The Changing Dynamics Of Luxury Real Estate
Branded luxurious interiors, in-house spas and Jacuzzis, concierge services, and hotel tie-ups, luxury living is reaching new heights today. Gardens turned into a natural ecosystem; kitchens loaded with latest gadgets and appliances; expansive pools; and latest-in-technology entertainment zones, realtors today are putting together everything to match up with the demand of ever-evolving luxury consumer base and thus, giving the luxury housing market a boost.
According to the Asia-Pacific Wealth Report 2016, India stands fourth after Japan, China and Australia for housing the largest population of millionaires in the Asia-Pacific region. Demand for luxury apartments appears to be primarily driven by investments made by the high-net-worth individuals (HNIs) and ultra-high-net-worth individuals (UHNIs). This class of people is well-travelled and have witnessed a high-end lifestyle offered across countries. They are not willing to settle for less and are keen to get facilities and technological embellishments imported from across the globe. The luxury segment is flourishing so much that realtors have to keep up with it and identify and innovate regularly to keep up with the market.
There is more to luxury
Gone are days when luxury meant lavish homes with upmarket furnishings and ultra-modern luxurious amenities. Today, the luxury list includes 'smart homes' with not just high-end amenities but also technologically evolved security. With the increase in technological advancement, luxury homebuyers are also inclined to improve their lifestyle quotient; they are not satisfied with just a fancy address, they want more and they aren't ready to compromise.
Where are the super rich headed?
One of the cities that houses the maximum share of luxury units (priced above Rs 2 crore) in Delhi-NCR is Gurgaon. The millennium city captured more than half of the supply in the luxury segment during the first quarter of 2016. Moreover, with most of the Fortune 500 companies headquartered in Gurgaon, it is today the most favoured place for such projects.
The luxury market in India driven by a limited number of super rich in the cities which may not be the traditional metro markets but are key growth drivers of the luxury market in India.
Luxury apartments are indeed making an impact on the buying patterns of a certain class of buyers. The reason for such a change is that people belonging to this stratum of society have had an exposure to the best of living standards and they don't mind paying a heavy sum to be able to get them.
Pankaj Bansal is the director of M3M Group. A high-end developer M3M Group is one of the leading providers of luxury projects in Gurgaon. The Group's flagship project is M3M Golfestate, which is claimed to be India's first in-city golf-resort- themed lifestyle destination.