Periphery areas in key real estate markets see better appreciation than prime areas, finds study

Mumbai's real estate prices in peripheral areas outpace prime locations, with significant growth in the past six years.

Some periphery areas have seen higher real estate price appreciation over the past six years than many prime locations in the top seven cities, according to findings by a research by consulting firm Anarock.

To illustrate, Bengaluru’s peripheral area Gunjur has seen average residential price increase of 69%- it rose from ₹5,030 per sq. ft. in 2019 to ₹8,500 per sq. ft. in Q3 2024. 

Prime area Thannisandra Main Road, on the other hand, has seen a 62% average price growth in this period from ₹5,175 per sq. ft. to ₹8,400 per sq. ft. in Q3 2024, the Anarock study said. 

Santosh Kumar, Vice Chairman, Anarock Group said, “In NCR’s peripheral Noida Expressway, average residential prices rose 66% in last six years – from ₹5,075 per sq. ft. in 2019 to ₹8,400 per sq. ft. in Q3 2024.”

“Prime area Raj Nagar Extension saw 55% growth in this period – from ₹3,260 per sq. ft. in 2019 to ₹5,050 per sq. ft in Q3 2024. However, this is by no means a uniform trend,” he added.

For instance, the prime area of Dwarka Expressway in Delhi saw a significant 93% jump in average residential prices – from ₹5,359 per sq. ft. in 2019 to ₹10,350 per sq. ft. in Q3 2024, he further said.

Mumbai Metropolitan Region’s peripheral area Panvel saw over 58% price appreciation in the last 6 years – from ₹5,520 per sq. ft. (2019) to ₹8,700 per sq. ft. (Q3 2024).