Tag Archives: Bengaluru real estate

Bengaluru is the top option for Indian non-residents looking to buy mid-range and affordable homes

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Data gathered from several consulting firms by HT Digital indicated that Bengaluru has maintained its position as the top option for non-resident Indians wishing to invest in India’s residential real estate market, particularly those seeking affordable and mid-segment homes. 

The main draws for this group of homebuyers are the city’s pleasant weather, rising property values, cosmopolitan culture, high rental yields, and a bustling commercial district. 

Though most non-resident Indians are drawn to the region for investment opportunities, the IT capital market is driven by end users regarding sales among domestic homebuyers.

According to Shalin Raina, Managing Director, Residential Services, Cushman & Wakefield, the data about NRI home purchases in Bengaluru shows that 35% of the transactions are for end-use, and 65% of the deals are for investment purposes. 

Prooptech unicorn Among its NRI clientele, NoBroker reported a  60:40 split in favor of investing. 

Developers and consultants noted that most of these purchases are the second or third additions to the portfolios owned by non-resident Indians.

“Principal Partner and Sales Director of SquareYards.com, Sharad Sharma, added that NRIs are displaying interest in senior living communities and plots, broadening their investment portfolio beyond apartments.” 

From and to where exactly? 

The US, UAE, and Singapore are the top three regions influencing demand from non-resident Indian buyers for the real estate projects developed by Bengaluru-based developers Concorde and Brigade.

NRI buyers account for 10% of our sales on average. “These sales occur either in India when the NRIs visit India or abroad during our events, or through our international team’s outreach,” says Viswa Prathap Desu, COO of Residential, Brigade Group. 

According to Saurabh Garg, co-founder and chief business officer of  NoBroker, the NRI clientele prefers to invest in reputable brand projects and high-demand rental areas, typically near IT corridors. 

He mentioned that popular areas for NRI investors were Kanakapura Road in the southern part of the city, Thanisandra in the north, and Whitefield and Sarjapur Road in East Bengaluru.

According to NoBroker data, the average price of a property currently ranges between Rs 9,000 and Rs 12,000 per square foot in these areas.

Others mentioned the proximity to the airport, the presence of Grade A developers, and the reasonably priced real estate in Hebbal and Devenahalli as reasons why they are desirable choices for NRIs.

According to the report, more than 55% of purchasers also sign up for property management services at the time of purchase.

What draws in this particular group of clients?

Developers and property consultancies shared that, contrary to popular belief, NRIs purchasing real estate in the IT capital have demonstrated, NRIs purchasing real estate in the IT capital have demonstrated a greater preference for mid-range and affordable homes.

Approximately 69% of the NRI transactions made possible by SquareYards.com involved affordable and mid-range housing, which includes apartments under Rs 1 crore. According to Ravi Shankar Singh, Managing Director, Residential Transaction Services, Colliers India, 70% of the unit level demand for real estate consultancy Colliers has been in the range of Rs 1.5 to 2 crore.

Brigade Group’s Desu claims that the class of NRI workers in the clerical and administrative fields is the main source of demand in the affordable and mid segments. With their savings, these workers purchase a 2BHK or a small 3 BHK apartment, which they can either move into when they return to India or use as a rental.

However, C-suite executives like villas and the mid-segment draw techies who typically choose a 3BHK, according to Kranti Alladi, Head of Sales and Marketing at Concorde.

Two main depressants are poor infrastructure and heavy traffic. 

The city’s traffic problems and infrastructural problems have been the biggest deterrents for NRI investors, despite Bengaluru’s strong demand and high rental yields helping the city dominate its choices.

“One of the primary deterrents for NRI property purchases in Bengaluru is traffic congestion, which has been consistently identified as a significant concern,” said Rana.

Others concurred. “Purchasing a home in an establishment is another barrier. However, finding inventory at their preferred location presents a challenge, as noted by Garg of NoBroker. 

Across the nation, NRI’s interest in the housing market is growing.

