound regulatory framework. “As MahaRERA has developed into an efficient and robust mechanism, with disposal rates now exceeding the number of fresh complaints in many cases, expanding its scope could further enhance transparency and efficiency in project execution,” Gandhi suggested.
Despite these short-term supply challenges, Pune district continues to lead the country in regulatory activity, boasting the highest number of MahaRERA-registered projects and agents. The district has consistently recorded over 1,000 new project registrations annually since 2021, demonstrating sustained developer confidence in the market.