New Airport Planned Near Hosur to Benefit Bengaluru's Techies
Tamil Nadu's Chief Minister, MK Stalin, has revealed ambitious plans to construct a new airport in Hosur, a city bordering Karnataka. This development is poised to provide a significant boost to Bengaluru's Electronic City, a prominent tech hub. The new airport's location, merely 25 km away from Electronic City and approximately 40 km from Bengaluru, offers convenient access for IT professionals, particularly those residing in the southern part of Electronic City.
Current Travel Challenges to Kempegowda International Airport
Currently, Kempegowda International Airport in Bengaluru is situated more than 60 km away from Electronic City. The commute from the tech hub to the airport can take between one to three hours, underscoring the need for improved accessibility. This new airport aims to alleviate these challenges.
Many IT professionals are employed in Hosur’s Electronic City, which boasts faster internet connectivity and more affordable housing options compared to several areas within Bengaluru.
Rental Market Dynamics in Bengaluru's IT Hubs
One local broker shared an anecdote highlighting the intense competition in Bellandur, a property-scarce market in Southeast Bengaluru. "A couple intending to relocate from Electronic City to Bellandur faced a rental increase of Rs 5,000 above the initially quoted price for a 2 BHK apartment, driven by high demand."
Saurabh Garg, the founder and chief business officer of NoBroker.com, noted an increase in rental rates across prominent IT hubs in Bengaluru. This is due to an imbalance between supply and demand, resulting in an increasingly competitive rental landscape.
Bengaluru's Five Sought-After Real Estate Hotspots for IT Professionals:
Bellandur
Bellandur, a well-known IT hub in Southeast Bengaluru, is bordered by Sarjapur Road to the south and HSR Layout to the west. It serves as a corporate hub for numerous major companies, including Wells Fargo, Adobe India, LinkedIn, and Intel Technology.
Bellandur features a diverse selection of modern apartments and gated communities, including developments from well-known real estate firms such as Prestige Estates, Embassy Group, and Sobha Ltd. The area also benefits from multiple co-living options.
However, one Amazon India employee who resides in the area said that "it is hard to find good options and the rents are too high”.
According to data from NoBroker, the average rental price for a two-bedroom apartment in Bellandur is currently Rs 40,000. Local brokers indicate that rents in the area have increased by 20% over the past year, attributing this surge to land scarcity and supply constraints.
Whitefield
Whitefield is known as both an IT and residential zone situated on Bengaluru’s eastern periphery.
Based on data from 99 acres, the average cost of a residential property in Whitefield is currently Rs 10,850 per square foot. A 1-BHK apartment could cost between Rs46.25 and 87.50 lakh.
NoBroker reports that a furnished 1 BHK has an average rental price of Rs 28,000, whilst a 2 BHK is around Rs 35,000. The Proptech experts find that Whitefield rent increases have been from 7 to 10% since the Purple Line metro started service this year in March.
Real estate companies from both within and outside Bengaluru, including Godrej Properties, Prestige Estates, Sumadhura Group, and Sobha Ltd, have invested in Whitefield projects.
Marathahalli
Marathalli, found on the Outer Ring Road, is an East Bengaluru residential neighborhood; due to its proximity of Whitefield, 8.6 kilometers away, it is an appealing area.
According to NoBroker, the average rent for a 2BHK apartment in Marathalli is currently Rs 32,000. One local broker said that “Yet, land in Marathalli is not available for upcoming projects.” The broker said that prices have increased by 10% to 15% annually.
According to Propertywala, the average price per square foot for real estate transactions in Marathalli is Rs 9,151.
Electronic City
Local real estate brokers in the South Bengaluru tech hub report a 10-15% increase in rentals annually.
Kiran Kumar, the vice president of Hanu Reddy Realty, says that the price increase in Electronic City cannot be compared to that of other areas due to the large quantity of unsold inventory there. He stated, “The share held by apartment landlords is also declining due to the availability of multiple options for paying guests."
As per NoBroker, the average rent for a 2-BHK apartment in Electronic City is Rs 28,000.
Hennur
Hennur has risen in popularity with IT professionals in the IT city after COVID-19 made it a good residential area after the epidemic. Six kilometers separate the area from Manyata Tech Park.
Kumar notes that property values in Hennur have risen by 10% to 15% in the last year. It is also expected that 2 and 3 BHKs in this area will have greater demand.
Square Yards claim that a 950-1,200 square foot 2 BHK unit in Hennur currently rents between Rs 32,300–40,000, while a 1,250-1,630 square feet 3BHK unit rents for Rs 43,100 -55,600.
The Kempegowda International Airport is located in North Bengaluru, and Hebbal is located 25 kilometers away.
According to Propertywala, the average rate for residential property in Hennur is $10,850 per square foot.