In North India, the tale is the same. Approximately 14% of DLF’s total sales in the fiscal year 2022-2023 came from NRI investors, with the GCC, USA, UK, and Singapore contributing significantly to the company’s sales exceeding  Rs 2,000 crore. DLF is based in Gurgaon. It anticipates a 20% increase in this fiscal year.

25% of sales (or about Rs 1,800 crore) for the company’s most recent project, DLF Privana South, came from NRI markets, with the US and Canada, Southeast Asia, and the GCC making major contributions. Aakash Ohri, Joint Managing Director and Chief Business Officer, of DLF Home Developers Ltd., told Hindustan Times Digital from Africa, particularly from Tanzania and Kenya, showed interest in the project. 

To construct a housing project worth Rs 1,700 crore, Mahindra Lifespace purchases a 9.4-acre plot of land in Bengaluru

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According to the report, the land’s potential gross development value is Rs 1,700 crore, with 1.2 million (12 lakh) square feet of FSI, mainly consisting of mid-premium residential projects. 

Mahindra Lifespace Developers Ltd., a real estate company, announced on Tuesday that it had purchased 9.4 acres of land in Bengaluru to build a housing complex that would bring in an estimated Rs. 1,700 crore. 

The Mahindra Group, a business conglomerate, announced via a regulatory filing that it has acquired 9.4 acres of land in Whitefield, Bengaluru. It also stated that the land would primarily consist of mid-premium residential apartments with a gross development value of approximately Rs 1,700 crore and approximately 1.2 million (12 lakh) square feet of FSI potential. 

Bengaluru is still a target for Mahindra Lifespace Developers, and we are eager to increase our presence there, according to Managing Director and CEO Amit Kumar Sinha. It is consistent with our plan to strengthen our position in India’s growing cities, especially in the areas that are important to us. In response to the dynamic demands of Bengaluru’s home buyers — who have demonstrated an eagerness to recognize and purchase high-quality projects– he stated that the company remains to deliver top-notch projects.  

Mahindra Lifespaces anticipates starting the project’s first phase in the next 12 months. The company’s development portfolio includes seven Indian cities and 35.06 million square feet is finished, ongoing, and upcoming residential projects. Additionally, it manages and develops more than 5,000 acres of current and future projects at its four integrated developments and industrial clusters.  

Five things to be aware of in the Bengaluru real estate market if you intend to rent an apartment there

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Thirty percent rent increases in specific parts of Bengaluru have caused the city’s rental inflation to exceed that of Singapore. 

Over the last few months, rent in Bengaluru has risen by over 20% to 30% due to several companies abandoning work-from-home policies, which has caused the “floating” employee population to return to their offices from their hometowns. As a result, there are right now far too many renters vying for a limited number of properties. Additionally, there have been cases where over four potential tenants have competed for the same property. Due to this, the IT city’s rental inflation has reached nearly 24%, making it competitive with other major cities like Singapore. 

Tenants in a city bereft of rental properties have been finding it difficult to comply with landlords’ constantly shifting demands; some have even gone so far as to look up potential tenants’ LinkedIn profiles. Additionally, there have been cases where real estate agents have given tenants have even jokingly said that it is harder to pass a “rental” interview than it is to pass a job interview. 

India’s average rental inflation rate now exceeds that of Singapore and Dubai. In Singapore, the average annual rental inflation has been approximately 29%, while in Dubai, it has been 20%. According to a NoBroker study, certain areas of large cities, like Bengaluru, are seeing exponential rent increases of 30% and higher. 

According to a report by Anarock Group, residential rent in India’s IT hub has increased by as much as 31%. “Rents will rekindle in the January to March 2024 rental market as Indians typically relocate in search of better job opportunities and amid increased hiring in the new fiscal year,” the report stated. 

The opening of Bengaluru offices has significantly increased demand for real estate near IT parks and office clusters. Additionally, there is a rise in demand for homes along these connectors as the new metro corridor comes online.

Properties near metro stations in the IT city have seen a 15-18% increase in rent due to increased demand. 

“Over the past year, Bengaluru has seen a sharp increase in housing rentals. According to Akhil Gupta, co-founder and chief executive and technology officer of NoBroker, “the average rent inflation to the IT capital has been 24%, with rent inflation reaching 30% in certain parts of the city.

