Guest Blog- Restricted New Supply Helps Noida & Greater Noida Shed Unsold Stock by 12%
Amidst restricted new supply in Noida and Greater Noida in 2020, unsold housing stock there reduced by as much as 12% in the year – from 64,010 units as on 2019-end to nearly 56,620 units as on 2020-end. In contrast, Gurgaon saw its unsold stock increase by 7% in the same period, to approx. 61,880 units as of 2020-end.
From a new launch perspective, the whole of NCR saw a total of approx. 18,540 units launched in 2020, of which Noida and Greater Noida collectively accounted for a mere 15% share of approx. 2,800 units. While Gurgaon saw a new supply of nearly 11,180 units during the year – denoting a significant 60% overall share.
Interestingly, Faridabad saw more new housing units launched in the year (approx. 3,050 units) in comparison to both Noida and Greater Noida. Ghaziabad saw a housing supply of just <500 units in 2020 while Delhi saw absolutely no new launches in 2020.
Meanwhile, housing sales in the entire NCR stood at over 23,220 units in 2020. Of this, Noida and Greater Noida together comprised a 44% share of approx. 10,190 units, while sales in Gurgaon stood at 7,240 units – nearly a 31% share.
| City | 2019 | 2020 | ||
| Supply | Absorption | Supply | Absorption | |
| Gurgaon | 19,350 | 13,240 | 11,180 | 7,240 |
| Noida | 2,950 | 6,620 | 980 | 3,240 |
| Greater Noida | 4,090 | 15,150 | 1,820 | 6,950 |
| Ghaziabad | 2,430 | 7,860 | 500 | 3,780 |
| Faridabad | 2,860 | 1,630 | 3,050 | 970 |
| Delhi | 2,260 | 620 | 0 | 350 |
| Bhiwadi | 1,340 | 1,790 | 1,010 | 690 |
| Total | 35,280 | 46,910 | 18,540 | 23,220 |
Source: ANAROCK Research
Santhosh Kumar, Vice Chairman – ANAROCK Property Consultants said, “COVID-19 impacted both new launches and housing sales in all the top cities, including NCR. However, data trends clearly indicate the caution with which developers in Noida and Greater Noida applied in terms of new launches. These two markets previously had a lot of unsold stock and developers’ focus is now primarily on completing and selling previously launched projects. A reduction of by over 12% unsold stock in one year is remarkable, and indicates that developers’ offers and discounts bore fruit in this period.”
Meanwhile, luxury housing in NCR also embarked on a more gradual recovery.
Luxury Housing in NCR
As per ANAROCK research, NCR in 2020 saw total housing sales of more than 23,220 units of which nearly 4% was in the luxury segment priced >INR 1.5 crore onwards. Back in 2019, the share was just 3%.
- Gurgaon saw housing sales of approx. 7,240 units in the entire 2020 of which luxury sales comprised 5% share.
- Greater Noida saw housing sales of approx. 6,950 units in 2020 of which luxury segment consisted of just 2% share.
- Noida witnessed housing sales of approx. 3,240 units in 2020 of which luxury comprised 9% share.
- Ghaziabad saw housing sales of 3,780 units in 2020 of which luxury share was just 1%.
- Faridabad too saw limited sales in the luxury segment. Of the total sales of 970 units in 2020 luxury comprised just 1% share.
About the author- Santhosh Kumar, Vice Chairman – ANAROCK Property Consultants