Bangalore Real Estate Property Market Trends Overview
Bangalore now known as Bengaluru is the most happening capital city of Karnataka emerged as one of the IT hubs referred as the Silicon Valley of India. One of the fastest growing cities of India, it is home to almost all the reputed IT and multinational companies being operated in the country. The emerging city has the potential to become one of the sought after destinations of sectors like Information Technology, Industrial globalization, Outsourcing place for BPO and Call centers, Nano Technology, Bio Technology, Aviation industry, Medical Research & Developments, Garments & Apparel Exports as well as Space Research, and Retail business opportunities. There are various well-recognized colleges and research institutions located here as well. Thus the influx of population is rising in the city giving further rise in the demand of residential, industrial and commercial properties in Bangalore.
Bangalore’s housing market has witnessed good growth arising from positive customer sentiments, heightened commercial activities and upgrades to infrastructure along with higher job opportunities. Bangalore is a market driven majorly by end-users according to experts. No wonder then, that there is a significant thrust on development in geographies such as Sarjapur, Whitefield, Hoodi, Kanakapura Road and Mysore Road.
The Property Market in Bangalore is on the boom keeping the increasing rate of properties in the market. Bangalore is abundant with super markets, malls, multiplexes, specialty healthcare centers, educational institutes having a positive influence on the real estate scenario of the market. With the numerous opportunities available for the investment, the city has attracted a huge number of investors from all over the world and the investment in the properties of Bangalore is assured of offering maximum return due to its thriving real estate market. The real estate sector in India has evolved at a rapid pace over the past few years however affected severely due to Covid-19 Pandemic and now on the recovering mode.
There is increasing demand from the flourishing IT and ITeS sector and also via start-up scene in the city which is thriving. Top-class healthcare and educational facilities available in the city along with continual upgrades in terms of physical infrastructure are also one of the major contributors to the raise in Bangalore real estate. Affordable housing is the need of residential utility in the Indian realty market including Bangalore. Smartly planned residential projects in fusion with technology.
Electronic City is connected to highways and connected to other parts of the city. Some of the major micro markets which are worth exploring this year are Airport Road, Hennur Road, K R Puram, Sarjapur Road, Old Madras Road, and Bannerghatta Road. North Bangalore would see many projects this year and will continue to offer to investors and home buyers. Places like Sarjapur-Attibele Road, Whitefield Extension, Kanakapura Road and Yelahanka- Kogilu in North Bangalore are some of the localities gaining traction from real estate developers. Some of the most developing and flourishing areas of the Bangalore are Electronic city, Begur Main Road, Whitefield, Rajajinagar, Malleshwaram, Richmond Town, Ulsoor and Kormanagala.
The realty market of Bangalore is dominated by residential and commercial projects, where the demand for 2BHK Apartments and 3 BHK apartments are high. The potential buyers are looking for affordable housing which are equipped with world class amenities and adds value to the living standard. Transactions have taken place for office space leasing as well as for the affordable housing where transactions are taking place. Affordable housing will remain the backbone that supports the real estate market of this thriving city. Among the seven major office markets in India, Bengaluru has emerged as the one enjoying lowest vacancy levels.
There is an increase in demand for high-end residential apartments in Secondary Business District (SBD), Central Business District (CBD), Outer Ring Road sub-markets, North Bangalore and Whitefield. Silicon City is one of the most capable market for villa projects and row houses which are most active in Northern part of the city, ORR, Electronic City, Sarjapur Road and Whitefield micro-markets which can foster these requirements at competitive prices. Bengaluru has proved to be a favorable destination for short and long term real estate investment. The study shows that there are very less fluctuations in prices of rentals and yields on rents have been high as compared to other metro cities. Some of the popular property locations are :
A well established corporate and residential hub, Whitefield is a goldmine for many searching for a higher standard of living. With a plethora of options to choose from in the ready to move segment and with the new projects coming up every day, Whitefield is emerging as a destination that promises a home for all classes. With the presence of the purple metro line and the introduction of the train service, the on-road traffic should reduce in the future. Major IT parks such as ITPL Tech Park and Bagmane Technology Centre are popular employment destinations in and around Whitefield. These tech parks along with recreational malls such as Phoenix Market city and VR Bengaluru have increased Whitefield’s popularity amongst the working population and youth. Whitefield real estate market is expected to retain its most important tag amongst other areas for at least coming one decade in Bangalore.