A further trend is an increase in demand for rentals in areas that are accessible by metro but are not always close to office buildings.  

The mandate requiring employees to return to their workplaces has resulted in a notable departure of individuals, thereby augmenting the need for residential real estate. The need to purchase a home and the pandemic’s effects on supply and demand have raised demand for residential properties. Rents and prices have increased as a result, according to Gupta. 

He also mentioned how Mumbai’s metro connectivity has led to rental prices that are significantly higher than those of most other cities. It would be unfair to compare Bengaluru to Mumbai or Delhi because of how better connected these cities’ metro areas are.  

Metro connectivity is highly beneficial, as the IT city is known for having a lot of traffic. According to our annual report, Bangalore has experienced the highest rate of rent inflation thus far this year. 

According to him, there has been a 7-10% increase in rental inflation in the areas close to the metro line. 

One notable connection is the Metro corridor, which runs from the western city of Kengeri to the eastern IT corridor of Whitefield. 

According to Kiran Kumar, vice president of Hanu Reddy  Realty in Bengaluru, rentals in East and North Bengaluru have increased dramatically since the Metro opened for business. Desirable areas like Whitefield, Koramangala, and Indiranagar along the purple line have seen a 20% increase in rental prices.

Previously renting for Rs 30,000 per month, a 2BHK next to the Indiranagar Metro corridor now fetches Rs 45,000. Rent for a 5BHK independent bungalow is Rs 3 lakh per month. Last year, the rent was approximately Rs 1.9 lakh per month. Compared to approximately 70,000 per month last year, a 3BHK in a gated community in the same area now commands rents between Rs 80,000 and Rs 1 lakh per month. A 1-BHK apartment without a parking lot for Rs 10,000 a month is now renting for Rs 22,000.

Rental prices have increased in areas along the metro corridor because of better metro connectivity between the east and the north. Because there are fewer properties than there is demand for them, people are willing to pay higher rent for properties near the Metro, according to him. 

In Whitefield (located close to the IT corridor) as well, a 3BHK is going for Rs 50,000 to Rs 70,000 per month, and a 3 BHK villa that was going for around Rs 80,000 before the metro became operational today commands a rent of around Rs 1.5 to almost 2 lakh, he told HT Digital.  

Are rent negotiations tough for tenants? 

Looking at the rental market, it is still more in demand than it is in supply. The goal of tenants in gated communities is to obtain lovely residences. Therefore, even at high rentals, there are still a lot of takers in gated communities. There is hardly any time for negotiations because deals are closing so quickly. Consequently, Gupta said, “There is always another tenant waiting, willing to pay higher, even though tenants may want to negotiate.”

Has the cycle of rental deal closure gotten longer or shorter? 

The inventory shortage has resulted in a significantly shorter transaction timeline. Deals have closed in as little as one day on occasion. Tenants are inspecting the property before the weekend even arrives, Gupta says.

New draft notification

Prospective tenants should be aware that the city’s governing body for civic and infrastructure, Bruhat Bengaluru Mahanagara Palik (BBMP), is getting ready to introduce a value-based property tax on April 1. Property owners may pay twice as much in taxes on rental properties under the new system as on owner-occupied properties. It could put more pressure on tenants’ high rents because of the mismatch between supply and demand. 

Examining the Patterns and Forecasts of Bengaluru’s Real Estate Renaissance

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Bengaluru saw a 29% increase in housing sales, from 49,480 units in 2022 to 63,980 in 2023.  

Over the past few decades, Bengaluru—often known as India’s Silicon Valley— has seen a remarkable transformation in the residential real estate market. Numerous factors, including better infrastructure, supportive government policies, a rise in the supply of IT professionals, and urbanization, have contributed to this change.

Bengaluru saw a 29% increase in housing sales from 49,480 units in 2022 to 63,980 lots in 2023. Bengaluru’s rise as India’s center of technology lies at the core of the city’s residential real estate boom. However, it is also critical to remember that, in 2023, 23% of the sales momentum came from the premium and mid-market (INR 50-75 lakh) segments, respectively. 

