In only three days, wealthy Indians snap up $865 million luxury homes in Gurugram
Even before building began, the largest real estate developer in India sold every one of the opulent apartments offered in a $865 million project close to Delhi.
In only three days, DLF Ltd. sold 1,113 opulent homes in Gurugram, with 25% of the buyers being non-resident Indians. In an exchange filing, the developer stated that all seven towers of the DLF Privana South project’s four-bedroom and penthouse flats were sold out.
Scattered across 116 acres, the residential complex is located in the satellite city that is home to American Express and Google, among other major corporations.
Over the last year, DLF shares have more than doubled to their highest level since 2008, surpassing the benchmark BSE Sensex index’s 18% increase.
As the wealthy in one of the world’s fastest-growing major economies splurge on everything from luxury vehicles to pricy residences, expensive flats have been flying off the shelves in India. In important cities like Delhi, Mumbai, Bengaluru, and Hyderabad, builders are introducing more of these projects due to the apparently endless demand for luxury flats.
According to Gulam Zia, senior executive director of real estate broker and consultancy Knight Frank, the luxury boom will continue for a few more years. “It is not just the top end of the pyramid but also the upper middle class buying these projects.”
Despite taking steps to deter bulk reservations, such as limiting allotments to one unit per buyer and increasing the booking price to five times the industry standard, DLF was nevertheless able to sell the flats quickly.
Similar to this year, DLF sold over 1,100 apartments for almost $1 billion in only three days. Another renowned developer, Godrej Properties Ltd., sold out luxurious residences in projects close to the capital valued at over $500 million and revealed intentions to build more.
