The Growth of Luxury Apartments in Bengaluru
Bengaluru, the Silicon City of India, is the breeding ground of businesses ranging from revolutionary software products to commuting solutions. With the kickstarting of the iPhone manufacturing site at Devanahalli by Foxconn, the city solidified its reputation as one of the most coveted centres to conduct diverse businesses.
Needless to say, the proliferation of companies from various industry verticals made this region in the Southern quadrant of India the home of high-net-worth individuals (HNIs). Investing in ultra-luxury apartments in Bengaluru is one of the ways the rich demographic likes to showcase and celebrate their successful lives. As a result, this is a catalyst for driving the demand for premium residential homes in the city.
In this blog, we will delve into factors contributing to the demand for luxury projects in Bengaluru.
Factors Driving the Growth of Luxury Apartments
Here's a look at the factors fueling people's penchant for luxury homes in Bengaluru.
A Flourishing Startup Ecosystem in the City
Amidst Bengaluru's thriving startup ecosystem, a noticeable trend in recent years has been the amplified adoption of Employee Stock Ownership Plans (ESOPs) among startups to incentivise their workforce.
During the surge in funding between 2022 and 2023, Indian startups like Swiggy, Razorpay, PineLabs, RebelFoods, and Flipkart prominently embraced ESOP buybacks to reward their expanding workforce.
Additionally, reducing the deduction cap from capital gains on residential property investments to Rs 10 crore, effective April 1, 2024, led several HNIs to invest in luxurious residential units in FY 23-24. This move aimed to secure higher deductibles compared to what will be available in FY 24-25, as stated by an article in the Economic Times. The substantial capital gains by this elite demographic will continue to contribute to the demand for luxury high-rise apartments in Bengaluru.
A Robust Infrastructure Development
Plans are underway to develop satellite cities around Bengaluru, aimed at expanding the urban landscape and alleviating congestion in the city due to its growing popularity.
These new townships will flourish in Devanahalli, Doddaballapur, Nelamangala, and Bidadi, strategically positioned along the in-progress Bengaluru Satellite Town Ring Road (STRR). Moreover, they will be intricately linked to the recently inaugurated Bengaluru-Mysuru Expressway.
With numerous ongoing projects near their completion, the city in South India is on the brink of improved connectivity internally and with other prominent towns nationwide.
The 518 km long, six-lane Bangalore-Vijayawada Expressway is fast taking shape and is expected to be operational by 2025. It is designed to slash travel time between the cities from 12 to 6 hours.
Simultaneously, the upcoming 262 km Bengaluru-Chennai Expressway is poised to reduce travel duration between Bengaluru and Chennai by 1-2 hours. Nitin Gadkari, the minister overseeing highways and road transportation, anticipates project completion by March 2024.
Amidst these developments, the city's connectivity is set to receive a substantial boost through the government's Metro Rail Phase-2B. This enhancement will offer connectivity from North Bengaluru to the IT hubs across the city, complementing initiatives like the Peripheral Ring Road and the Satellite Ring Road. Such connectivity is expected to increase the demand for upcoming residential projects such as Brigade Sanctuary in Bengaluru by several folds.
Top-Notch Amenities in Apartments
The quest for a holistic and elevated lifestyle has led homebuyers to expect their premium homes to be complemented with upscale facilities. Bengaluru's luxury housing market has adapted to this shift by curating opulent residences that offer an array of top-quality amenities.
Most of these facilities include well-equipped fitness, spa, and wellness centres for the residents' health and relaxation goals. Leisure and entertainment zones include lavish clubhouses, game rooms, and multipurpose halls with leisure and social gathering spaces. For outdoor recreation, apartments feature landscaped gardens, zen parks, and jogging trails, providing tranquil retreats amidst urban chaos.
Properties with top-notch amenities often command higher prices, reflecting premium living.
Top Most Searched Locations for Luxury Homes in Bengaluru
Here's looking at the top three areas for luxury apartments in Bengaluru:
In Southeast Bengaluru, Koramangala stands as the beacon of premium residential properties. Positioned in proximity to Hosur Road, the locality is bordered by Adugodi, HSR Layout, BTM Layout, Jayanagar and Ejipura.
This sought-after area owes its popularity to stellar social amenities, robust connectivity and a thriving business landscape. Renowned for its vibrant coworking spaces and robust network infrastructure, Koramangala offers an array of upscale residential options, including luxurious homes, multi-level apartments, villas, and low-rise complexes.
The list will be incomplete without mentioning the thriving IT corridor of the city. The area's robust infrastructure and well-connected road networks have contributed significantly to its allure. Seamless connectivity to prime locations via the Outer Ring Road (ORR), Whitefield Road and excellent public transport options have made it an ideal destination for luxury living.
Luxury properties in Whitefield often come packed with an array of upscale amenities that evolve the living experience. The area boasts state-of-the-art fitness centres, lavish clubhouses, and sprawling landscaped gardens, offering a lifestyle tailored to residents' discerning needs. Its proximity to high-end shopping centres, fine dining restaurants, and entertainment avenues further enhance the area's allure for those seeking a sophisticated lifestyle.
Indira Nagar, located in East Bengaluru, is a well-established residential hub. It is ideal for someone looking to invest in East Bangalore. It boasts seamless connectivity with prime areas like Jeevanbheemanagar, CV Raman Nagar, Kodihalli, Koramangala, Domlur, HAL Layout, Murugeshpalya, and Ulsoor. Recognised as one of the city's elite neighbourhoods, it offers integrated social amenities, robust connectivity and access to Bengaluru's key business districts.
This cosmopolitan enclave hosts renowned branded showrooms, lively pubs, quaint cafes, top-notch restaurants, and educational institutions. The introduction of Namma Metro amplified connectivity and bolstered property values in the area. Horizontal developments featuring residential homes, low-rise multi-story apartments, and villas dominate the area's residential landscape.
Bengaluru's luxury apartment market has experienced remarkable growth, fueled by factors transforming the city's real estate landscape. The evolution of upscale amenities, the city's status as an IT hub leading to the genesis of HNIs, and robust infrastructure developments have collectively driven the surge in demand for premium living spaces. As the city continues to expand and innovate, the demand for upscale apartments will persist, catering to the needs of individuals seeking luxury, comfort and a contemporary lifestyle.