What Is Penthouse: Meaning, Advantages & Disadvantages

‘Whoever wishes and works hard for luxury and comfort surely gets it,’ is a very common saying in our society. Everyone across the world looks for comfortable and sophisticated living places that match their lifestyle, budget, and requirements. Along that very list comes Penthouse! Penthouses are a fabulous choice of real-estate that are usually on the costlier side among other properties present in the building but justify that amount with the quality of the architecture and amenities. 

This particular article describes the penthouse and its facilities, among other things, in a brief manner. Give the article a proper read to get good knowledge about it all in your hands.

What is a Penthouse?

A penthouse is a type of real-estate that is usually located at the top of a building, be it 7-storey or 31-storey. This type of property gains popularity because of its sheer classiness, chicness, and luxury. They’re a bit pricey among other properties or apartments available in the building, but they serve their owner well because of the top-notch quality of the infrastructure and facilities.

Penthouse Meaning in Real Estate

Developers became acquainted with the term’s original definition when the idea of a penthouse initially gained popularity. Later, as developers realised they could make more money with the penthouse concept, the term ‘penthouse’ was also adopted to describe a luxurious apartment on a different floor.

Since privacy and space were becoming increasingly difficult to come by due to population growth, the idea of a penthouse first became popular in major international business districts. Developers began adding penthouses to apartment buildings’ top floors in response to demand, and they began charging a premium for these residences. Developers began making alterations to the building’s construction as demand transformed to provide room for more penthouses that can be made anywhere in the structure. A structure with numerous penthouses might be constructed in tiers, much like, for example, a wedding cake.

In recent years, developers have used the term ‘penthouse’ even more liberally to describe privileged homes in housing developments that have more luxurious characteristics than the other units due to their advantageous location and amenities.

A penthouse market might be considered a submarket of the luxury home segment, which would also be accurate to say. Buyers in this segment seek out the nicest flat within a large development and are frequently willing to pay a premium in order to obtain such an opulent property. They cherish solitude and individuality and crave both.

Nevertheless, as penthouses are uncommon in India, developers like to use the traditional term when marketing the product. In India, a penthouse is essentially a penthouse in the conventional sense.

Facilities Offered in a Penthouse

Penthouses are associated with a prestige statement for the owner in addition to the remarkable comfort they provide due to the premium amenities they typically contain. Due to the attached sense of exclusivity, the expensive price tag for these housing properties functions more as a selling factor than a barrier. More importantly, they are valued at a high level comparable to that of large, successful, standalone properties.

At the turn of the century, there was a dramatic increase in the number of wealthy people, which led to a jump in both the supply and demand of penthouses in the Indian housing market. Despite the fact that they are becoming more popular in India’s luxury market, purchasers are still very unclear about what exactly a penthouse is. How do penthouses differ from other units within the same building, and what are they used for?

Penthouses are typically offered to the elite and affluent with a sales pitch that accentuates the best amenities and conveniences available, including luxurious interior fittings, cutting-edge control systems, and aesthetically beautiful décor. But because real estate is essentially a matter of space, every effort is made to furnish not only a sizable property but also one that appears opulent. For this reason, a penthouse would possess an owner-only open patio. A penthouse’s roof is also considerably higher than that of a conventional flat. More significantly, a penthouse does indeed have a unique floor design that gives it direct access to facilities like the gym, swimming pools, etc. through private elevators.

According to Amit Modi, director of ABA Corp. and incoming president of CREDAI-Western UP, ‘These units are specifically designed to cater to particular types of consumers who are willing to pay premium prices for obtaining that ultra-luxury space and the state-of-the-art features associated with it.’

Penthouse Target Segment

The target market is a key consideration for developers because rarity and status symbols are associated with penthouses in India. Penthouses are typically preferred by celebrities, particularly in Mumbai, the financial hub of India and the city of Bollywood’s wealthiest stars and top athletes. They are favoured by anyone with sufficient purchasing power, including igh-net-worth executives, businesspeople, non-resident Indians (NRIs), h etc.

