Tipping point for realty sector: Room for double-digit growth in FY23

Price hikes, market-share gains have helped beat cost pressures, gain volumes

Multiple headwinds in the near term notwithstanding, larger listed real estate developers could deliver double-digit growth in 2022-23 (FY23), given the strong sales momentum, market-share consolidation, launch pipeline, and lower leverage.

The top 10 listed developers have highlighted this at the end of a record January-March quarter, powered by the highest-ever bookings and improving collections.

Highlighting the significant sales uptick, Rupesh Sankhe, vice-president and power analyst, Elara Securities, says the 42 per cent year-on-year (YoY) growth in 2021-22 (FY22) happened regardless of the Delta and Omicron variants of the novel coronavirus, Russia-Ukraine war-led inflation spike, and real threat of rising interest rates.

While