 "Nagpur, Lucknow, Jaipur lead next wave of realty boom in emerging cities")
Nagpur, Jaipur and Lucknow are the top three performers among the 30 cities assessed on parameters such as physical infrastructure, social infrastructure, demographics, and economic factors, according to Colliers, a real estate consultancy firm.
Colliers conducted a comprehensive parameter-based analysis matrix to evaluate the growth drivers of emerging cities. This matrix was developed using five key parameters: physical infrastructure, social infrastructure, demographic growth, economic development, and real estate dynamics. Cities with a well-established ecosystem and strong future growth potential, driven by development initiatives from both government and private sectors, achieved higher scores in the assessment.
The analysis highlights the next set of 30 cities with significant growth potential beyond India's well-established cities.
Nagpur, Jaipur and Lucknow are anticipated to establish a strong presence in India’s real estate and market in the coming years.
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“The expansion of expressways not only improves commuting but also promotes urban growth. It supports economic development, encourages the creation of integrated townships and social infrastructure, and boosts tourism. These factors collectively drive demand for real estate in the region, making it a promising investment opportunity for investors and homebuyers alike. This is the best time to invest in land within the micro-markets of emerging cities along expressways, with expected returns of up to 5.2X over the next decade," says Swapnil Anil, Managing Director, Advisory Services, Colliers India.
Nagpur (Samruddhi Circle), Ahmedabad (Shela), Agra (Shastripuram), Jaipur (Ajmer Road), Lucknow (Raebareli Road), Meerut (Ganga Nagar), Chandigarh (Kharar) and Bhopal (Indus Towne) are 8 emerging micro-markets across 30 tier-2 cities in India that show potential land price growth up to 5.2x by 2035.
Samruddhi Circle in Nagpur has emerged as the top-performing micro market in terms of land price appreciation, according to Collier's market assessment of eight emerging cities along expressways. Over the past decade (2015-2024), land prices in the region have surged by 3.7 times, from Rs 900 to Rs 3,300 per square foot. The area is expected to continue its upward trajectory, with an anticipated growth of 5.2 times by 2035, making it one of the most promising real estate destinations in India.
Several factors are driving this remarkable growth, with enhanced connectivity being a key contributor. The Samruddhi Mahamarg, a 701 km expressway, is revolutionizing transportation by cutting the travel time between Nagpur and Mumbai from 16 hours to just 8 hours. This improved connectivity is making the region increasingly attractive to investors, businesses, and homebuyers alike.
The region is rapidly becoming a hub for warehousing and logistics, creating job opportunities and driving demand for both housing and commercial spaces. The expressway has also bolstered tourism, with easier access to destinations like Mahabaleshwar, Shirdi, Ellora, Goa, and nearby wildlife sanctuaries.
Expressways as growth catalysts
Expressways serve as major catalysts for the economic growth of emerging cities. The development of expressways, highways, and feeder routes under ambitious initiatives such as the Bharatmala Pariyojana has been pivotal in this transformation. "This growing network has unlocked previously inaccessible or underdeveloped areas, creating significant opportunities for real estate development. As a result, land prices and demand for residential, commercial, and industrial spaces have surged in these locations," noted Colliers,
Expressways like the Yamuna Expressway, Mumbai-Pune Expressway, and Dwarka Expressway exemplify how improved infrastructure can transform surrounding areas into real estate hotspots. This trend highlights a broader pattern across India, where the construction of new expressways is directly linked to land price appreciation and urbanization, it added.
Colliers has analyzed eight major expressways, including the Nagpur-Mumbai Expressway (Samruddhi Mahamarg), Ahmedabad-Dholera Expressway, Jaipur-Delhi Expressway, Meerut-Delhi Expressway, Delhi-Chandigarh Expressway, Delhi-Agra (Yamuna Expressway), Bhopal-Indore Expressway, and Lucknow-Agra Expressway (Purvanchal Expressway), along with the cities and their impacted micro-markets. This analysis reveals that the operationalization of the 701 km Samruddhi Mahamarg Expressway has positioned Nagpur at the top of the list among these 30 emerging cities for investment in India. With an expected return of 5.2x by 2035, Nagpur has become one of the most sought-after investment destinations.