The increased share of the top listed players over the years provides a roadmap of homebuyers’ evolving preferences
The overall housing sales share of the top eight listed realty players is increasing inexorably y-o-y. As per the latest ANAROCK data, of the total sales made in the first nine months of 20-2021 (approx. 93,140 units) across the top seven cities, the top eight listed players’ share stood at 22 per cent while non-listed leading players’ share was 18 per cent. Non-branded developers accounted for a 60 per cent share.
The top eight listed developers considered are Brigade Enterprises, Godrej Properties, Kolte-Patil, Mahindra Lifespaces, Oberoi Realty, Prestige Estates, Puravankara, and Sobha.
In contrast, of the total 2.03 lakh units sold in the top seven cities in 2018-2017, the share of these top eight listed players was the lowest at about 6 per cent while that of non-listed leading players stood at 11 per cent and others (non-branded) had a whopping 83 per cent share.
The increased share of these top eight listed players over the years provides a clear roadmap of homebuyers’ evolving preferences.
Listed Developers’ Sales Trend
The top eight listed players collectively sold approx. 21.23 mn sq. ft. of residential space in the first nine months of 2020-21. Complete data for the fourth quarter 2020-2021 is still awaited. Breaking down the data quarterly reveals that the third quarter of 2020-21 was one of the best ever quarters for these listed players with the total area sold increasing by 77 per cent against the preceding quarter.
If we consider total sales area data of these players as per their company presentations, they together sold as much as 21.23 mn sq. ft area in the first three quarters of the financial year 2021 (Apr-Dec. 2020 period) despite the first wave of Covid-19 – rising by 2 per cent against the corresponding period in fiscal year 2020, when 20.88 mn sq. ft were sold.
Among the listed players, Godrej Properties sold the maximum in terms of area (approx. 6.64 mn sq. ft) in this period, followed by Bengaluru-based Prestige Estates with approx. 5.04 mn sq. ft space.
The top eight listed players’ sales share increased to 22 per cent from April to December 2020 – a major increase from 6 per cent in 2017. Even non-listed leading developers have ramped up their share from 11 per cent in 2016-2017 to 18 per cent now. It is a major and ongoing realignment in residential real estate demand and supply.
Top leading developers considered include Aparna Constructions and Estates, Assetz Property, ATS Green, Casagrand Builders, Kalpataru, Lodha Group, My Home Constructions, Piramal Realty, Runwal Group, Salarpuria Sattva, Shriram Properties, Signature Global, Sunteck Realty, TATA Housing Development Co., The Shapoorji Pallonji Group, The Wadhwa Group, VTP Realty and Lodha Group (now known as Macrotech Developers Ltd. which was listed in April 2021).
Anuj Puri, Chairman – ANAROCK Property Consultants says, “After the roll-out of structural policies including RERA and GST, organized and branded players’ dominance has risen exponentially. Homebuyer demand has tilted towards branded products. Both listed and leading developers have been catering to this new demand with projects for the affordable and mid-income segments, rather than playing only to the luxury homes gallery. This demand-supply equilibrium has helped keep the sales momentum going during the pandemic when housing demand rose significantly.”