The main rivers of demand were the growing return to work in the IT/ITeS sector, the expansion of global firms already in place, and the establishment of Global Capability Centers (GCCs). Moreover, the excellent supply that renowned developers brought in was a significant factor in the sales increases in many of these cities.  

The city has been a magnet for highly skilled professionals from all over the nation and abroad due to its reputation as an innovation hub, numerous research institutes, start-ups, and multinational corporations. This talent inflow has led to a strong demand for housing, especially near large IT parks and tech campuses, which has sparked a rush of construction activity in these sought-after locations.

Due to its reputation as a livable city that boasts pleasant weather, lush green spaces, and a vibrant cosmopolitan culture, Bengaluru has become even more appealing to prospective homebuyers. The city’s vibrant lifestyle, excellent educational opportunities, and numerous dining options appeal to individuals and families, making it a great place to settle down and raise a family. 

The growth of Bengaluru’s infrastructure has been essential to the city’s residential real estate growth. The city has made significant investments in the road and metro rail systems and other public transportation networks to improve accessibility and connectivity between different micro-markets. The development of satellite townships and growing suburbs that will satisfy the evolving needs and preferences of city dwellers has been made possible by this increased connectivity, which has also expanded the housing options available to residents. 

Government policies and initiatives have also played a significant role in speeding up the real estate boom in Bengaluru. To serve the wide range of socioeconomic strata that constitute a community, initiatives like Housing for All and the Smart City Mission have encouraged developers to invest in affordable housing projects. 

In addition, the Real Estate Regulation and Development Act (RERA) has increased investor and homebuyer confidence by ushering in a new era of transparency and accountability. 

A new paradigm in Bengaluru’s residential real estate market has emerged with the emergence of co-living and co-working spaces, which meet the growing needs of a dynamic workforce. 

The gig economy and flexible work arrangements are becoming increasingly common, which has increased demand for shared living and workspaces aimed toward young professionals and entrepreneurs. 

Developers have quickly capitalized on this trend by providing creative solutions that combine affordable housing with numerous amenities— from wellness centers and community events to high-speed internet connectivity—–redefining what is in a modern urban setting. 

In addition, the proliferation of financing alternatives has democratized homeownership by increasing its accessibility to a broad range of individuals. In addition to offering attractive home loan programs with competitive interest rates, banks, and other financial institutions have also fueled the growth momentum of the real estate industry with the introduction of alternative financing models like peer-to-peer lending and crowdfunding.  

But even amid all the excitement surrounding Bengaluru’s residential real estate boom, it is essential to recognize the difficulties that still lie ahead. There is an immediate need for sustainable urban planning and development in the city because of its issues with traffic congestion, urban sprawl, and environmental degradation. 

Onward, Bengaluru’s comeback in residential real estate is evidence of the city’s tenacity, inventiveness, and vibrancy. The real estate sector is a prime location for investment and growth due to the convergence of progressive policies, infrastructural development, economic dynamism, and changing lifestyle preferences. 

To address problems and seize opportunities as Bengaluru grows and transforms, stakeholders must collaborate in a coordinated manner to move the city toward a more inclusive and sustainable urban future. 

In the Asia Pacific region’s annual housing price growth index, Bengaluru comes in at number eight and Mumbai at number nine.

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According to Knight Frank’s Asia-Pacific Residential Review Index for H2 2023, Singapore is the best-performing Asia-Pacific market, with a YoY growth of 13.7%. 

Regarding annual price growth in H2 2023, Bengaluru, Mumbai, and the National Capital Region have secured a position among the top 10 Asia-Pacific residential markets performing well. Bengaluru ranked eighth on the Asia-Pacific Residential Review, with a YoY growth of 7.1%, while Mumbai ranked ninth, with a YoY growth of 7%.  

Another significant residential market, NCR, came in at number eleven with a 6% YoY price rise during that time. Knight Frank’s Asia-Pacific Residential Review Index for H2 2023 states that Bengaluru, Mumbai, and the National Capital Region (NCR) will account for 60% of all sales volume in Indian markets in 2023. 

