Video summary

Why Mumbai Buyers Are Chasing THANE Right Now?! | TKMP #107

Main summary

Key takeaways

Business

Market shift: Thane becoming “metro city in itself” (vs Mumbai extension)

Manisha Properties’ CEO Rajesh Gadgil argues that Thane has a distinct identity and is becoming increasingly self-sufficient due to:

  • High-rise growth + robust infrastructure

  • Centrality within MMRD (Mumbai Metropolitan Region Development Authority) Thane is positioned as a nucleus/center point.

  • Better liveability, including:

    • Lakes and implied environmental advantages
    • No water scarcity
    • Growth signals through branded schools and leisure/amenities
  • A service/IT ecosystem that attracts talent across India, driving:
    • More night life and hotels
    • A more multicultural resident base

Regional positioning & demand drivers

Key demand factors highlighted:

  • Mumbai work affordability Thane offers a more affordable residence option while keeping commuting feasible.

  • Employment creation from the service sector Replacing earlier manufacturing dominance—described as an “internet phenomenon” where service growth increases local jobs.

  • Infrastructure-led attractiveness

    • Development aligns with rail lines and sub-micro geographies.
    • Thane is described as growing “horizontally” rather than strictly parallel to tracks, with development across short station-to-station distances.

Real estate “go-to-market” view: where buyers look, what’s being built, and price bands

1) Old Thane (older societies near station)

Buyer preference split

  • Older Thane residents prefer Old Thane
  • Many others still choose proximity to the station, even after retirement

Housing profile

  • Mostly older societies (70–90s era)
  • More mid-rise stock (with some mention of G+?)
  • Redevelopment era underway

Supply/demand characteristics

  • Redevelopment
  • Easy connectivity to the highway
  • Nearby wholesale/vegetable markets
  • These factors support price strength

Price point examples

  • ~₹25,000/sq ft for Naupada surrounding areas
  • ~₹22k–₹21k/sq ft for other nearby areas
  • ~₹18k/sq ft in government-notified areas (narrower streets/parking constraints; limited discount vs main corridors)

2) Pokhran Road 2 / Vasant Vihar (premium “landmark” location)

Why it’s desirable

  • Nature/hills and proximity to the Sanjay Gandhi National Park environment
  • Strong layouts with maintained gardens/open spaces

Buyer profile

  • Fewer train-dependent residents; more car-based premium lifestyle
  • Brand ecosystem presence (examples mentioned):
    • Hiranandani, Oberoi, Tata, Lodha, Godrej (and related)
  • High-end retail presence

Product example & positioning

  • Described as one of the most expensive products: ~₹12 crore

Premium spectrum claim

  • Thane allegedly spans from ~₹40 lakh (lowest) to ~₹12 crore (highest)

3) Industrial-belt conversion to branded residential (Balaka / chemicals → residential)

Case narrative

  • Old chemical/industrial land bank (historical brands/owners referenced: Clariant, Piramal, etc.) moved out
  • Land converted to residential

Brand concentration

  • Developers mentioned include:
    • Godrej, Lodha, Piramal, Dosti Realty, Karpataru, etc.

Project classification (explicit)

  • Ultra premium: “more than ₹2 crore” (context clearly indicates the “ultra premium” bracket; >₹2 crore)

  • Premium: around ₹1 crore, depending on execution

Sales dynamic

  • Brand-led developments create a “high-end mall feel” through aligned retail/brand presence

4) Gabdan / Ghodbandar corridor and “new locations” expansion

Corridor logic

  • Growth discussed in segments:
    • Up to Manpada treated as one submarket
    • Beyond Manpada toward a Ghodbandar / Kapurbawdi-style corridor as another

Price examples (explicit-ish)

  • On/near Gabdan/Ghodbandar: ₹4–5 crore
  • Other pockets: examples of ~₹40 lakh products (suggesting a wider availability range)

Commercial & retail strategy: how to value investment opportunities

Commercial rental yield logic and implied “investment math”

Rent guidance

  • Commercial rent often ₹100–₹150 (likely per sq ft per month; unit not fully clear)
  • If furnished: up to ₹150

Yield framework mentioned

  • Residential: investor gets roughly 2–2.5x
  • Commercial: roughly 6x
  • Higher yield elsewhere: mentions 7–8x
  • Takeaway: evaluate cashflow + appreciation, not rent alone

Retail investment recommendation tied to population-density uplift

Key lever

  • FSI increased from 1 to 1.45 (explicit) This supports vertical growth and higher density per sq km.

