North Bengaluru is silently under the process of evolution. From being a fringe territory to an urban powerhouse, North Bengaluru is continuously going through various infrastructural development projects like metro expansion, airport proximity and the Special Investment Region(SIR) designations in Peenya. These developments are said to transform North Bengaluru into a faster approved, tighter industrial-residential integrated region that could surge the investors interest. Discover why this region is turning into the next investment destination in this article so that you make informed decisions.
Infrastructure & Connectivity Catalysts
With the emergence of connectivities acting as the key catalyst of North Bengaluru’s infrastructural developments and improvements, the upgrades are transforming the commutation and the real estate more dynamic.
Namma Metro Expansion
- The metro expansion triggers the growth along the connectivity of Hebbal, Jalahalli. The upcoming Sarjapur and Hebbal Red Line with 28 stations, 36 kms corridor. This Red Line connects the tech hubs to North Bengaluru.
- Upgrades made between NH-44 and Outer Ring Road are said to ease the access between Hebbal, the airport and the other key corridors of IT companies across Bengaluru.
- Orbital expressway, Satellite Town Ring Road (STRR), that runs for 280kms will link Devanahalli, Hosur, Dabaspet and the regions beyond which potentially reduces the commutation time and the traffic congestion to a greater extent.
Peenya – SIR Status
- The government of Karnataka has designated 1,461.50 acres of the Peenya Industrial Area as a Special Investment Region (SIR), which paves its way for the industrial infrastructural development with a new Industrial Township Authority.
- This shift in the governance will benefit 70% of tax revenue that is reinvested locally and will significantly uplift the roads, sanitation with better lighting and waste management. This makes the Peenya as SIR status more attractive, especially for the people of middle income housing groups.
Hebbal, Jalahalli & Ganganagar – Emerging growth Nodes
- Hebbal is enhanced as a traffic junction with metro, highways and it also covers the ring road coverage which fuels the residential spillovers.
- Jalahalli is already on the Green Line metro since 2015, its industrial and residential blend is now about to get more conversions for its real estate investments.
- Ganganagar being located along the key National Highway and the metro routes, this formerly quiet region is gaining more buzz and the eyeballs for its rental hikes.
Also read: Bengaluru’s Namma Metro from Hebbal to Sarjapur: Will this Red line Boost Property Prices?
Developer Moves & Land Acquisitions
- Godrej Properties has launched the 62-acre Gojrej MSR City Township in North Bengaluru with over INR 2,000 crores in pre-sales. This highlights stronger investor confidence and the strategic move in this region.
- Mahindra Lifespaces acquired 8.2 acres in North Bengaluru in January 2025, near the airport and tech hubs for approximately INR 1000 crores.
- These significant land deals are signalling a stronger developer’s confidence. The real estate growth is set to skyrocket the housing supply in this region.
Market Impacts: Prices, Demand & Investment
- Mid-Segment Pricing: Apartments now range from approximately INR9,000 to 13,000 per square ft. which means more affordable housing than many other parts of South Bengaluru.
- Higher Rental Yields: The rental returns in North Bengaluru is to outstrip those in Whitefield and South Bengaluru with its growing demand and competitive pricing.
- Tenant demographic shift: An increased blend of airport staff, IT professionals in Manyata Tech park, Ecospace and the industrial works, blue-collar employees are fueling the rental demand of this region.
- Bulk demand from Corporate hubs: With companies moving into North Bengaluru like Boeing, L&T, Foxconn and SAP, they are bringing thousands of employees, which strengthens the nearby occupancy keeping it trending higher.
Future Outlook
- ITIR comes alive: The upcoming BIAL IT Investment Region with 12,000 acres near Devvanahalli will be hosting a global IT giant like Infosys and Wipro, which spurs thousands of jobs as well as the residential demand.
- Airport expansion fuels demand: Kempegowda International Airport is adding a second runway, which will be the new terminal. The dedicated suburban rail and or metro links enhance global connectivity and boost the real estate values in the nearby micromarkets.
- More expectations on SIR Zones: Following the successful Peenya project, it paves the way to further approvals of SIR designations. This will bring the upgrades and investment incentives in the civic zones to other industrial zones.
- Major transportation projects on horizon: Projects like Bengaluru and Chennai Expressway, Peripheral Town Ring Road (PRR/STRR), suburban rail and expanded metro lines will improve the access across the city more smoothly and quickly and predict continued appreciation.
Conclusion
North Bengaluru is standing as a pivotal moment, with increased infrastructure, SIR-driven civic upgrades and the landmark development investments, are transforming it into a stronger real estate investment. For investors as well as for the middle income groups, this will translate into a strategic opportunity to gain out of affordable housing at an entry price, rising the rental demand and the long-term value appreciation.
Written by Kavitha Sugumar
