New Delhi [India], Emerging cities will play an important role in India's progress towards becoming the world's third largest economy. In its latest report “Equitable Growth and Emerging Real Estate Hotspots”, Colliers says factors such as infrastructure development, digitalisation, tourism and changes in the office landscape will drive the next wave of urban growth.
By 2050, India is expected to have about 100 cities with a population of more than one million, in addition to eight mega cities. Colliers in its report has identified more than 100 such emerging cities to determine real estate demand and growth potential over the next 5-6 years.
The report said that the real estate sector in India is undergoing a transformation and smaller cities are becoming important to the economy due to infrastructure, affordable homes, skilled labor and government support.The sector could reach US$1 trillion by 2030 and potentially US$5 trillion by 2050, contributing 14-16 per cent to India's GDP. Nearly 100 cities with a million population by 2050, Colliers reports Urban growth has been anticipated. After detailed analysis, Colliers identified 30 potential high-growth cities out of more than 100 cities. The report further states that 17 out of these 30 cities will emerge as real estate hot spots.
Cities like Amritsar, Ayodhya, Jaipur, Kanpur, Lucknow and Varanasi will benefit from better infrastructure and increased economic activity.These locations are strategically positioned to take advantage of increased connectivity and government initiatives, making them attractive destinations for real estate investment.
Patna and Puri in the eastern region are identified as potential growth centres, driven by infrastructure upgrading and growing business activities. In the western region, Dwarka, Nagpur, Shirdi and Surat are strengthened by industrial growth and infrastructure expansion. Hope to see development.
In the southern region, Coimbatore, Kochi, Tirupati and Visakhapatnam are emerging as major hubs of residential and commercial growth supported by strong local economies and infrastructural enhancements.
Indore stands out in central India with its strategic location and growing industrial base, making it a prime destination for real estate investment.The National Infrastructure Pipeline (NIP) and PM Gatishakti projects are important in promoting equitable growth beyond Tier I cities.
Increased connectivity and manufacturing activities are expected to drive demand in the warehousing and residential sectors in these emerging hotspots.
The shift towards hybrid work models is driving demand for office spaces in smaller cities. Due to low rental costs and affordable housing options, there is growing interest in places like Coimbatore, Indore and Kochi as satellite office markets, attracting both companies and skilled talent. Increasing digital penetration is making smaller cities more suitable for data centers. And is turning into the center of smart infrastructure.Cities like Jaipur, Kanpur and Lucknow are expected to see significant real estate activity driven by e-commerce and data consumption, which will lead to the growth of fulfillment centers and warehouses.
Temple cities like Amritsar, Ayodhya, Varanasi and Tirupati will benefit from improved infrastructure and spiritual tourism supported by government policies. These destinations are expected to attract investment in hospitality and retail sectors to cater to the increasing number of tourists.
Badal Yagnik, CEO, Colliers India, said, “Small cities are emerging as dynamic contributors to India's economy, driven by better infrastructure, affordable real estate, skilled talent and government initiatives. This growth is expected to propel the real estate sector forward. Ready to increase.“It is estimated at USD 1 trillion by 2030 and potentially USD 5 trillion by 2050, accounting for 14-16 per cent share in GDP.
Vimal Nadar, Senior Director and Head of Research, Colliers India, said, “As tech giants and innovative start-ups enter the skilled talent pool of emerging hubs, smaller cities are on the verge of a transformational boom in both office and residential markets. Are." The arbitrage of office rentals, typically 20-30 per cent lower and the relatively affordable housing market in these locations creates a win-win scenario for companies and employees alike. As India is set to become a US$1 trillion real estate sector by 2030, And moving towards achieving 14-16 per cent share in GDP by 2050, these emerging hotspots are expected to play a vital role in boosting economic growth and promoting sustainable urban development.
With supportive government policies and strategic investments, these cities are poised to attract both domestic and international investments and transform them into vibrant centers of economic activity.
By 2050, India is expected to have about 100 cities with a population of more than one million, in addition to eight mega cities. Colliers in its report has identified more than 100 such emerging cities to determine real estate demand and growth potential over the next 5-6 years.
The report said that the real estate sector in India is undergoing a transformation and smaller cities are becoming important to the economy due to infrastructure, affordable homes, skilled labor and government support.The sector could reach US$1 trillion by 2030 and potentially US$5 trillion by 2050, contributing 14-16 per cent to India's GDP. Nearly 100 cities with a million population by 2050, Colliers reports Urban growth has been anticipated. After detailed analysis, Colliers identified 30 potential high-growth cities out of more than 100 cities. The report further states that 17 out of these 30 cities will emerge as real estate hot spots.
Cities like Amritsar, Ayodhya, Jaipur, Kanpur, Lucknow and Varanasi will benefit from better infrastructure and increased economic activity.These locations are strategically positioned to take advantage of increased connectivity and government initiatives, making them attractive destinations for real estate investment.
Patna and Puri in the eastern region are identified as potential growth centres, driven by infrastructure upgrading and growing business activities. In the western region, Dwarka, Nagpur, Shirdi and Surat are strengthened by industrial growth and infrastructure expansion. Hope to see development.
In the southern region, Coimbatore, Kochi, Tirupati and Visakhapatnam are emerging as major hubs of residential and commercial growth supported by strong local economies and infrastructural enhancements.
Indore stands out in central India with its strategic location and growing industrial base, making it a prime destination for real estate investment.The National Infrastructure Pipeline (NIP) and PM Gatishakti projects are important in promoting equitable growth beyond Tier I cities.
Increased connectivity and manufacturing activities are expected to drive demand in the warehousing and residential sectors in these emerging hotspots.
The shift towards hybrid work models is driving demand for office spaces in smaller cities. Due to low rental costs and affordable housing options, there is growing interest in places like Coimbatore, Indore and Kochi as satellite office markets, attracting both companies and skilled talent. Increasing digital penetration is making smaller cities more suitable for data centers. And is turning into the center of smart infrastructure.Cities like Jaipur, Kanpur and Lucknow are expected to see significant real estate activity driven by e-commerce and data consumption, which will lead to the growth of fulfillment centers and warehouses.
Temple cities like Amritsar, Ayodhya, Varanasi and Tirupati will benefit from improved infrastructure and spiritual tourism supported by government policies. These destinations are expected to attract investment in hospitality and retail sectors to cater to the increasing number of tourists.
Badal Yagnik, CEO, Colliers India, said, “Small cities are emerging as dynamic contributors to India's economy, driven by better infrastructure, affordable real estate, skilled talent and government initiatives. This growth is expected to propel the real estate sector forward. Ready to increase.“It is estimated at USD 1 trillion by 2030 and potentially USD 5 trillion by 2050, accounting for 14-16 per cent share in GDP.
Vimal Nadar, Senior Director and Head of Research, Colliers India, said, “As tech giants and innovative start-ups enter the skilled talent pool of emerging hubs, smaller cities are on the verge of a transformational boom in both office and residential markets. Are." The arbitrage of office rentals, typically 20-30 per cent lower and the relatively affordable housing market in these locations creates a win-win scenario for companies and employees alike. As India is set to become a US$1 trillion real estate sector by 2030, And moving towards achieving 14-16 per cent share in GDP by 2050, these emerging hotspots are expected to play a vital role in boosting economic growth and promoting sustainable urban development.
With supportive government policies and strategic investments, these cities are poised to attract both domestic and international investments and transform them into vibrant centers of economic activity.
