Mumbai is India's largest city (by population) and is the financial and commercial capital of the country. It generates 6.16% of the total GDP of India. The key sectors
contributing to the city's economy are: finance, gems & jewellery, leather processing, IT and ITES, textiles, and entertainment. Nariman Point and Bandra Kurla Complex (BKC) are Mumbai's major financial centres.
Central business district (CBD), comprising Nariman Point, Colaba, Cuffe Parade, Fort and Ballard Estate. Mumbai is the business capital of the country and the CBD is home to a large number of corporate headquarters. The Bombay Stock Exchange (BSE) is the oldest stock exchange in Asia, and some of the biggest Indian companies, such as Reliance Industries Limited, State Bank of India and Larsen & Toubro, operate from their headquarters here.
Central Mumbai has emerged as a prominent residential market on the back of exceptional residential and social infrastructure developments during the last decade. This micro-market has also emerged as a premium office market for occupiers from the Banking Financial services and Insurance (BFSI) front office segment and corporate headquarters of corporations from the manufacturing, media and consulting sectors.
The Central Suburbs extend from Sion to Mulund. This zone has decent social and physical infrastructure, and the presence of several organised retail options on LBS Road has added to the appeal of the residential developments in the region. During the last year, with the Mumbai Metro becoming operational in the zone, the MRTS connectivity to the Western Suburbs has improved.
The region from Bandra to Dahisar towards the north of the city is identified as the Western Suburbs. It houses the Bandra Kurla Complex (BKC) - a planned commercial hub that has the country’s largest stock exchange - the National Stock Exchange (NSE) - and important offices, such as the Consulate General of the United States and the British Deputy High Commission. Other significant office stock in this area is on the Andheri Kurla Road and along the Western Expressway up to Malad. Bandra and Juhu are the most sought-after locations for residential development and command the highest property prices here. This zone has a vibrant social infrastructure, with the presence of quality retail, education, entertainment and healthcare options. Property prices decline as one goes north from Bandra. While employment and social infrastructure are the drivers till Malad, locations further north are driven by connectivity, primarily by the suburban railway network and the Western Express Highway.
The markets extending from Mira- Bhayandar to Boisar have been classified as the Peripheral Western Suburbs. Although localities such as Palghar and Boisar are not part of the MMR, they have been considered from an analytical perspective on account of the improving suburban train connectivity over the last decade. Other than some industrial setup in locations such as Vasai and Palghar, there is no employment driver in this zone. National Highway (NH) 8 lends road connectivity to Mumbai, while the Western Line of the Mumbai Suburban Railway lends the MRTS connectivity. However, the daily commute to employment hubs via road is not a feasible option due to the distance and time involved and hence, the MRTS connectivity is the only driver in this zone.
After long being considered a poor cousin of Mumbai’s suburbs, Thane is now earning a reputation for quality residential developments on the back of improving physical and social infrastructure. Ghodbunder Road has developed as an arterial road connecting the eastern and western express highways. The Thane MIDC is the oldest of over 200 industrial development corporations (IDCs) in the state. However, with manufacturing activities fading in the urban centres, this is no longer the biggest driver in the region. The employment hubs in Mumbai are the primary employment driver. Residential properties in localities such as Naupada, Panchpakhadi, along the Eastern Express Highway (EEH) and Pokhran Road No. 2 are sought after and command relatively higher prices than the rest of the market.
Peripheral Central Suburbs:
This zone extends to localities such as Bhiwandi, Kalyan, Kasara and Karjat. From the real estate development perspective, the most critical factor is connectivity, primarily through the suburban railway network. While these distant suburbs provide affordable housing options, they are not self- sustainable with respect to employment opportunities. With the absence of employment hubs in this zone, residents have to travel to employment hubs in Mumbai, and are thus dependent on the railway network.
Developed as a planned satellite city of Mumbai, this zone is emerging as a self-sustained real estate market on account of the presence of employment opportunities, primarily in the IT/ITeS sector. While CBD Belapur has been planned as an office development hub, the other significant office micro- markets are Vashi and Thane-Belapur Road. This zone has several options for quality education and retail, with Vashi and Palm Beach Road forming the most prominent micro-market and commanding the highest property prices in this zone. Connectivity is mainly through the suburban rail network, which also connects this zone with the island city and the Central Suburbs. Road connectivity is supported by Thane-Belapur Road and Palm Beach Road.