Non-city-centric developers are showing interest in Bengaluru, leading to a 24% increase in the number of launches in the city during H2 2023. In the second half of 2023, the town sold 27,799 dwellings. The city’s average price is Rs 5,900 per square foot or Rs 63,508 per square meter. 

The heightened demand during festive periods such as Navratri, Dussehra, and Diali is primarily to blame for Mumbai’s notable improvement in sales in 3Q 2023. The city sold 46,073 residences in the second half of 2023. The average price in the town is Rs 84,849 per square meter or Rs 7,883 per square foot. 

Overall, 29,888 units were sold in the NCR in H2 2023, with an average price of Rs 4,579 per square foot (Rs 51,226 per square meter). 

21 out of 25 Asia-Pacific (APAC) cities have positive annual price growth, according to the Asia-Pacific Residential Review Index for H2 2023. Singapore is the best-performing Asia-Pacific market, with 13.7% year-over-year (YoY) growth. 

Asia-Pacific Residential Review, which focuses on investors, offers a comprehensive analysis of the performance of the Region’s mainstream residential markets. 

“In 2023, residential property demand in India’s major cities has surged to its highest level in a decade, despite the increase in mortgage rates and property prices,” stated Shishir Baijal, Chairman and Managing Director of Knight Frank India. In 2024, residential demand will still maintain momentum due to notable tailwinds like the anticipated decline in interest rates and comparatively robust economic growth.” 

With a large inventory of completed new apartments that are unsold and high-interest rates, the Hong Kong residential market is the last in the world according to the index. Rising mortgage rates make it more difficult for buyers to afford homes, so they are more cautious. 

“The residential market experienced a surge in the past six months, following the FED’s decision to pause rate hikes, which encouraged potential buyers who had been waiting to make purchasing decisions,” stated Kevin Coppel, managing director at Knight Frank Asia-Pacific. Due to persistent supply-side issues like labor shortages, rising input costs, and construction delays, prices have benefited in many cities throughout the Asia-Pacific area”. 

According to him, cities like Bengaluru, Singapore, Sydney, Brisbane, Perth, Manila, Delhi, and Brisbane have all prospered from the wealth effect, supply outpacing demand, and promising economic growth prospects. 

What is making Kanakpura Road a sought-after residential area?

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Bengaluru’s most sought-after real estate area is Kanakapura Road, hidden in the quiet suburban charm. This growing neighborhood, which attracts investors and homeowners due to its convenient location, offers a modern urban lifestyle in a tranquil setting. Kanakapura Road is a testament to Bengaluru’s dynamic real estate market, ready to draw in buyers looking for convenience, affordability, and peaceful surroundings. Its varied housing options, quick market appreciation, and dedication to maintaining its nature also contribute to this. 

Advantages of Location

The advantageous location of Kanakapura Road provides its residents with many advantages. Its outstanding connectivity, which offers simple access to significant thoroughfares like Hosur Road via NICE Road and the Outer Ring Road, is among its most notable attributes. The city’s inhabitants are used to traveling to neighboring cities like Mysore and around it.  

There are plenty of choices when it comes to transportation. There is an extensive network of autorickshaws, buses, metros, and app-based taxi services accessible. Moreover, the neighborhood’s proximity to Banashankari Bus Terminus is noteworthy and contributes to the ease of commuting for its residents within the city. Whether you are a professional, a family man, or an adventurer, Kanakapura Road offers a comprehensive solution by fusing modern conveniences with metro connectivity to keep you ready for the future. 

Infrastructure developments 

The infrastructure surrounding Kanakapura Road has undergone a dramatic change. Significant modernization of the road network has improved living standards and made commutes more comfortable. The attractive metro (Green Line) line, which promotes intra-city connectivity and unleashes additional potential for this region, is noteworthy. Kanakapura Road is becoming a lively and well-connected community due to the convergence of better infrastructure and increased connectivity, providing an enticing mix of contemporary convenience and exciting investment opportunities. 

