Monthly Archives: June 2025

Long seen only as a fringe suburb, Thane has gradually, over the last ten years, come to be considered one of the most desirable residential locations in the Mumbai Metropolitan Region (MMR). Fronted by huge investments in infrastructure and connectivity up-gradation, the city is setting new standards in the home-buying environment with affordability, accessibility, mingled with urban convenience. Such a strategic makeover has not only elicited the attention of discerning home-buyers but has credibly increased investor and investor confidence.

What makes Thane stand out the most as a developing city is the massive leap in infrastructure. Important roads like the Eastern Express Highway, the Ghodbunder Road and the Mumbai Nashik Expressway provide connectivity in and out of Thane and to other significant regions of Mumbai. Such arterial routes have not only made intra-city and inter-city faster but also more efficient with less congestion and their positive overall commuting experience.

Road infrastructure is supported by the strong development of transport. Yet to be completed in December 2025, the Metro Lines 4 and 4A, 32.32km long between Wadala and Kasarvadavali, are under way. The lines upon commissioning will offer a much needed east west connector in the heart of Thane to facilitate quick commutation to work every day and also connect residential pockets with the main business areas. Moreover, Metro Line 5 that is being proposed will promote even further regional mobility ensuring life-saving last-mile connectivity to the hinterlands of Thane.

One such project that is going to completely transform the accessibility of the city is the Thane-Borivali twin tunnel. The tunnel will make the commute between the eastern and western Mumbai suburbs, a journey that takes more than two hours each way, cross 12 kilometres in 15 minutes, reducing the travel distance by 99 percent. It is not only an infrastructural facelift but also the initiation of new growth corridors and real estate hot spots.

Thane real estate sector is reacting vibrantly through infrastructure as the base. Prop Equity stated that Thane topped the ranking of major Indian cities in the quarterly residential sales in CY 24 Q1 with an outstanding sales figure of 26,702 units. This pace is set to be maintained, and it is projected that in the quarter April to June of 2025, there will be a 9 percent year-on-year increase in the number of home sales. Interestingly, 53 percent or 36,500 of the 70,000 housing units introduced in the last five years have already been sold, indicating high absorption rates and an increased desire of end users to purchase homes.

The housing supply in Thane has metamorphosed into mid-segment supply to much diversified, luxury and integration in township developments. With developers catering to the market demand by offering high-quality facilities and large layouts, the city is gradually being perceived as an attraction point by aspirational home buyers seeking value in the ever-limited and financially inaccessible supply in Mumbai.

New growth frontiers are being formed with strategic areas like Kolshet Road due to the large availability of land parcels and future connectivity in metro. Also, Thane is becoming more and more commercialised because of the IT parks, industrial clusters and bustling services industry which are generating enough jobs and attracting professionals to move near or within proximity of their places of work.

Populated by about 2.2 million people with an average density of more than 17,000 inhabitants per square kilometre, Thane has already attained the size of an actual urban centre. The infrastructural modernisations that are currently part and parcel of this growth are not only keeping in stride with the growth but they are moulding it into making Thane a city to look up to by creating a future city.

In other words, Thane is no longer merely an alternative to Mumbai; it now represents the option number one of a new generation of homeowners. It is ranked among the most strategically positioned cities in the urban landscape of India today due to its unmatched connectivity, futuristic infrastructure, and a robust real estate market. With such further development, Thane will continue rising to the ranks of a metropolis, and the time is ripe to invest in its bright future.

With a step forward to fuel economic growth, the Reserve Bank of India has reduced the repo rate by 50 basis points to its lowest in more than a year. The bold step by the Monetary Policy Committee is motivated by distinctive evidence of easing inflation and steady economic prospects. With headline inflation now estimated at 3.7%, revised from the previous estimate of 4%, the RBI has portrayed confidence in a sustained overlap with its medium-term inflation target of 4%, allowing it to frontload monetary easing further to foster growth.

The cut in the policy rate is set to be a big booster to the real estate sector, especially in the residential and affordable housing segments. Since lending institutions are likely to transmit the benefit of the rate reduction, potential homebuyers will be attracted to home loans, enhancing affordability and even generating a new wave of demand in urban and semi-urban markets. This comes at a crucial time when the market has reflected signs of recovery but still requires sustained momentum to fully rebound.

For the growth side of the industry, lowering financing costs will provide relief on project finance and working capital. Real estate is a capital-intensive business, and lower credit encourages faster construction schedules, easing price pressures, and initiation of new projects with greater confidence. This is particularly pertinent while the industry must absorb post-pandemic changes in buyers’ preferences, such as high demand for integrated townships and houses with versatile workspaces.

The RBI’s shift in monetary stance from ‘accommodative’ to ‘neutral’ reflects its growing confidence in macroeconomic stability. This calibrated policy signals that the central bank is now focused on sustaining long-term growth without overheating the economy. For the real estate sector, this shift enhances predictability and reduces policy uncertainty—two critical ingredients for long-term investment and planning. A stable interest rate regime also promotes institutional investment in commercial and retail real estate, where longer gestation leads to the need for stable financial conditions.

The overall economic context underlines this policy path. India’s GDP is expected to expand at 6.5% in FY25, with good growth prospects carrying through into FY26. Non-gold imports have shown double-digit growth, indicative of a pick-up in domestic demand and industrial activity. Moreover, gross foreign direct investment (FDI) increased by 14% in FY25, a favourable sign of confidence from global investors in India’s growth tale. These variables combine to fortify the macroeconomic narrative, providing a conducive ecosystem for real estate growth across verticals.

The economy’s liquidity situation is extremely accommodative, with ₹9.5 lakh crore pumped into the banking system since January-end. The copious liquidity assures that credit supply to productive segments, such as real estate, is not disrupted. With foreign exchange reserves standing at a high $691.5 billion, the RBI has more space to handle external shocks and sustain overall economic stability. Overall, the 50 bps repo rate reduction is a resolute and timely action by the RBI to support India’s growth path. For the real estate market, it heralds the beginning of a likely booming growth cycle, fuelled by reduced cost of funding, enhanced consumer sentiment, robust macro fundamentals, and a stable policy environment. The sector is now well-placed to capitalise on this trend and become a prime driver of the nation’s economic revival.