Tier-II cities emerge as growth drivers for residential realty
Real Estate

Tier-II cities emerge as growth drivers for residential realty

Ahmedabad, Vadodara, Nashik, Gandhinagar and Jaipur have taken the top five places among Tier-II cities in growth of the residential property market on the back of rapid urbanisation, industrialisation and growth of IT industry, according to a report by PropEquity.

The report, titled ‘Tier-II: Residential Overview’, states that there has been a remarkable jump in both absorption as well as supply of quality residential properties in various price brackets in these cities. The report has tracked performance of the residential segment of the real estate sector in various Tier-II cities from FY 2017-18 to FY 2021-22.

“The real estate activity in Tier II cities is fast catching up with that of Tier I cities. Interestingly, Ahmedabad’s residential real estate market size of Rs 833.90 billion has outshone some of the Tier 1 cities like Chennai and Kolkata with market sizes of Rs 525.54 billion and Rs 38440 billion respectively, at the end of fiscal year 2021-22. Although it is also interesting to observe that the market share of Tier-I cities is about 4x times the share of Tier-II cities in the last five fiscal years,” said Samir Jasuja, founder and managing director of PropEquity.

“Post Covid lockdowns, Tier 2 cities have been witnessing new job creation at a decent rate and many tech and other sector companies are encouraging work from home for their employees for at least the next couple of years. This has led to scenarios where Tier 2 city housing projects are getting great traction due to their attractive pricing and potential for a higher upside in terms of investments,” said Abhishiekh Andlay, founder, Andlay Estates.

See also:
Casagrand forays into residential construction
DDA-RERA tussle ends as 18 projects get registered


Ahmedabad, Vadodara, Nashik, Gandhinagar and Jaipur have taken the top five places among Tier-II cities in growth of the residential property market on the back of rapid urbanisation, industrialisation and growth of IT industry, according to a report by PropEquity. The report, titled ‘Tier-II: Residential Overview’, states that there has been a remarkable jump in both absorption as well as supply of quality residential properties in various price brackets in these cities. The report has tracked performance of the residential segment of the real estate sector in various Tier-II cities from FY 2017-18 to FY 2021-22. “The real estate activity in Tier II cities is fast catching up with that of Tier I cities. Interestingly, Ahmedabad’s residential real estate market size of Rs 833.90 billion has outshone some of the Tier 1 cities like Chennai and Kolkata with market sizes of Rs 525.54 billion and Rs 38440 billion respectively, at the end of fiscal year 2021-22. Although it is also interesting to observe that the market share of Tier-I cities is about 4x times the share of Tier-II cities in the last five fiscal years,” said Samir Jasuja, founder and managing director of PropEquity. “Post Covid lockdowns, Tier 2 cities have been witnessing new job creation at a decent rate and many tech and other sector companies are encouraging work from home for their employees for at least the next couple of years. This has led to scenarios where Tier 2 city housing projects are getting great traction due to their attractive pricing and potential for a higher upside in terms of investments,” said Abhishiekh Andlay, founder, Andlay Estates. See also: Casagrand forays into residential constructionDDA-RERA tussle ends as 18 projects get registered

Next Story
Infrastructure Urban

What Industry Wants!

The construction industry is gearing up for Budget 2025 with high expectations. As one of India’s key economic drivers, the sector is eagerly anticipating reforms and policies to address pressing challenges such as high input costs, funding gaps, and sustainability demands. Industry leaders across real estate, infrastructure, construction materials, and logistics have shared their wishlists, urging the government to focus on GST rationalization, increased CAPEX, and green initiatives.This year’s budget presents an opportunity for the government to not only tackle existing bottlenecks but a..

Next Story
Infrastructure Urban

Messe Stuttgart, Startup India Tie-Up to Boost Funding

The logistics market in India is poised for significant growth, with a projected revenue of $357.3 billion by 2030. Despite this huge potential, a recent McKinsey & Company report highlights the decline in logistics funding following the pandemic that remains a significant concern. After receiving unprecedented funding of $25.6 billion in 2021, venture capital investment in logistics startups fell sharply to $2.9 billion in 2023—a nearly 90 per cent decrease, marking the lowest since 2015. This pullback from investors is attributed to several factors, including high interest rates, a glo..

Next Story
Infrastructure Transport

JK Tyre Strengthens Road Safety Commitment

Reinforcing its unwavering commitment to road safety, JK Tyre & Industries, a leader in the tyre manufacturing industry, partnered with the Delhi Traffic Police to organise a comprehensive Road Safety Awareness Week. This initiative, held as part of National Road Safety Month (January 1–31, 2025) spearheaded by the Ministry of Road Transport and Highways (MoRTH), aimed to foster responsible driving habits and reduce road accidents. Under the theme ‘Sadak Suraksha Jeevan Raksha,’ the initiative commenced on January 16, 2025, at the Delhi Police Traffic Training Park, BKS. The program feat..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000