Mumbai: Infrastructure development is changing India’s real estate market. According to a report by Square Yards, projects like airports, expressways, and metro networks are driving strong growth in property prices across many cities.
These developments are opening new high-growth urban corridors and attracting buyers and investors.
30% to 70% Price Rise in Key Areas
The report shows that property prices in areas near airports and expressways have increased between 30% and 70% from the time of project announcement to completion.
This growth is seen as a direct result of improved connectivity and better infrastructure.
Land Prices See Biggest Jump
The biggest gains have been seen in land prices, especially in outer areas. In some plotted developments, prices have increased by 80% to 100% over a few years.
For example, areas around the Noida International Airport have seen strong growth. Industrial corridors and logistics hubs have also recorded price increases of 20% to 60%.
Metro Adds Extra Boost
When metro connectivity is added to airports and expressways, property prices rise even faster. Homes located within 500 meters to 1 km of metro corridors can command a premium of 8% to 25%.
After the metro becomes fully operational, prices can rise further by 15% to 40%.
Cities Seeing Growth
Several cities are benefiting from new infrastructure. Visakhapatnam is gaining from a six-lane expressway, Puri from a new airport, Coimbatore from airport expansion, and Varanasi from new highway projects.
These developments are improving connectivity and pushing up property demand.
Driven by Real Demand, Not Speculation
The report says the current real estate growth is driven by real demand, not speculation. More people are buying homes for living rather than just investment.
Lower home loan rates have also helped. After rate cuts by the Reserve Bank of India, home loan interest rates have fallen below 7%, improving affordability.
Strong Government Support
The government has also increased infrastructure spending. For FY 2026-27, around ₹12.2 lakh crore has been allocated for infrastructure. This large investment is helping reshape India’s economic landscape and boosting real estate growth.
