BANGALORE: The south has been home to some of the oldest residential neighbourhoods such as Basavanagudi, Jayanagar, V V Puram and Chamarajpet. Over the last two decades, it has witnessed the rise of some more cosmopolitan localities in Koramanagala, BTM Layout, HSR Layout, Sarjapur Road and Electronics City, dotted with towering apartments, swanky commercial and office establishments, and an array of malls. The residential landscape has gradually morphed with apartments, gated communities and row houses overtaking large independent bungalows.
Kalpana Murthy, Associate Director – Residential Services, India, Cushman & Wakefield, traces the pattern of residential spread in the south. “Jayanagar, one of the oldest residential establishments, took shape in the 1970s with plotted developments by the Bangalore Development Authority (BDA). The 1990s saw the development of Kormangala and Bannerghatta Road due to their proximity to the Central Business District (CBD), availability of land parcels and strong infrastructure. Thereafter, JP Nagar and BTM Layout developed as extensions to pre-established areas of south Bangalore post 2000.”
Emergence of new localities
The establishment of Bangalore as the ‘Silicon Valley of India’ resulted in an influx of IT/ITeS professionals from all over India, along with their families, and also drew a large number of expats to the city. As the office real estate prices in central Bangalore shot up, many companies relocated to the suburbs. Thereafter, the government allocated land to IT majors leading to the establishment of IT hubs at peripheral locations in south and east Bangalore.
Kalpana elaborates, “Many IT giants moved to peripheral areas to save real estate costs and set up big campuses of their own. However, these peripheral locations lacked physical and social infrastructure at the time of establishment due to which people preferred suburban residential locations. Consequently, south Bangalore became established as one of the prominent residential markets and saw many organised residential developments in this location. Over a period of time, with commercial office space development, Hosur Road andElectronics City also witnessed organised residential development.”
High-end housing – locations and triggers
Traditional well-established localities as well as new areas offering international standard options in shopping and dining, and located in proximity to IT hubs, are witnessing a rise in high-end housing to cater to professionals with high disposable incomes, and in many cases, dual incomes.
Koramangala and Jayanagar have become the most sought-after and premium addresses in the city with well-developed social infrastructure, connectivity to the CBD and the centrality of its location. While Jayanagar has always been a coveted address, the entry of IT and large corporates has turned Koramangala into a premium residential location in proximity to Sarjapur Road.
Ram Chandnani, Deputy Managing Director, CBRE South Asia, says, “In the recent times, some micro-markets such as BTM Layout, Banashankari and select phases of J P Nagar havewitnessed high-end residential developments. The main demand drivers for the development of Bommanahalli and Jigani are IT and the manufacturing segment. Demand is also generated by NRIs, with roots in south Bangalore, buying high-end residences for their parents living here. High-end homes in the south are broadly priced between Rs 6,000 and Rs 15,000 per sqft. ”
High-end localities such as Jayanagar and Basavangudi have been the traditional residential areas, constituting primarily of plotted developments and are commanding a premium for them. “The growth of the city has led to the development of Koramangala and Bannerghatta Road into high-end locations over the last 10 years. These areas have transformed into premium residential locations due to their proximity to central areas, strong social infrastructure, and healthy demand from the IT/ITeS professionals. The demand for high-end homes is driven by senior executives working in IT companies due to good connectivity of these locations to IT hubs”, he says.