Third Mumbai Rising: How Panvel is Transforming into a Real Estate Hub

The Third Mumbai-Panvel was once a small town on the city’s outskirts. Thanks to rapid urbanisation and infrastructural development, it has become a prime real estate investment hub, becoming a major metropolitan centre.

Over the years, there has been a steady rise in demand for Panvel real estate: both residential and commercial. Located in the junction between Mumbai, Thane and Pune, it is ideal for individuals who want to stay connected to all three cities. Moreover, it is also close to the Mumbai-Pune and the Sion-Panvel Expressways, which serve as a pathway to the rest of Maharashtra. With new infrastructure and commercial development, Panvel has become a thriving economic and commercial zone.

Strategic Location and Connectivity

Panvel’s strategic location serves as an advantage for many homebuyers. Here’s a breakdown of the travel time between this city and:

• Mumbai: 30 minutes from South Mumbai via the Atal Setu.
• Thane: Approximately one hour via the Thane-Belapur Road.
• Pune: Approximately 2 hours via the Mumbai-Pune Expressway.

There has also been a rapid infrastructural development that have significantly enhanced the connectivity from Panvel to other cities:

Existing:
Mumbai Trans-Harbour Link: Also known as the Atal Setu, this 22 km long bridge has significantly reduced the travel time between South Mumbai and Panvel, further increasing real estate demand.

Upcoming:

• Navi Mumbai International Airport: This much-awaited development is going to be a game-changer for Panvel’s real estate. The first phase will soon be operational and contribute to the city’s growing economic activity.
• Vashi Creek Bridge: This six-lane bridge will connect Mumbai and Navi Mumbai, and improve the traffic flow. This will also attract more people to move, thus increasing the demand for Panvel’s residential projects.

Rapid Economic and Real Estate Expansion

The government has taken up several urban development initiatives for better economic and real estate growth in Panvel:

• International Corporate Park, Kharghar:
  Located 14 km away from the upcoming international airport, this development was undertaken by CIDCO. It is a major business hub which will attract multinational companies, IT firms and startups, which will lead to job creation and subsequently, increase the housing demand and property investment in Panvel.
• Aerocity:
  This development is set around the airport, with hotels, office spaces, lounges and commercial hubs. This is for the convenience of business travellers and corporate entities. The development is guaranteed to create a high demand for more homes in the city.

Transport Development:

• Panvel Karjat Suburban Railway Corridor:
  This ongoing Panvel connectivity project is set to improve the city’s connectivity to Karjat, making commuting between both cities easy, and opening new real estate opportunities along the corridor.
• Kharghar-Turbhe Tunnel:
  This 6-lane tunnel will reduce the travel time to Panvel, and make it accessible for residents in both Navi Mumbai and Mumbai.

Residential Real Estate: Affordable and Premium Housing Options

Panvel’s real estate offers both budget-friendly and high-end housing options for you. Here are some examples:
CIDCO Mass Housing:

• This initiative makes large-scale, affordable homes in Navi Mumbai accessible for economically weak sections and low-income groups. This has ensured that Panvel is an inclusive destination for all residents.
• Premium Developments:
  Panvel’s rising popularity has led to the construction of several premium residential projects, such as L&T Realty’s upcoming project. These are equipped with modern amenities such as clubhouses, landscaped gardens, recreational facilities and smart home technology, adding to New Mumbai’s real estate market further. These projects target an affluent segment of the market, who are looking for quality living spaces with superior connectivity.

Commercial Real Estate Growth

Business Hubs and SEZs:
SEZs, or the Special Economic Zones, are being developed in and around Panvel, and this has attracted more multinational companies and IT firms to set up offices in the area. They have attracted more investments and created employment, further increasing demand for housing and retail spaces.

Office Space Demand:
With the rise in commercial spaces, more companies are establishing their business offices which has led to a significant rise in demand. With business parks, co-working spaces and retail hubs, the city has become a major commercial district, encouraging property investment in Panvel.

Investment Potential: Why Panvel is a Smart Choice

Panvel has emerged as a promising real estate investment destination, contributing to the Mumbai Metropolitan Region’s growth significantly. With ongoing development that is improving connectivity and infrastructure, more people are demanding residential and commercial properties. Additionally, the strong support of the government has encouraged long-term property investment in Panvel.

Property Appreciation Trends:
Given that Panvel has seen a lot of development over the years, it is understandable that the city’s real estate market has witnessed steady price appreciation:

• Steady Price Growth: Property prices in Panvel have appreciated significantly, reflecting the strong demand and confidence from investors.
• Growth Potential: A prediction of future property trends in Panvel, states that the Navi Mumbai airport, Mumbai Trans-Harbour link and corporate hubs will make the prices rise more, thus making it an attractive property investment destination.

Rental Yield Prospects:
Panvel is considered to be more affordable compared to Mumbai, which is why it is gaining popularity in the real estate rental market as well.

• Attractive Rental Returns: The rising job opportunities and enhanced connectivity have attracted professionals, students and business owners to move to this city, thereby increasing rental demand.
• Tenant Demand: Professionals who work in offices around Panvel; Belapur, Vashi and Thane, consider this area to be an attractive residential option thanks to affordability and improved quality of life.
• Rental Growth: Rental yield in Panvel, especially in some key parts of the city, has shown a high annual increase, which makes it an attractive destination for investors looking to buy a property and put it up for rent.