Benefits of Penthouse

If you’ve got a grip on the essence of a penthouse, then you must think about why you would sort your choice of house as a penthouse. Then, for your convenience, some of the penthouse benefits are compiled below:

• Unobstructed panoramic vistas
• Towering ceilings
• Increased seclusion and confidentiality
• Numerous facilities are at your disposal.
• Additional rooftop or balcony area, enhanced natural illumination and airflow
• Reduced noise levels

Concerns with Penthouse

Penthouses have a higher heat exposure compared to other apartments in the property. As a result, in a warm city, the interior of the unit can become hotter, raising the need for air conditioning systems. In cities with heavy rainfall, seepage is also a possibility. Furthermore, if the owner wishes to rent out the flat, the higher cost may restrict the kind of tenants available, reducing the rental yield. In areas of India where there is a significant demand for rental apartments and flats, this is especially true when you possess a penthouse.

When purchasing a penthouse, consider all factors, including local demand-supply dynamics and past price patterns. It may be difficult to resell these properties since they require significant investments. Making a decision might be aided by speaking with a local broker about these concerns and the benefits of the penthouses.

Price of Penthouses in India

Different penthouse costs can be found in various Indian cities. Depending on the location, penthouses in Mumbai can cost as little as 20 crores and as much as 100 crores. In the region surrounding the national capital (NCR), purchasers can locate upscale penthouses in Gurugram as well. Penthouse prices in this area might likewise reach several crores. Penthouses are very popular in Bangalore and Pune, where a similar tendency may be noticed. However, the budget range for penthouses in Noida and Greater Noida Extension is between INR 6 and 12 crores.

Buyers of penthouses ought to additionally be aware that each unit is unique in its own right and that comparing the cost per square foot of several properties may not be accurate because each unit is the best among equals.

Don’t miss It!

Location Charges on Penthouses

Due to the uniqueness they enjoy relative to other apartments in respect of the outlook and elevation, penthouses in residential properties are subject to preferential location costs (PLC). PLC is not a fixed fee and differs from builder to builder, unlike stamp duty, registration fees, or GST on real estate. While buying a home, PLC may add an extra INR 50 to INR 100 per square foot, but it may be considerably higher for penthouses.

Vastu Tips for Penthouse Construction

Today’s buyers are very concerned about a home’s Vastu compliance. Penthouse buildings must also adhere to all basic Vastu principles. To develop a penthouse adequately equipped Vastu-wise, current experts also provide a few more tips. According to Vastu experts, the directions of the west and south are ideal for the development of the unit, while the directions of the north or east must be avoided. In another sense, penthouses should be built closer to the terrace’s southwest corner. As a result, you must leave room free to the north and east. An arrangement of plants or a garden would look great in the northeast corner. Also, it is advised that the west and south sides of the penthouse building be taller.

The roofs must slope north or east, as is the case with all buildings. They shouldn’t slope southward or westward.

Demand for Penthouses in India

The desire for large, independent residences has already grown significantly as a result of the coronavirus outbreak. This is clear from the fact that in February 2021, a penthouse in Ahmedabad’s otherwise affordable property market—despite a general slowdown in the housing market—was sold for INR 25 crores. The enormous penthouse was part of a luxurious property development and was situated in Bodakdev, behind the Rajpath Club and Ashok Vatika. It consisted of a large built-up area of 18,000 square feet. The same project also saw the sale of another penthouse for INR 9 crore.

In areas where massive infrastructure expansions are anticipated, there is a good chance that the desire for penthouses in India will increase in the near future. For instance, Noida, where the state government immediately declared the establishment of a film city, is likely to see an increase in demand for penthouses. According to developers, the Noida film city will draw superstars to the area, driving up demand for upscale, opulent penthouses.

‘Those who work in the film industry will seek out real estate places that can fulfil their criteria; thus, projects with unique services will reap the benefits. There will be a rise in interest for custom-built penthouses, villas, and farms in the area. According to Deepak Kapoor, director of Gulshan Homz, the wellness home idea would also experience a significant increase in demand.

FAQ’s about Penthouse