Luxury homebuyers willing to spend if facilities fulfil their necessities & aspirations: Nayan Raheja, Raheja Developers | The Financial Express

Luxury homebuyers willing to spend if facilities fulfil their necessities & aspirations: Nayan Raheja, Raheja Developers

In an exclusive interview, Nayan Raheja of Raheja Developers talks about the prevailing trends in luxury real estate, and shares his business outlook.

Luxury homebuyers willing to spend if facilities fulfil their necessities & aspirations: Nayan Raheja, Raheja Developers
The most challenging aspect of my journey as a developer was to convince our stakeholders about the potential of luxury housing in India.

Affordable housing will always be in demand, but the luxury segment, especially after the pandemic, has picked up in a big way, and the momentum will continue for some time. Today buyers are willing to spend if the facilities they want fulfil both their necessities as well as aspirations. I also foresee much action in Tier 2 and Tier 3 cities, along with the suburban areas of Tier 1 cities, says Nayan Raheja, Director, Raheja Developers.

In an exclusive interview with Sanjeev Sinha, Mr Raheja talks about the prevailing trends in luxury real estate, and shares his business outlook. Excerpts:

How has the concept of luxury housing evolved over the years? What are the reasons for the recent increase in luxury home sales?

Luxury is aspirational. It is an idea that has always fascinated human beings. Earlier it was within the reach of only a select few. However, as the economy opened up and entrepreneurship turned into a buzzword, it led to the rise of a new wealthy class. They had money and they not only wanted to lead an exceptional life but also wanted to emulate living standards that they were exposed to during their sojourn and journeys abroad. Housing was one of the areas they lavished great attention on.

The definition of luxury housing today has also undergone a transformation. Today, expectations are not just confined to the large exceptionally-designed and furnished places. The discernible buyers are also looking for impeccable services, state-of-the-art security, modern conveniences like restaurants, clubs, swimming pool, sporting & recreational facilities, concierge & laundry services, home automation and even a helipad. Parallel to these rising aspirations, a new breed of exceptional real estate developers specialising in luxury housing have also come up. They are using the world’s best technologies, utilising most modern international precepts and entering into tie-ups with renowned names in the service industry and turning their complexes into iconic structures.

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What is your success mantra? How would you describe your personal journey and struggles before getting acclaim?

I have always been interested in architecture and am an alumnus of School of Planning and Architecture. Apart from buildings, I am also passionate about wildlife photography and music. I think these diverse interests have a deep bearing on my approach towards housing and have perhaps propelled me to offer something different from the rest of the developers. The most challenging aspect of my journey as a developer was to convince our stakeholders about the potential of luxury housing in India.

How do you discern the current real estate scenario? What are your growth estimates?

Recently Anarock came up with a report that surprised everyone. It talked about “Buyer Interest Profiling” (BIP) and the report concluded that mid-to-high-end segment units were the most preferred and accounted for 79% of the total demand. Besides, it also reported that compared to the affordable segment, sales in the luxury segment were higher by one percent. This was something unprecedented and is a precursor of things to come. No doubt the demand for the affordable housing will always be there but what is important is that the luxury segment, especially after the pandemic, has picked up in a big way, and the momentum, according to me, will continue for some time. Today buyers are willing to spend if the facilities they want fulfil both their necessities as well as aspirations. Besides, I also foresee much action in tier 2 and tier 3 cities along with the suburban areas of tier 1 cities.

You have pioneered a new business segment of Hotel Residences & Branded Residences. What is the concept?

Yes, Raheja’s under my leadership has pioneered a new business segment of “Hotel Residences & Branded Residences.” Hotel Residences & Branded Residences are truly ultra-luxury apartments and feature the best of amenities inside the complex. We intend to come up with more such projects in the country. To make them truly unique and awe-inspiring, we are partnering with internationally-renowned firms like Callison (design company), Arabtec (construction company), Leela Lace Holdings (services company), Aedas (design company), Thornton Tomasetti (design company), Aecom (design company), etc. We have already launched Leela Sky Villas – Navin Minar, which is the first hotel branded residences in Delhi in association with Leela Lace Holdings for services. It has been envisaged as a 5-star residential complex. It is 187 metres in height (42 floors) and is double the height of Qutub Minar. It will be the tallest building in Delhi.

What is the roadmap for the business growth of your company?

At Raheja’s we have been instrumental in shaping the realty sector in India. Our name inspires both respect and awe. One of the most important reasons for this is the proactive nature of our company. To maintain our leadership position, we are keeping abreast with the latest innovations, trends and technologies. We are also making headway through digital initiatives which are based on latest and emerging technologies and utilising big data and analytics to analyse present trends and make future predictions. Our company has strongly marked its presence across various verticals and from affordable housing, slum redevelopment, senior citizen & assisted housing to super luxury projects we are serving all strata of our society. Rajeha’s is poised to deliver 30 mn+ sq. ft. currently with an upcoming delivery of over 5-6 mn sq. ft. in FY 23-24. The projects in the pipeline include a massive 40 mn. sq. ft. with a projected revenue of Rs 2000 crore. They are slated to be launched in the current FY 2022-23.

How have you incorporated sustainability principles in your projects?

All our projects have been designed and developed with sustainability in mind. We have made efforts to conserve resources, save energy and use efficient machineries. In the field of design, our buildings have won recognitions at National and International platforms for cutting edge architecture, interiors and landscape with a special focus on environmental sustainability. We also ensure environment-friendly construction and labour welfare at our project sites. The company proactively undertakes CSR activities and is committed to give back to the society. We also utilize best sustainability practices to ensure minimal carbon footprint. This is achieved through measures like Rain Water Harvesting, Dual Flushing, use of purified STP Waste Water for construction, Water Recharging, Solar Energy Generation, Sensor Operated Lighting, and use of Local Materials, among others.

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