Bangalore records residential registrations of Rs 14,436 Crores in Q4 2023. Prestige leads in transactions while L&T Realty tops in volume

Bangalore, 7th March 2024: Bangalore’s residential market sustains impressive growth in Q4 2023, recording 17730 transactions amounting to Rs 14,436 crores, as per Square Yards Data Intelligence for property registered by Inspector General of Registration (IGR), Karnataka.

Bangalore-based Prestige Group reigned supreme in terms of units registered in this quarter, with 276 units, followed by Sobha Group at 218 transactions. In terms of sale value, L&T Realty emerged as a top contender, collecting Rs 1004 crores from the proceeds. Phoenix Mills claimed the second spot, capitalizing on the burgeoning demand for mid-segment and luxury homes, with Rs 307 crores worth of sales. Godrej Properties, Embassy Group, and Birla Estates were other developers who had a great run in the October-December quarter.

Top Developers in Bangalore by No.of Transactions -Q4’2023
  Developer No. of Transaction Sale Value in Cr.
1 Prestige Group 276 259.3
2 Sobha Group 218 125.0
3 Godrej Properties 210 242.7
4 Birla Estates 207 184.5
5 Brigade Group 184 156.0
6 Sowparnika Projects 151 72.3
7 Provident Housing 148 77.7
8 Gopalan Enterprises 144 125.2
9 Sattva Group 118 92.3
10 Modern Spaaces 95 108.9
Top Developers in Bangalore by Sale Value -Q4’2023
  Developer Sale Value in Cr. No. of Transaction
1 L&T Realty 1004.1 92
2 The Phoenix Mills 306.6 23
3 Prestige Group 259.3 276
4 Godrej Properties 242.7 210
5 Embassy Group 210.6 42
6 Birla Estates 184.5 207
7 Brigade Group 156.0 184
8 K Raheja Corp 137.5 44
9 Gopalan Enterprises 125.2 144
10 Sobha Group 125.0 218

“Bangalore’s residential market has been on song throughout 2023, with the demand mostly driven by millennials and young professionals. Rising disposable incomes, necessity for homeownership and the prudence of investing early, have led the young guns to dominate the real estate market. Besides, Bangalore’s thriving IT hub coupled with a vibrant cosmopolitan culture, beautiful weather, well-established metro network and profitable investment choices with both capital growth and rental income, has pulled homebuyers to this destination,” said Sopan Gupta, Co-Founder and Sales Director, Square Yards Bangalore.

L&T dominated the top projects category by sale value with its L&T Raintree Boulevard project amassing Rs 1019 Crores, whereas Birla Estates led in terms of transactions, with 207 units registered. Phoenix Mills also stood out in terms of volume in this quarter, making the most of the surge in housing demand.

Bangalore Micromarkets Summary –  Q4’2023
Micromarket Sale value in Cr. No. of Transaction
Central Bangalore 3009.4 2153
East Bangalore 2253.1 2805
North Bangalore 4563.7 5310
South Bangalore 3684.9 5866
West Bangalore 924.8 1596

Bangalore’s start-up boom and expanding economy has reshaped the city’s real estate market into a highly competitive market with a diverse range of options for potential buyers. South Bangalore with its strong social infrastructure, IT hubs like Koramangala and strong connectivity via Sarjapur road and Kanakpura Road, recorded the highest transactions at 5866. North Bangalore took the lead in terms of sale value with Rs 4564 crores worth of property sold. While both these micro-markets share similar investment potential due to their employment opportunities and superb livability index, the recent IT/ITes boom and SEZ development have propelled North Bangalore to the forefront of the investment race. The last quarter of 2023 also saw notable success in East and Central Bangalore. Krishnarajapura, JP Nagar, Whitefield, Electronic City, Sahakara Nagar emerged as top choices for prospective buyers in Bangalore.

If we look at the ticket size comparisons, there is a clear inclination towards the affordable segment properties below Rs 50 lakhs, comprising 48% of the transactions. This trend aligns with the increase in property prices in Bangalore to the tune of 5% annually. Properties valued at Rs 50 lakhs to 1 crore witnessed a slight Q-o-Q uptick in Q4 at 34%, underscoring the preference towards mid-segment homes with state-of-the-art amenities. Further, luxury and ultra-luxury segment also increased from 15% in Q3 to 18% in Q4, indicating an increasing shift towards high-end properties. The demand for spacious homes was evident in this quarter where 1000-1500 sq ft homes dominating the transactions, closely followed by 1500-3000 sq ft.

Undeniably, in the past two years, Bengaluru’s real estate landscape has undergone substantial advancement. Fueled by key growth factors such as the robust presence of IT/tech hubs, a thriving modern housing sector, and top-notch infrastructure, the city’s realty segment is poised for significant expansion. In the days ahead, it will be fascinating to observe how the city strategically navigates further to capitalize on the multiple opportunities available for homebuyers across various segments