Property prices going up on Bengaluru periphery

With an increase in post-pandemic demand, property prices in the peripheral areas of the city have gone up significantly.

Realtors say prices have gone up by up to 20 per cent since 2018-19. In Mahadevapura, for instance, land price has gone up from Rs 5,000-Rs 6,000 per sq ft in 2018-19 to Rs 8,000 now. Similarly, in Yelahanka, it has gone up from Rs 8,000 to Rs 11,000.

The pandemic had changed the way people were looking at housing. “Work from home and e-schooling saw many homebuyers shift to the peripheral areas for bigger homes and a better lifestyle,” said Ashish Sharma, city head of a real estate group.

Wider roads and better amenities in some of the newly-developed layouts are encouraging people to shift to peripheral areas, said a realtor from R R Nagar.

“People have realised that there is a need to decongest the core areas. Wider roads, better traffic, and a shorter commute to work have been driving the idea,” said Balamurali Krishna from a real estate agency in the neighbourhood.

Since many IT companies have asked employees to return to office, many youngsters are now looking to buy properties close to the workplace. That is the reason for a rise in demand in Mahadevapura and surrounding areas. Realtors say they have seen a spurt in enquiries over the last six months.

“With people returning to the city, rents have also gone up drastically. This has pushed many youngsters to look out to buy their own properties,” said Suresh Hari, chairman of The Confederation of Real Estate Developers’ Association of India Credai , Bengaluru.

While in areas surrounding RR Nagar, the Bangalore-Mysuru expressway and Namma Metro connectivity have fuelled development. In areas around Mahadevapura, the return to office and progress in metro connectivity have helped. “As metro connectivity became a reality, property prices started shooting up in areas surrounding Mahadevapura,” said Nagendra, who runs a real estate agency. A rise in the prices of construction material has forced prices up though. “From steel to cement, prices of everything have gone up and this has pushed up property prices,” he said.

Though the demand has gone up, not many are keen on selling the properties and this has caused a supply deficit, some experts said. 

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