The coastal road project in Mumbai is not only a game-changer for transportation but also a catalyst for the city's real estate market. By reducing travel time between Nariman Point and Kandivali from over 2 hours to less than 40 minutes, this ambitious infrastructure endeavor is set to rejuvenate the city's business hubs, drive residential demand in key submarkets, and potentially bridge the residential price gap between different areas.
The first phase of the project is a 10.58-km stretch connecting Marine Drive to Worli and will serve as a crucial link between the traditional CBD submarket and the SBD Central (Lower Parel, Worli) submarkets. Over time, the traditionally established CBD in Mumbai lost its appeal due to a lack of quality supply and connectivity challenges, causing business activity to shift towards the North. However, recent years have witnessed a reversal of this trend, with the front office market activity gradually moving towards South Central Mumbai. The Coastal Road presents a unique opportunity for investors and landlords to revitalize older buildings through retrofitting, restoring their relevance and attracting businesses once again. With improved road connectivity and the availability of quality supply, the erstwhile CBD has the potential to regain its previous allure as a prime office hub.
Additionally, Phase 1 of the project also has the potential to amplify residential activity in South Central Mumbai, further narrowing the price differential observed across the southern and central submarkets.