Ocean's call: Coastal cities go from holiday stay to primary housing

India’s coastal real estate segment is navigating a shift from holiday-home destinations to everyday living or co-primary residential hubs.

 

Micro-markets such as Alibaug in Maharashtra, and the wider Konkan region are among the biggest beneficiaries of this trend. Southern coastal cities such as Kochi in Kerala and Visakhapatnam in Andhra Pradesh are also gaining traction.

 

In Kochi, for instance, waterfront developments along the backwaters have piqued buyers’ interest.

 

Improved infrastructure, from highways and ferry services to airport connectivity, has significantly reduced travel time, making such locations viable for frequent visits or even primary occupancy, said market watchers.

 

Developers and industry bodies indicate that improved government initiatives, multi-modal connectivity, and hybrid work are pushing this to become a structural change rather than just a post-Covid trend.

 

The National Real Estate Development Council (Naredco) expects institutional capital to enter this segment as it gradually becomes more structured.

 

“Coastal housing is likely to evolve into a recognised asset class over the next few years, with better supply discipline and pricing linked to infrastructure maturity rather than speculation,” said Parveen Jain, president, Naredco.

 

Rising wealth, global exposure, and changing lifestyle aspirations are pushing buyers toward larger, private homes in scenic locations.

 

Bengaluru-based Prestige group noted the buyer profile is also evolving. Demand is primarily being driven by high-net-worth individuals (HNIs), non-resident Indians (NRIs), entrepreneurs, and senior professionals. Increasingly, affluent buyers from Tier-II cities are also entering the market, drawn by the dual purpose of lifestyle enhancement and asset diversification.

 

“Markets such as Goa, Mangalore, and Calicut have seen significant traction, along with emerging interest in destinations like Alibaug and Pondicherry. The focus is on creating ready-to-live ecosystems that combine privacy with community living, rather than standalone or purely investment-driven assets,” said Praveer Shrivastava, associate director - Residential, Prestige group. 

 

Co-primary housing’s luxury tilt

 

The emerging co-primary housing model is largely tilted towards premium and luxury formats. Villas, plotted developments, and low-density gated communities dominate supply, reflecting a shift in buyer preferences toward experiential living. 

 

Unlike traditional second homes, these properties are being designed for extended or even full-time occupancy, with integrated amenities such as clubhouses, wellness centres, and managed services.

 

Mumbai-based Hiranandani group’s chairman, Niranjan Hiranandani, said this trend’s sustainability hinges on planned, infrastructure-led growth unlike unorganised development which risks diluting the potential long-term value of such projects. The group is developing Hiranandani Sands in Nagaon, Alibaug. 

 

“Our strategy is to develop integrated ecosystems rather than standalone assets by combining residential development with hospitality, wellness, and social infrastructure, thereby creating destinations that support long-term habitation,” said Hiranandani.

 

“Increasing urban density in these metros is prompting many homebuyers to consider emerging cities like southern coastal-region Kochi and Vizag, which have consequently seen growing interest,” said Aakash Ohri, managing director & chief business officer, DLF Home Developers. The DLF group division is developing Riverside in Kochi. 

 

Viceroy Properties, headquartered in Mumbai, said infrastructure is reinforcing demand, with projects like the Bandra-Versova Sea Link expected to significantly improve access to these neighbourhoods and enhance their long-term appeal.

 

“The idea of a coastal home in India has evolved significantly over the last few years. Earlier, destinations such as Goa or Alibaug were largely seen as places for occasional getaways. Today, many of these properties are being viewed as co-primary residences, where owners are spending far more time and building a more consistent lifestyle around them,” said Cyrus Mody, founder & CEO, Viceroy Properties. 

Nautical shift

• Coastal housing is likely to evolve into a recognised asset class over the next few years, said Parveen Jain
• Demand is primarily driven by HNIs, NRIs, entrepreneurs, and senior professionals
• Goa, Mangalore, and Calicut have seen significant traction, along with emerging interest in destinations like Alibaug and Pondicherry
• Villas, plotted developments, and low-density gated communities dominate supply