Adaptable residential environment 

Homebuyers and developers alike are taking notice of Kanakapura Road as it has become a highly sought-after residential hub. Its advantageous position in IT parks, medical centers, and entertainment hotspots has improved its standing in the real estate market. Prospective homeowners can choose from options that fit their needs and budgets. 

You can look at housing options in this area, from luxurious gated communities to reasonably priced apartments. It is the best option for anyone looking for a home in popular communities like Banashankari, JP Nagar, Jayanagar, Basavanagudi, Konanakunte, Tlaghattapura, Kumaraswamy Layout, ISRO Layout, Uttarahalli, Padmanabhanagar, Bannerghatta Road, and RR Nagar because the price range varies to suit a variety of budgets. Whether you want to upgrade or buy a home for the first time, Kanakapura has a residential option that meets your needs. 

Peaceful balance between ease and quiet 

Kanakapura Road is the ideal location for individuals seeking a harmonious lifestyle because it skillfully combines the comforts of city living with a tranquil setting. There are plenty of options for entertainment nearby, including cinemas, busy shopping centers, and delicious restaurants. Due to the area’s advantageous location, residents have easy access to top-notch healthcare and education options. Notable educational institutions in the area include Sri Kumaran Public School-ICSE, Jnana Sweekar Public School, and The Valley School. Prominent healthcare facilities are also located nearby on Bannerghatta Road and Jayanagar. Furthermore, IT workers benefit notably from the location’s closeness to bustling IT parks and tech corridors like Global City Tech Park, which allows them to shorten commutes and achieve a better work-life balance. For individuals in Bengaluru looking for the ideal blend of city conveniences and peaceful living, Kanakapura Road is a great option. 

Investment Quality 

Kanakapura Road is a bright spot for investors. Property values in this area have been steadily rising due to the area’s advantageous location and the rising demand for housing. With continuous infrastructure improvements, the future appears more promising due to real estate prices staying up and, as a result, offering a superior return on investment. 

Kankapura Road is a tempting option for people looking for a second home because it provides a calm atmosphere and lots of green space. Gated communities and opulent apartments enhance the appeal by offering a first-rate lifestyle that pleases discriminating purchasers.  

Potentials 

As Bengaluru develops and grows, Kanakapura Road has a lot of promise for the future. The general quality of living will rise with the construction of parks and recreational spaces, adding to the neighborhood’s aesthetics. Kanakapura Road’s residential real estate is in high demand due to Bengaluru’s growing business and startup scene, making it an excellent investment option. The region is a great place to invest because it provides a prosperous present and a promising future.  

Conclusion 

A vibrant community that perfectly captures the spirit of contemporary urban living exists along Kanakapura Road. Convenience and peace of mind coexist here thanks to its advantageous location, excellent connectivity, and thriving infrastructure developments. Kanakapura Road is a great place to live, whether you are a savvy investor searching for deals or a potential homeowner looking for a cozy home. Bengaluru’s growth indicates that this region has a promising future and is a great investment opportunity. By purchasing real estate on Kanakapura Road, you are also investing in a way of life that blends the finest living standards with a tranquil setting. 

CEO of Bhartiya Urban’s Residential: “Bengaluru Real Estate Stands Out As One Of Most Sought-After in India”

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Due to urbanization, changing demographics, and a renewed emphasis on affordable housing, the Indian real estate market is undergoing significant transformation. The emergence of integrated townships, combining housing with community, sustainability, and other amenities to create holistic living experiences, is a clear example of this evolution. The CEO (Residential) of real estate company Bhartiya Urban, Ashwinder Singh, provides insights on investor opportunities and the state of the Indian real estate market, particularly in Bengaluru, in an interview with News18.com. Edited excerpts: 

What effects on investor confidence, security, and transparency are the implications of Sebi’s legalization of fractional ownership? 

By enhancing transparency and security measures, Sebi’s recent move to formalize fractional ownership has the potential to boost investor confidence. Place these platforms under the regulatory purview of Sebi guarantees compliance with strict guidelines, equitable procedures, and the protection of investor interests. The regulatory framework mandates exhaustive and transparent disclosures to give investors the information they need to make well-informed decisions.  

