DB Realty, India’s first developer to sell shares this year, declined in its trading debut in Mumbai, mirroring losses in real estate stocks.

The stock dropped as much as 12% to 412.45 rupees and traded at 414 rupees. The shares were sold at 468 rupees each earlier this month. The Bombay Stock Exchange Realty Index has fallen 10% this month.

DB Realty, builder of luxury homes priced at as much as $10m, leads builders planning to raise as much as $3.5bn in initial public offerings to build homes and offices. The Bombay Exchange’s realty index touched a seven- month low on 22 Feb amid concern India’s central bank may raise borrowing costs making it expensive to own homes.