The property market in Pune stands out as one of the most vibrant segments in Western India. An influx of investment from private developers, local builders, and civic authorities is transforming the city's real estate landscape. Recently, Milestone Capital Advisors announced a significant investment of Rs300 crore aimed at developing commercial real estate in Pune. This fund house specifically targets Tier I and Tier II cities, and its decision to invest in Pune is largely driven by the city's burgeoning IT sector. According to market analyses, commercial properties in Pune are yielding impressive returns, averaging around 20-25%, which positions Pune as a favoured location for investment.
On the residential side, the market is also very promising. Currently, Pune builders are keenly focusing on affordable housing initiatives. Established developers such as Kolte-Patil and Gera Properties have unveiled plans for affordable housing options in the region. Their strategy includes constructing one-room and two-room accommodations priced between Rs 10-15 lakh. These builders assure potential buyers that the construction quality will remain high, albeit the properties will not feature extensive lifestyle amenities. Many real estate developers are now targeting the outskirts of Pune. This strategic shift arises from the premium capital and rental values prevailing in the city center. Consequently, prospective renters and buyers are increasingly searching for affordable living spaces in suburban neighborhoods, prompting builders to capitalize on this trend. Localities like Kothrud, Vanwadi, and Oundh are experiencing heightened demand. Once regarded as mere extensions of villages, these areas are rapidly evolving into key hubs for property development.