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Raj Kapoor’s bungalow in Chembur to Sunil Dutt’s bungalow in Pali Hills: Celebrity homes big draw for buyers
People pay millions for any article once owned by celebrities. Real estate gets a bigger rub of star power, as houses owned by film stars have extra appeal for buyers. No wonder then, developers are lapping up a fair share of Bollywood bungalows and converting them into super luxury residential projects.
In February, Godrej Properties bought legendary actor Raj Kapoor’s bungalow in Chembur, Mumbai, estimated at Rs 100 crore. In September, superstar Dev Anand’s bungalow in Juhu was reportedly sold for Rs 350-400 crore to be converted into a 22-storey tower, while actor Dilip Kumar’s Pali Hill bungalow estimated around Rs 350 crore will also be converted into a luxury residential project.
In 2014, Rajesh Khanna’s Carter Road bungalow was sold for over Rs 90 crore, while Sunil Dutt’s bungalow in Pali Hills, Bandra, was converted into Imperial Heights apartments in 2002, where his son Sanjay Dutt owns four apartments worth Rs 100 crore.
K Raheja Corp Homes is redeveloping BR House, the iconic bungalow of veteran filmmaker BR Chopra, on an approximately 1-acre land parcel, re-christened as Maestro, in Juhu, Mumbai.
While Raheja bought the bungalow in May last year, construction started in May. The project will feature limited-edition residences flanked by views of the Juhu aerodrome on one side and Arabian Sea on the other.
“Of late, several properties owned by celebrities located in prime areas such as Bandra, Juhu and Khar have been sold to developers who then redevelop them into high-rise premium residences,” said Anuj Puri, chairman, Anarock Group. “Usually, celebs sell their properties at a premium price and also take a share in the new building,” Puri added.
The redeveloped high-rises sell at premium prices, ranging from Rs 70,000 to Rs 80,000 per sq ft. Given that these bungalows have extra appeal with buyers (the thought of living in so-called celebrity homes/ land), developers are able to sell them pretty quickly. Moreover, as new real estate development in these areas is scarce and any new complexes coming up are sold in no time. Clients for such real estate, in areas like Bandra, Worli, Pali Hills and Khar, include top industrialists, CXOs or those in the entertainment industry.
“Buying a celebrity residence allows buyers to feel a personal connection with their favourite star or be part of the cultural history associated with the property and owning a piece of that history. Such residences are good investment opportunities too,” said Ritesh Mehta, senior director and head—west & north, residential services, India, JLL.
“Homes with a legacy are a statement and the prestige of owning such a home extends beyond the physical structure. Maestro’s strategic location is complemented by connectivity with the forthcoming Bandra-Versova sea connection project,” said Ramesh Ranganathan, CEO, K Raheja Corp Homes.
“Few such properties are individually owned. Most are passed on as inheritance and are therefore held between several members of a family, or are in a trust structure. This requires some amount of expertise to ensure clear and smooth title transfers and streamlining of the transaction. These locations command a premium, making developers keen to secure such deals in order to enhance their portfolio with luxury and premium residential projects,” added Ashwin Chadha, CEO, India Sotheby’s International Realty.
The joint luxury housing report by CRE Matrix & India Sotheby’s International Realty highlights that the sales of luxury homes worth Rs 10 crore and more in Mumbai rose by almost 50% to Rs 11,400 crore during January-June 2023, along with overall growth in the residential property market. The study showcases an 83% y-o-y surge in primary sales activity. Sales increased on account of higher demand from industrialists, Bollywood celebrities, and high-salaried employees, the two real estate consultant companies said. The momentum in luxury home sales continued even as interest rates on home loans increased.
Source: Financial Express