What’s driving real estate growth in Lucknow, Patna and 15 other emerging cities

Amritsar, Ayodhya, Jaipur, Kanpur, Lucknow and Varanasi in North; Patna and Puri in East; Dwarka, Nagpur, Shirdi and Surat in West; Coimbatore, Kochi, Tirupati and Visakhapatnam in South; and Indore in Central India are the top 17 high impact emerging real estate hotspots in India.

As India marches towards becoming the third-largest economy of the world, emerging cities are poised to play a critical role in the nation’s growth trajectory. It is expected that by 2050, India will have nearly 100 cities with population exceeding one million, in addition to its eight mega-cities, according to the Equitable Growth and Emerging Real Estate Hotspots report by Colliers. Factors such as infrastructure development, digitisation, tourism and changes in the office landscape will drive the next wave of urban growth across these locations.

As per the report, Amritsar, Ayodhya, Jaipur, Kanpur, Lucknow and Varanasi in North; Patna and Puri in East; Dwarka, Nagpur, Shirdi and Surat in West; Coimbatore, Kochi, Tirupati and Visakhapatnam in South; and Indore in Central India are the top 17 high impact emerging real estate hotspots in India. In these cities, residential, warehousing and retail are the high impact segments as residential in 13 cities, warehousing in 10 cities and retail in 13 cities were considered as the high impact segment out of the top 17 cities.

The other high impact segments, according to the report, are office, hospitality, senior living and data centre. However, only 4 cities out of 17 observed offices as their high impact segment while 7 cities believe hospitality as their high impact segment. Senior living and data centres were pointed as the high impact segment in 7 cities each.

Interestingly, smaller towns are emerging as dynamic contributors to India’s economy due to improved infrastructure, affordable real estate, skilled talent, and government initiatives. “This growth is set to propel the real estate sector to an estimated $1 trillion by 2030 and potentially $5 trillion, a 14-16 per cent share in GDP by 2050,” said Badal Yagnik, Chief Executive Officer, Colliers India.

Ref : Financial Express