Enacting investor protection measures will also provide recourse if any issues arise. These measures include fund segregation and dispute-resolution mechanisms.  

SEBI oversight should encourage thorough due diligence on assets put up for sale, lowering the possibility of encouraging illiquid or fraudulent investments. 

Give your thoughts on the state of the Indian real estate market right now. 

In recent times, India’s real estate industry has undergone notable changes. The need for residential real estate is increasing due to several factors, including population growth, urbanization, and a strong focus on affordable housing. The advent of integrated townships signifies a movement towards all-encompassing living situations involving housing, community, amenities, and sustainability. 

What makes the Bengaluru real estate market unique, and why would you advise investors to focus on it first? 

One of the most sought-after real estate markets nationwide, Bengaluru continuously produces strong returns for established and emerging markets. In Bengaluru, there were almost 2 lakh home sales in just the first three quarters of 2023. The city is a popular place to settle down because of its thriving startup scene and well-established IT sector, which draws millennials. The real estate market in Bengaluru will continue to grow, providing end users and their families with a wide range of well-designed homes in handy locations. 

With the expected expansion of the economy and the growing demand for housing, investing in the Indian real estate market offers a bright future. Notably, non-resident Indians (NRI) are increasingly looking to invest in the Indian market and find retirement homes or second homes for travel. In light of these elements, real estate investing in 2024 presents an opportunity to take advantage of market conditions and generate long-term gains.

Describe Bhartiya Urban, its projects, and the reasons behind its prominence as a Bengaluru residential area. 

Bengaluru’s Bhartiya Urban is a massive integrated city constructed close to Hebbal. Spread across multiple districts such as residential, commercial, IT SEZ, hotels/ convention centers, and retail, it is projected to be the largest project of any Indian metro area. The city’s layout blends Indian architectural flairs with international urban planning. 

With features like Central Park, schools, easy access to the airport, and other areas of Bengaluru, Bhartiya Urban hopes to become a thriving center for residential, commercial, entertainment, and cultural activities. With many different formats and price points, the residential options offered under the Nikoo Homes brand appeal to a diverse group of Indian families.  

What do you think the future holds for the real estate industry for trends? 

I aim to reinvent Indian urban living by developing integrated townships and residential projects. Our attention is now more on creating entire ecosystems, which includes beautiful homes, meeting people’s varied needs, and fusing modernity with sustainability and communal living. 

Four real estate markets in 2024 where you might want to invest

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By 2024, new highways, airports, and metro lines will significantly impact housing demand. Infrastructural developments will continue to dominate in 2024 and influence housing trends. The success of the residential and commercial real estate sectors will probably be determined by the construction of new metro connectors, motorways, and airports, whether they are currently operating or not. 

In the influence zones, the upcoming infrastructure renovation will boost residential activity. The capital value of the catchment areas along the project corridors will likely increase significantly, drawing in both investors and end users. 

According to Colliers India CEO Badal Yagnik, “peripheral areas will become integrated with central and suburban areas as infrastructure projects get completed throughout 2024, resulting in homogenization of activity across key residential pockets of respective cities.”

It is also probable that real estate developers will branch out into new areas. 

Organized residential real estate is well-positioned to enter the next phase of growth in markets such as Vadodara, Nashik, Lucknow, Jaipur, Chandigarh, Coimbatore, Mysore, Kochi, Indore, Bhubaneshwar, and Guwahati. It is due to unrealized potential and growing preference for comprehensive offerings in gated communities of tier 2 and 3 markets. 

The cities with more upside potential than Tier 1 cities will attract more and more investors seeking residential real estate. In addition to the outskirts of large towns, developers will likely add high-quality supply to these emerging markets, according to Yagnik.  

Homebuyers and investors should be aware of these markets. 

Gurgaon

Those looking to buy real estate in Gurgaon near the Dwarka Expressway might find it interesting. 

New sectors by the Dwarka Expressway in Gurgaon include 113, 112, 111, 110, 109, 108, 107, 106, 104, 103, 102, 99, 88B, 37D, 36A, and 36B. With an extension to the Dwarka Expressway close to Sectors 101-104, the metro line will eventually link the old and new Gurgaon by the Union Cabinet in 2023. 