Government Policies and Urban Development Plans

Panvel’s rapid growth has been a result of strategic planning and guidance of government agencies like CIDCO:

• Planned Urbanization: The City and Industrial Development Corporation of Maharashtra Limited (CIDCO), played an important role in Panvel’s transformation into a city with planned infrastructure, new residential projects and commercial hubs.
• Affordable Housing Initiatives: CIDCO’s Mass Housing Scheme offers 67,000 affordable homes for middle and low-income groups.
• Sustainable Growth: The urban planning approach also focuses on sustainability: eco-friendly developments, green spaces and efficient transportation networks.

Regulatory Reforms:

• Ease of Doing Business: The Maharashtra government introduced policies that encouraged real estate investment by making the approval process smoother, and offering incentives for developers.
• RERA Implementation: RERA, or the Real Estate Regulation and Development Act, has improved clarity and investors’ confidence in Panvel’s real estate.
• Boost in Commercial Growth: Special policies that support IT parks, commercial zones and SEZs have helped Panvel become a business hub.

Quality of Life and Livability

Also known as the ‘Smart City,’ Panvel is now a self-sustaining urban hub. It offers a good quality of life, with residential projects that offer modern amenities and are surrounded by educational institutions, healthcare centres and recreational spaces.

Education:
There are many reputed schools and colleges around the upcoming residential projects in Panvel:

• Schools: St. Joseph’s High School, DAV Public School and Ryan International School.
• Colleges and Universities: Amity University, Pillai College and MGM Institute of Health Sciences.

Healthcare:
Panvel is also home to well-equipped hospitals and medical centres:

• MGM Hospital, Apollo Hospitals and Lifeline Hospital for world-class medical services.
• There are several upcoming medical infrastructures such as super-specialty hospitals and advanced healthcare facilities.

Recreational Amenities:
The city is an ever-growing urban centre, and is witnessing the development of many recreational and leisure hubs:

• Parks and Green Spaces: Parks like the Kharghar Central Park and CIDCO Urban Park are the perfect place for relaxation.
• Cultural Centres: There are many upcoming plans for theatres, auditoriums and cultural hubs, that will improve the social and entertainment options in Panvel.
• Shopping and Entertainment: Malls such as the Orion and K-Malls, as well as shopping complexes have added to Panvel’s livability.

Conclusion: The Future of Panvel as Mumbai’s Next Realty Destination

There is a reason why Panvel’s residential projects and commercial hubs are in much demand: infrastructural development, government initiatives and a strong demand for real estate are major factors behind it.
The Navi Mumbai International Airport, the MTHL and the SEZ developments will make Panvel a key economic and residential hub. With both affordable and luxury housing options, the city is a profitable destination for investors and homebuyers. That’s not all: since Panvel has seen a large-scale commercial expansion with business parks and SEZs, there has been an increase in demand for real estate.

The combination of affordability, connectivity, business potential and infrastructure makes Panvel the best residential destination for you to move into. Whether you are a real estate investor looking for long-term appreciation, a homebuyer who wants to buy their first house, or even a business aiming for a well-connected commercial hub, Panvel is the place to be!

FAQs

1. Why is Panvel being called the ‘Third Mumbai’?

• Panvel has experienced rapid urbanisation, large-scale infrastructure projects and increasing commercial activities that have made it an important metropolitan hub after South Mumbai and Navi Mumbai.

2. What are the major infrastructure projects contributing to Panvel’s growth?

• The Navi Mumbai International Airport, the Mumbai Trans-Harbour Link, the Panvel-Karjat Railway Corridor, the International Corporate Park in Kharghar and the Aerocity Project have added to Panvel’s growth.

3. How does the upcoming Navi Mumbai International Airport impact Panvel’s real estate market?

• The airport will boost business opportunities, increase property demand and enhance connectivity, which will further lead to higher appreciation in real estate.

4. What makes Panvel a promising real estate investment destination?

• Factors like affordability, high rental yields, ongoing infrastructural developments and increased job opportunities make it a smart choice to invest in Panvel.

5. Which are the best locations to invest in Panvel?

• You can invest in New Panvel, Old Panvel, Karanjade, Ulwe, Taloja and Kamothe; they all offer high growth potential.

6. What rental yields can investors expect in Panvel?

• The rental yields in Panvel can range from 3 to 5% annually, with many premium developments that offer higher returns than normal.

7. Is Panvel’s real estate market expected to grow further in the next 5-10 years?

• Yes, Panvel’s property market will see significant growth due to still ongoing connectivity projects, business growth and increasing demand for homes.

Disclaimer: The information provided in this article is generic and is shared for informational purposes only. It is not a substitute for specific advice in your circumstances. You are recommended to obtain specific professional advice before you take any action/decision. The content is subject to change due to updates in laws or regulations hence you are recommended to check the information before taking an action/decision. L&T Realty does not claim that the information given in this article is completely true and accurate.