Prices for South Delhi luxury floors up 34% in 2025 on HNI backing

The prices of luxury independent-floor homes in certain South Delhi colonies have increased 22 per cent to 34 per cent in 2025 due to investments by affluent and high-net-worth households.

 

According to the report by Golden Growth Fund, a real-estate-focused alternate investment fund (AIF), the steady migration of affluent households from other parts of Delhi towards South Delhi, driven by its superior social infrastructure, iconic value and lifestyle offering, has boosted demand.

 

It stated that Category A colonies (with highest circle rates) such as Chanakyapuri, Golf Links and Panchsheel Park saw a 34 per cent increase in average price for a 2,500-square-feet floor from Rs 14.5 crore to Rs 19.5 crore.

 

Similarly, the prices for a 6,000-square-feet floor rose by 25 per cent, from Rs 32 crore to Rs 40 crore.

 

On the other hand, in Category B colonies like Defence Colony and Greater Kailash, the average price for a 2,500-square-feet floor grew 26 per cent, from Rs 8.5 crore to Rs 10.75 crore.

 

The average price for a 3,200-square-feet floor in the same colonies rose by 22 per cent to Rs 16.5 crore from Rs 13.5 crore.

 

Ankur Jalan, CEO, Golden Growth Fund (GGF), said that the persistent low-supply and high-demand dynamics in South Delhi continue to drive strong price appreciation for independent floors.

 

“This trend is being reinforced by local landowners increasingly opting for redevelopment to unlock higher capital values, improve rental yields and accommodate evolving family requirements,” he added.

 

The fund stated that the redevelopment potential of South Delhi is worth Rs 6 trillion across 42 regulated colonies overseen by the Municipal Council of Delhi (MCD).

 

“Redevelopment ensures improved utilisation of permissible FSI, enabling larger, better-designed homes with modern amenities, further enhancing buyer appeal,” the report added.

 

Experts add that HNIs, non-resident Indians (NRIs) and family offices, who earlier invested in local properties without the cushion of compliance and safety, are making investments in AIFs that invest in affluent colonies.

 

“With returns as high as 18 per cent to 20 per cent, AIFs have opened a new avenue for these investors,” Jalan said in a previous report.