Along this stretch, there are several upscale and mid-range housing complexes. Local brokers claim that property rates in the area vary from Rs 8000 to Rs 20,000 per square foot, depending on the project and location. Rentals in the area start at Rs 20,000 per month. 

The international real estate consulting company Savills India reported. Over the past five years, the average capital values of completed and under-construction properties have peaked, with 36% and 25% YoY growth recorded at the city level in Gurgaon, respectively. The average capital value of both completed and under-construction properties increased by 12% to 45% year over year.  

New Gurugram and Dwarka Expressway were the top-performing micro markets, with annual growth of 45% and 21% in average capital values of under-construction properties, respectively.  

Noida 

Sector 150, Greater Noida West, and a few residential areas along the Yamuna Expressway that are reasonably close to the future Noida International Airport are some of the most well-known markets in Noida. 

In 2024, prospective homeowners and investors also want to look at Greater Noida West or Noida Extension. 

In the area, the price range for a 2BHK unit is Rs 60 lakh to Rs 80 lakh, while a 3BHK unit can cost over a crore. Depending on the size and location, monthly rentals for two-bedroom housing units can cost anywhere from Rs 15,000 to Rs 20,000, while 3BHK apartments can cost anywhere from Rs 17,000 to Rs 25,000. According to local brokers with ties to the area, there will also be a few serviced apartment developments. 

Mumbai 

The Navi Mumbai Metro, which began service a few months ago, is located in several areas of Mumbai that prospective homeowners and investors might want to look into. 

The route passes through these micro markets, which include Taloja, Pendhar, Kharghar, and Belapur. Most of Taloja’s real estate costs between Rs 6000 and Rs 8000 per square foot on average, and it will continue to increase due to the metro connector. Local brokers state that the starting rent is approximately Rs 10000 per month.  

Ulwe, a posh neighborhood in Navi Mumbai, is another place to be on the lookout. Through this area runs the 22-kilometer Mumbai Trans Harbour Link (MTHL), which links Mumbai and Navi Mumbai. Because of this new infrastructure, capital rates have increased in this area to the point where two-bedroom apartments for more than Rs one crore. According to local brokers, rents can range from Rs 10,000 to Rs 20,000, contingent on the location and type of apartment building. The proposed Navi Mumbai International Airport will impact the property values in the Navi Mumbai area. The proposed Navi Mumbai International Airport will impact the property values in the Navi Mumbai area. 

In 2023, South Mumbai—known for its apartments and bungalows in Malabar Hill, Malabar Hill, and Walkeshwar—closed most of its high-end transactions. In 2024, the trend is going to continue. There are also several redevelopment initiatives in these areas. In addition to K Raheja Corp and Kalpataru, prominent players in the listed real estate market include Lodha and Godrej Properties. Most opulent residential apartments range from Rs 35,000 to Rs 1.50 lakh per square foot. Rents can start from Rs 1 lakh, depending on the property’s location.

The demand for rental properties has risen with the opening of metro lines 2A and seven between Dahisar and Andheri, particularly in the Western Suburbs micro market. According to a Savills India report, the student population traveling by metro to colleges in Andheri and Vile Parle locations created a significant demand for rental properties in Kandivali and Borivali. It led to an 8% YoY increase in rental values. 

Bengaluru

In Bengaluru, the Purple Line went fully operational in 2023. The segment between Whitefield and Kengeri, West Bengaluru, was completed and operational in October. 

Local brokers say properties along this corridor are an ideal investment option for personal use and rental income. 

They claimed that the prices have already increased by 20-30% in places like MG Road, Whitefield, Koramangala, and Indiranagar. 

The sources also suggest that the outskirts of KR Pura and Whitefield might be considered, given their increasing popularity in the wake of the metro’s opening. 

According to a report by Savills India, rental growth in premium residential developments in South and North Bengaluru is the highest, with 6-7% YoY growth. Average city rents increased by 5.8% YoY.