Sarjapur Road is another real estate hotspot that is surrounded by prime locations like Electronic City, Whitefield, and Koramangala. The presence of a variety of educational institutes and corporate offices including Wipro make this area a guaranteed spot for growth and development. Sarjapur is prevalent locale among the buyers and investors, it is the host for number of tech parks. Elevated expressways, metro routes, flyovers connecting Outer Ring Road, NH-7, and Peripheral Ring Road, local buses are the numerous options to have a smooth and effortless commute to any region. Its serene surroundings and impressive infrastructure is home to some of the most luxurious residential projects in the city. The employment opportunities in this area have skyrocketed due to the presence of the finest tech parks. Renowned schools, colleges, and shopping malls are just an added bonus here. Its connectivity to Kempegowda International Airport and other regions of Bangalore is one of Hebbal’s best feature.
Peenya is primarily an industrial area which owes various manufacturing units, godowns and warehouses. However, to avoid the travelling time between workplace and home most of the professionals are opting home in nearby areas. Hence, gradually Peenya is turning up into a residential area too. With the introduction of Green Line Namma, the connectivity has been improved and the travel time is reduced. Along with that, the region is strategically located at off Tumkur Road, which is connected with Bangalore-Nelamangala Expressway and linking the major parts of the city.
It is situated away from the hustle-bustle of the city, where a number of IT professionals are residing. According to reports, Jakkur is the proud owner of most of the ready to move inventories available in North Bangalore under affordable segment. The area is well-connected via rail, road, bus and taxi with Bellary Road, which further gets connected with National Highway-7. In addition to that, Jakkur is also known to house Jakkuru Airfield along with Bangalore Flying Club and other flying schools.
MS Palya is located in North Bangalore and known for the presence of small scale industries. It is boosted with several infrastructural amenities such as educational institutions, hospitals, adequate power and water supply and entertainment avenues.
Electronic City is the information technology hub of Bangalore, the developmental activities in the area has been escalating steadily since last few years. The area is spread over 332 acres and consist of 3 zones called Phase I, Phase II and Phase III.
Premium homes, health care centers, educational institutions, theme parks, and excellent facilities are available here in abundance. Known for its enjoyable activities like karting, snooker, bowling, cricket, bike rides, paddling, swimming, boating, etc make it an outstanding place to raise a family. It is true, a home in Hennur feels like living in a paradise.
Tech Parks like Aerospace Park, Science Park, and Financial City escalate the popularity of this region.
This area, in particular, has seen an astounding boom in the residential and commercial real estate development. All the achievements of this area are credited to its well-planned infrastructure.
BTM Layout has a robust infrastructure with varied residential options. It is in close proximity to prominent areas such as Koramangala, HSR Layout and Bannerghatta Road. The rental value of apartments and villas in this area is on an upward swing because of the locational advantage and is proving to be its most beneficial factor. Metro stations such as Rashtreeya Vidyalaya Road, Banashankari has expanded the connectivity of BTM Layout with other parts of the city. In addition, BTM Layout is also a part of the R V Road Terminal-Bommasandra line of Namma Metro.
The proposed peripheral ring and the development of the new Metro line has given the zone an added advantage over others. With an excellent appreciation price, Kanakapura Road has seen a lot of commercials as well as residential development in the past few years.
Well established with hospitals like Jayadeva and schools like Clarence Public School and Radcliffe school, Bannerghatta Road is one of the oldest parts of the city. With easy accessibility and close proximity to areas like JP Nagar, Mysore Road, BTM Layout and NICE Road, it has emerged to be an excellent real estate investment.
Attibele has seen a major transformation in light of the growing residential activity in Electronic City. It’s an area worth exploring that offers smooth commute to IT parks like Anekal, Electronic City and Silk Board Junction. Large tracts of land available in this zone have only increased the number of investment opportunities.
In order to take reap the full advantages, there has to be more set of actions needed from the developer end. This includes maintaining transparency in sale process, delivering projects on time and easing the process of loan procurement. Government schemes for urban development such as the Smart City initiative will take time to flourish but private players can do more to improve the status of the industry. The demand for residential properties in Bangalore has only been up scaling in the past years. Even with the emergence of RERA and GST, the impact on its real estate market was very minimal. Thus, residing in a city full of career opportunities along with favourable standard of living is the main feature that distinguishes Bangalore from other cities in India.