Bengaluru, December 30, 2022: “The real estate sector performed exceptionally well in 2022, a momentum it carried forward from 2021. The residential sector has done phenomenally well with developers registering good sales figures throughout the year, including SATTVA Group. To further establish this fact, one of the top-performing Indian cities, Bangalore, witnessed a steady upsurge in demand, in many parts of the city, particularly North Bangalore. One of our recent ventures, Sattva Aeropolis met with tremendous success, when we opened bookings in the first phase at the start of 2022. Talking about the industry at large, “Robust” would summarize the residential real estate in the past year. Despite climbing prices and loan rates, there has been a consistent demand for mid-range and premium housing in major cities. The numbers are optimistic enough in the face of a relatively steady economy: With nearly 4 lakh tier-1 units expected to be sold before the year ends, supply and absorption are rising, while the inventory overhang reduces substantially. As ready-to-occupy inventory has expanded for most players, there is also a growing demand among active home seekers, looking for an additional space of 100-150 sq. ft for workspaces in residences.
To our delight, the Bengaluru market stayed competitive for the whole of 2022; unsold inventory has fallen amidst buyers lining up for houses in the central and inner parts of the city. In Hyderabad, buyers jostled for a limited number of ready units, but we expect further activity to offset the pressure on the market. The third quarter has seen nearly 17,000 new launches, and we predict similar headwinds to uplift the region in the months ahead. Taking into account the factors as mentioned earlier, we foresee steady demand prevailing alongside resilient supply, as we step into 2023. The post-pandemic period and increase in rental rates have also elevated home ownership beyond its aspirational definition, with more people seeking long-term investments.” – Mr. Bijay Agarwal, MD, Sattva Group