The rise has been sudden both at the premium end of the market and the deep suburbs, suggesting the return of speculators and investors to the property market, the DNA has reported.

According to the report, a three bedroom-hall-kitchen (BHK) apartment at upmarket Warden Road was recently sold at Rs 93,000 a sq ft (built up rate) when it was quoting at just Rs 50,000 in early 2009. Apartments (mostly owned by investors) in Beaumonde, a building by Sheth Developers at Prabhadevi, are now quoted at approximately Rs 50,000 a sq ft as against Rs 35,000 and above in 2008. Apartments at Planet Godrej, developed by Godrej Properties at Mahalaxmi, are being quoted at approximately Rs 27,000 a sq ft, close to the peak rate of Rs 30,000 a sq ft quoted in 2008. Prices in 2008-2009 had dropped to almost Rs16,000 a sq ft.

Raheja Vivaria at Mahalaxmi is now quoted at Rs 26,000 a sq ft, close to its high of Rs 30,000 a sq ft in 2008. It had dropped to Rs 16,000 a sq ft at the trough earlier in 2009. Similar was the case with Ashoka Towers at Lalbaug which is now quoting Rs 25,000 a sq ft. Prices at Cuffe Parade, Nariman Point and Altamount Road, which had dropped to almost Rs 40,000 a sq ft, are back to their earlier rates between Rs 50,000 and Rs 70,000.

Source: Realty Plus Real estate bubble building up again in Mumbai