Why Are Techies Preferring North Bengaluru Real Estate?

As Bengaluru continues to evolve, its northern region is becoming the new favorite destination for the tech community. Many IT professional who moved to Whitefield in eastern Bengaluru 18 months ago, are now eyeing a 2 BHK apartment in the flourishing north.

North Bangalore's appeal lies in its lesser water-logging issues, well-maintained roads, and abundant greenery.

In the post-pandemic era, north Bengaluru has rapidly grown, outpacing the eastern IT corridor. Thanks to significant infrastructure development and strategic location, it's attracting double the investment from NRIs and domestic investors, according to local brokers. This shift has led to an increase in IT professionals migrating from the east to the north, with a surge in inquiries for both rentals and home purchases.

As per real estate reports, North Bengaluru which ranked third in real estate sales till about 2021 has now soared to the second spot, just behind the east. Its proximity to the international airport, with Hebbal a mere 34-minute drive away, adds to its allure.

Areas like Road, Jakkur, Yelahanka, and Hebbal are emerging as prime spots for real-estate investment. Land prices start at Rs 6,000-8,000 per sq ft, while apartment costs range between Rs 10,850 and Rs 17,870 per sq ft as of Q1FY2023.

Micro Markets like Bagalur and Hennur, situated near IT hubs like Manyata and Kirloskar Tech Parks, are less than 5-6 km from major educational institutes and hospitals in the north. NH 44, near Devanahalli, links Bengaluru with Hyderabad and Mumbai, enhancing its business and investment appeal.

Jheet Sangram - a professional real estate consultant of Realspace, points out that residential suburbs like Thanisandra and Hennur have seen a 20 percent price hike. Commercial inquiries are robust for Airport Road (towards Devanahalli) and Doddaballapur, priced around Rs 7,000-10,000 per sq ft.

Rentals are attractive too. A 2BHK in the north is leased at Rs 27,000 per month, almost 15 percent less than prime locations like Indiranagar and Whitefield.

Infrastructural Developments Bolstering Real Estate:

Two decades ago, North Bengaluru began as an industrial area. The construction of the Bengaluru international airport and Manyata Tech Park catalyzed the growth of micro markets like Hebbal, Yelahanka, and Thanisandra Main Road. Today, these areas form a significant part of the launch portfolios of leading developers like MAIA Estates, Shriram Properties, and Vaishnavi Group.

As per Bangalore real estate reports, prices in the north have appreciated by 20-30 percent compared to the east. The upcoming Peripheral Ring Road (PRR), connecting Tumkur and Hosur Road, Satellite Town Ring Road (STRR), and the under-construction metro line, are expected to further drive up prices by 10-15 percent.

Infrastructure developments planned startup park at Rs 30 crore, set to boost the growth of 25,000 startups in the coming years, positively impacting the real-estate sector.

Challenges: Connectivity and Traffic:

Despite the appeal, North Bengaluru faces challenges. The August 2022 floods, which affected even the eastern market's billionaires' villas, caused a drop in new launches. The lack of last-mile connectivity is another issue. While the east enjoys metro connectivity to the city center, the north awaits its metro link, expected by the end of 2023, albeit with a potential six-month delay.

Lakshu Gowda, a software professional, illustrates the commute challenge, having to switch buses from HSR Layout to Hebbal. The absence of integrated public transport north of Hebbal and near areas like Devanahalli discourages some homebuyers. Moreover, the Hebbal junction traffic snarl necessitates about a 15-minute wait during peak hours, pushing employees to seek homes closer to work.

  adds Lakshu.