The real estate market in Kolkata has shrunk in the first half of 2025.

A report released by real estate consultant Anarock, which was the transactional adviser in the US major Blackrock’s acquisition of the South City Mall recently, stated Kolkata witnessed a 10 per cent decline in the second quarter from April onwards from the Q1.

“Kolkata added approximately 2,505 units in Q2 2025, a decrease of 54 per cent over Q1 2025,” the report says.

The Kolkata trend is in sync with the situation of the real estate sector nationwide where sales have dipped by 20 per cent. Chennai is the only market to have seen a 40 per cent jump in sales among all the major cities in Q2 compared to Q1.

About 48 per cent of the new flats available in Kolkata in Q2 were in the mid segment, INR 40 lakh – 80 lakh.

“Kolkata saw housing sales decrease by 10% in the quarter against Q1 2025, with approx. 3,525 units sold in Q2 2025. Annually, the city saw sales decline by 23%,” said the report.

The data released by Anarock for the seven major cities in India, estimates an annual 20 per cent decline in housing sales. Between April and June this year, across the seven major cities 96,285 units were sold, a sharp decline from the corresponding period in the previous year, which was 1,20,335 units.

Last August, Kolkata witnessed a 50 per cent year-on-year growth and a 54 per cent hike on a month-on-month basis in apartment registrations in the Kolkata Metropolitan Region. A report by the real estate consultancy firm Knight Frank 5,410 apartments were registered in August 2024.

Sushil Mohta, the chairman of Merlin Group and president Credai Bengal is confident the findings in Anarock’s 2025 Q2 report is temporary.

“Real estate is not a factory-line production. There are several factors involved like the land has to be ready, the developer has to get the plan approved,” Mohta told The Telegraph Online.

Mohta said the years immediately after Covid-19 five years ago had seen a jump in the launch of new projects. “Our group launches three-four new projects every year,” he said.

The dip in sales in this quarter, Mohta believes, is a matter of time.

“This is a cyclic thing. This year overall sales may not be as robust as they were last year. Next year we expect the market to rebound,” he said.