It is hard to provide any definitive summary of Lutyens Delhi or the LBZ (Lutyens Bungalow Zone) which is possibly the costliest, most coveted, and most tranquil piece of real estate in India. But here’s taking an initial look!
Edwin Lutyens, the famous British architect, is inextricably intertwined with Indian history, culture, and architecture over years. He is famous for having lent his silken touch to New Delhi’s most exclusive zone. Lutyens is known for building the Rashtrapati Bhavan, India Gate, bungalows within the President’s Estate, and the Baroda and Hyderabad Palaces at India Gate among other creations. His style of architecture has seeped into the entire area that covers approximately 28 square kilometers as per estimates. LBZ has sprawling bungalows with plush and verdant lawns, unmatched greenery, wide avenues, and top-class security, considering that the Indian President, Prime Minister, Union Minister, leading bureaucrats, and India’s wealthiest business families live here.
LBZ has always had strict regulations prohibiting the construction of high-rises, making it unaffordable and inaccessible for other citizens. The real estate rates in the area are simply unbelievable. To put it into context, as early as 2014, the Essel Group from Mumbai purchased a property spanning 2.8 acres here for a whopping Rs. 304 crores! The population density of the LBZ is a meager 14-15 individuals per acre. Now imagine the sheer space, privacy, and exclusivity in a bustling Capital city where close to 1500+ people live on an acre of land!
Whenever any ageing bungalow comes up for reconstruction, the height of the original structure has to be maintained. Bungalows in the area usually go up to 6 metres in terms of height. In fact, there are only a few private bungalows available in the LBZ and they usually sell for astronomical sums of money!
Residential Real Estate in LBZ – Mapping Some Trends
- 2021 witnessed a lavish bungalow in the LBZ snapped up for Rs. 170 crores by the owner of a well-known contract manufacturer for electronics. This was possibly the costliest residential deal in New Delhi after the nationwide lockdown at Rs. 1.5 lakh per sq ft.
- The LBZ witnessed a flurry of deals in the recent past after the lockdown, with almost 20 ultra-prime properties being listed for sale.
- The LBZ has 600 private bungalows and 3,000 Government properties in total over 2,800 hectares.
- Golf Links is one of the locations with some options along with Amrita Shergill Marg and some other zones. Prices are also high in Sunder Nagar which is one of the most coveted residential areas in the National Capital.
- Buying or selling homes is a lengthy procedure in the LBZ, requiring anywhere around half a year to an entire year. There are several reasons behind this, including the huge amounts involved, ban on basement construction, the limits on the number of floors and so on.
- Wealthy businessmen usually purchase or sell these properties in their company names in order to save some money on stamp duty. This is because the property is an asset transferred from a company to another in these transactions.
- Some other areas which are highly in demand include Hailey Road and even Barakhamba Road. The affluent also prefer Prithviraj Road where bungalows usually sell for Rs. 400-600 crore and upwards!
- The Managing Director & CEO at RBL Bank, Vishwavir Ahuja, has bought a bungalow in Golf Links for a whopping Rs. 80 crores sometime earlier. This 575 sq yard property was previously owned by a London-based family. The deal was concluded for Rs. 1.3 lakh per sq ft.
- 2020 saw 16 bungalows selling out in Golf Links, the highest such volume for any year in a long time.
- The pandemic led to the super-rich splurging on properties with more space and greenery.
- DLF Chairman KP Singh’s daughter Renuka Talwar set the LBZ market buzzing when she snapped up a costly property in Prithviraj Road for a whopping Rs. 435 crores!
- Anushka Singh, KP Singh’s granddaughter, also purchased a property on Prithviraj Road for a staggering Rs. 476.50 crore! It was the costliest such deal for any home in the entire National Capital Region (NCR). The bungalow covered 780 square meters in built-up area with a plot of 7,143 square meters in total. It was sold by the family of former Air Chief Marshal Pratap Chandra Lal at a rate of Rs. 6.36 lakh per square meter. The stamp duty alone was Rs. 22 crores!
- Even Paytm Founder Vijay Shekhar Sharma bought a Golf Links property sometime earlier for a handsome Rs. 82 crores.
- Another purchase that made headlines was a bungalow on Amrita Shergill Marg being sold for Rs. 220 crores to Indiabulls Group Co-Founder, Rajiv Rattan.
As can be seen, residential bungalow deals in the LBZ look set to rise with UHNWIs and HNWIs looking to splurge their money on sprawling mansions with more open spaces, greenery, and privacy as a result of the nationwide COVID-19 pandemic. With record volumes and mega deals being witnessed in the Lutyens Bungalow Zone over much of 2020 and 2021, it could well herald some more exciting developments ahead!
