The trend towards luxury residences is rapidly catching on with customers in Indian cities. Real estate companies are eager to capitalise on this opportunity by entering the market for luxury and ultra-luxury residences. The latest entrant in this segment, Navanaami Projects from Hyderabad, aims to capture its market share.
Founded in 2005 by first-generation entrepreneur G Venkat Naveen Gadde, Managing Director, Navanaami is redefining the real estate landscape in Hyderabad. It is primarily self-funded, with the organisation backing its projects and operations through private funds and financial institutions. Since its inception, it has gone from strength to strength, completing 10 projects worth over Rs1,000 crores, spanning over one million sq ft of developed area. Navanaami’s latest luxury project, Megaleio, was recently unveiled in Hyderabad.
“The launch of Megaleio is a dream come true for all of us. At Navanaami, it is our commitment to push the boundaries of design and innovation. Megaleio represents a harmonious convergence of design, sustainability, and uncompromising luxury. As we work towards making our dream a tangible reality, we are proud to share that Megaleio will stand as a celebration of Hyderabad’s rich heritage and a bold statement of its aspirations for the future. We invite the world to experience a new paradigm of living, where the boundaries of imagination are pushed, and every moment is a celebration of the extraordinary,” said Gadde at the unveiling ceremony.
Expansion mode
The project is ideally located just 20 minutes from Rajiv Gandhi International Airport and 15 minutes from the Financial District. Spread over 4.1 acres, Megaleio will be surrounded by 1,200 acres of greenery and in the vicinity of the protected waterbodies Himayat Sagar and Osman Sagar. The two towers comprise a total of 50 floors and 150 residences, offering customers three variants: 11,111 sq ft, 9,999 sq ft, and 8,888 sq ft. According to company officials, they have already sold 20 per cent of the units, mainly to high net-worth individuals (HNWIs) and non-resident Indians (NRIs). The Knight Frank Wealth Report 2024 indicates that the number of Indian ultra-high-net-worth individuals is expected to increase from 13,263 in 2023 to as high as 19,908 by 2028, representing a 50.1 per cent growth. The ultra-wealthy population in Hyderabad is expected to increase from 467 to 728 by 2026.
“With Megaleio, Navanaami will be redefining the city skyline. Megaleio was envisioned to build a community where people choose to stay and experience a holistic and fulfilling living experience,” explains Krishna Kanth Kothari, Director, Navanaami. The company also plans to expand its operations to other cities such as Bhubaneswar and Raipur. Cities like Hyderabad are showing accelerated growth in this segment. According to CBRE South Asia’s report ‘India Market Monitor Q1 2024’, luxury homes priced at over Rs4 crore recorded a 10 per cent year-on-year growth in January-March 2024 across the top seven cities, including Hyderabad.
Another report from Cushman and Wakefield on residential real estate indicates that the luxury segment captured an 18 per cent share of the new supply during Q1 2024. The market share in the high-end and luxury category continues to rise and has reached almost 50 per cent in Q1-2024, following the trend observed in metro and tier cities. Consumer preference is now shifting towards projects offering premium amenities in the competitive ultra-luxury residences market.
Apart from Navanaami, several established real estate companies are active in luxury projects. Bengaluru-based Prestige Group has an upcoming project in South Mumbai’s posh Worli area; M3M Group launched the ‘M3M Altitude’ project on Golf Course Extension Road, Gurgaon; DLF is planning to launch super-luxury projects in Gurugram and Goa; and Birla Estates recently launched Silas at Birla Niyaara in Mumbai.
There is huge potential in the luxury homes segment. With demand from NRIs and HNWIs, the real estate sector is set to play an important role in creating further growth opportunities in this segment.