Real Estate - Strong Demand For Residential Sustaining At Underlying Pricing: Dolat Capital

"BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Dolat Capital Report.We take note of the following key trends for tier-I cities in Q1 FY24 –Pricing growth (up 11% YoY; +2% QoQ) is backed by strong underlying demand with unit sales up 13% / 14% / 45% versus YoY / two year average /pre-Covid respectively. Notably National Capital Region and Bengaluru witnessed the highest QoQ increase in average pricing.Supply is lagging demand with new launches at less than 85% of total absorption on a four quarter rolling basis. This is driving inventory overhang down by one month QoQ and six month YoY. Noida remains a clear outlier with new supply gap of ~75%. Share of luxury segment is on the rise with absorption share increasing 1% QoQ and 5% YoY. Notably ~70% of new business development by listed players is catering to the luxury / high value offering. Also, demand for products commanding an ATS of more than Rs 100 million is running strong (up 54% YoY / stable QoQ / three times pre-Covid); allaying slowdown concerns on account of introduction of reinvestment cap of Rs 100 million in residential properties from LT capital gains. Additionally, our analysis of key land transactions (~1700 acres) in CY23 pins the share of listed and large unlisted organised players at 77% versus their absorption and supply (in units) market share for FY23 / year-to-date ‘FY24 at 17% / 16% and 18% / 17% respectively; underpinning the sector consolidation theme. Reiterate 'Buy' on Oberoi Realty Ltd., DLF Ltd., Prestige Estate Projects Ltd. and Sobha Ltd..Click on the attachment to read the full report:.EMS Industry - Poised For Strong Growth: Systematix.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner."

Real Estate - Strong Demand For Residential Sustaining At Underlying Pricing: Dolat Capital

Luxury offering gaining steam.

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Luxury offering gaining steam.

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