Strong home price growth seen across key markets: Godrej Properties

Real estate major Godrej Properties' management said in an earnings call after its second-quarter (Q2) financial results that contrary to concerns about a perceived slowdown in home sales, it has not seen any dip in home purchases across its key markets. The management cited that it has seen the highest price growth in the Delhi-National Capital Region (NCR) and Bengaluru. Similarly, there has been an upswing in prices the Mumbai Metropolitan Region (MMR), it added.

Gaurav Pandey, Managing Director (MD) and Chief Executive Officer (CEO), Godrej Properties, told investors that price growth is expected in key NCR markets such as Gurugram and Noida.  He attributed the uptick in prices in Noida to an acute crunch in the supply of land. Pune, another emerging and key market for the company, will only lag behind MMR  "by around two to three quarters".

Pandey allayed the misconceptions about a depressed market sentiment. He maintained that the demand remained strong while drawing attention to some micro-markets in major cities. Some peripheral areas in these cities could see saturation as far as price points are concerned, he added.

In the first half of financial year (FY) 2025, Godrej Properties reported a booking value of Rs 13,835 crore — nearly twice that of the same period last year. Pirojsha Godrej, the company's Executive Chairman, pointed out that the company expects to cross its booking value guidance in FY25 of Rs 20,000 crore on the back of a number of planned launches.