IT Boom Drives Property Price Surge: Saravanampatti and Kalapatti Gain Prominence
Coimbatore’s swift shift into a tech hub has spurred remarkable growth in its real estate market, especially in Saravanampatti and Kalapatti. These areas have become hotspots for property investments, fueled by IT sector expansion, improved infrastructure, and changing buyer preferences.
Saravanampatti: Leading Market for IT-Driven Growth
Saravanampatti stands out as Coimbatore’s top residential and commercial hub, with property prices skyrocketing 20–30% over the past five years due to its proximity to major IT parks and educational institutions. Key factors driving this surge include:
- Strategic Location: Direct access to TIDEL Park and other tech corridors
- Diverse Housing Options: Apartment complexes, villas, and gated communities catering to IT professionals and families
- Rental Demand: High occupancy rates driven by an influx of skilled workers and expatriates
Recent price trends showing a slight quarter-on-quarter dip (-4%) in Q2 2025 apartments (₹5,350–5,550 per sq.ft) don’t negate the area’s long-term bullish trajectory. Investments here remain lucrative, with developers expanding projects to meet sustained demand.
Kalapatti: The Rising Suburban Frontier
Once overlooked, Kalapatti has gained momentum as an alternative to Saravanampatti. It appeals due to:
- Proximity to Coimbatore International Airport: Attracting professionals seeking faster transit
- Serene Living: Balance between urban accessibility and suburban tranquillity
- Infrastructure Growth: Expanding road networks and public amenities
While current price trends show a 12.71% YoY decline (average ₹5,157 per sq.ft), analysts see this as a temporary correction rather than a downturn. The area’s affordability and potential for future infrastructure investments make it an undervalued opportunity.
Shared Factors Behind the Surges
Both areas benefit from overlapping factors that boost their appeal:
| Factor | Impact on Saravanampatti | Impact on Kalapatti | |
|---|---|---|---|
| IT Sector Demand | Captures workers from nearby tech parks | Attracts IT professionals seeking quieter homes | |
| Infrastructure | Well-connected roads, public transport | Developing connectivity to airport | |
| Price Trend | Established growth trajectory | Emerging market with correction | |
| Rental Returns | High occupation rates | Growing rental potential |
Investment Opportunities and Future Outlook
Despite short-term fluctuations, both regions remain attractive for real estate investors:
- Saravanampatti: Ideal for mid-term appreciation and rental income
- Kalapatti: High potential for long-term capital gains as infrastructure matures
- Property Types: Focus on apartments (primary), villas (secondary), and commercial spaces near tech corridors
The expansion of Coimbatore International Airport, along with the upcoming metro rail network and several government-supported infrastructure projects, is expected to significantly strengthen the growth potential of these regions. Improved connectivity and better urban planning are making these areas more accessible, convenient, and attractive for both homebuyers and investors.
At the same time, Coimbatore’s IT sector continues to grow steadily, bringing in more professionals and increasing the demand for quality housing. As employment opportunities expand and infrastructure keeps improving, these suburban locations are well-positioned to become key residential and investment hubs. In the coming years, they are likely to play a major role in shaping the city’s overall real estate development and long-term growth.