Why retail shops may outperform

  • Retail expands “horizontally” more slowly than residential capacity.
  • Mechanism described:
    • A building might increase from ~100 flats to ~400 flats
    • This narrows competition catchment and increases local demand

Actionable recommendation

  • Consider retail shop investment (explicit)
  • Sweet spot: small retail shops
  • Larger formats mentioned: 150–200 sq ft in fast “round” examples

Redevelopment playbook (cluster development) replacing older FSI approach

Problems with traditional redevelopment

  • Older stock had more violations / inefficient layout constraints
  • Current norms reduce redevelopment possible due to FSI utilization limits
  • Approvals and constraints like:
    • Fire brigade approvals
    • NOC constraints (truck access/shape constraints)
    • Can prevent full utilization

Framework: cluster development (explicit)

  • Form a cluster by combining nearby buildings to:
    • Unlock better plot utilization
    • Enable higher FSI consumption
    • Add amenities: gardens, swimming pool, clubhouses, parks
    • Resolve fire-safety and NOC practicalities

Process evolution mentioned

  • Redevelopment → cluster development → improved commercial/vertical offerings

Infrastructure “timeline” and execution signals (business execution emphasis)

Execution claim

  • Many projects are described as actively under work, not only “on paper”
  • Temporary traffic disruptions are framed as execution-related

Road / connectivity milestones (explicit timelines & durations)

  • Gadbandar Road metro work

    • Traffic jam due to metro work; expected improved flow after completion
    • Road described as 6-lane, with only partial lanes blocked during construction

  • Eastern Freeway extension to Thane

    • Connectivity to 40–45 km
    • After completion: minimal signal time

  • Samriddhi corridor

    • Starts inside Thane; becomes 8-lane (4 tracks each side)

  • Tunnel Thane to Borli

    • Expected travel time reduction:
      • ~15–20 minutes from Thane to Borli in 3–4 years

  • Coastal road / bypass logic

    • Planned coastal highway to prevent heavy traffic entering city roads (Gabdan/Gabunder corridor)

  • Metro expansion

    • Two metro lines:
      • Towards Kalyan
      • Towards Vasai
    • Phase 1 operational: expected in 2–4 months
    • Complete rollout: 2–3 years
    • Internal metro ring route: under construction; “entire Thane connected”

Water transport (high level)

  • Water connectivity from Vasai to Kalyan referenced as still “on paper,” with less visible progress than other projects

“Mumbai 3.0” impact (high-level execution linkage to Thane)

Boundary logic

  • Mumbai 3.0 is framed as an extension of the Naina region
  • Connected via airport + Birar–Alibag corridor within/around MMRD

Execution-linked commuting thesis

  • Travel chaining proposed:
    • Thane → Panvel ~ 1 hour
    • Eastern Freeway extension enables Thane → Atal Setu ~30 min
    • Atal Setu → New Bombay ~20 min
    • New Bombay → Mumbai 3 → ~10 min
  • Conclusion: Thane benefits because it is positioned as the MMRD nucleus, so expanding MMRD increases Thane’s demand pull

Buyer diligence & leadership advice (actionable, execution-focused)

Biggest buyer mistakes

  • Relying only on what’s listed on RERA; not checking the RERA portal properly
  • Not studying the Development Plan (DP) for the project/location area
  • Choosing based on “cashback” instead of actual value

Role of property consultant

  • Buyers should select a good consultant, not someone focused only on brokerage optimization

Decision framework for first-time buyers

  • Avoid emotional decisions; run a structured logic exercise:
    • Write your situation → problem → implications → what the home must solve
    • Use data because it’s a 7–10 year loan horizon (explicit)
    • Prefer meeting real-life needs (elders/healthcare, kids/schooling, travel/time constraints)

Key metrics / pricing figures mentioned (business-relevant KPIs)

Residential pricing

  • Naupada / surrounding: ~ ₹25,000/sq ft
  • Nearby range: ₹22k–₹21k/sq ft
  • Government-notified areas: ~ ₹18k/sq ft

Top-to-bottom price spectrum

  • Lowest: ~₹40 lakh
  • Highest: ~₹12 crore

Policy / infra metrics

  • FSI: increased from 1 to 1.45
  • Metro timelines
    • Phase 1: 2–4 months
    • Full routes: 2–3 years
  • Tunnel Thane → Borli: 3–4 years for ~15–20 min travel time

Concrete “investment offers” (explicit recommendations)

  • Retail shop investment

    • Sweet spot size: 150–200 sq ft
    • Rationale: FSI-driven density rise + retail demand growth with limited horizontal expansion

  • Residential buy logic

    • Use station proximity + highway access + neighborhood desirability as core selection criteria (framed through Old Thane vs premium corridors)

Presenters / sources

  • Rajesh Gadgil — Founder and CEO, Manisha Properties (main guest/expert)
  • Kishan Bhai — Host, Kishan Mani podcast

Original video