North Bengaluru Emerges as the New Investment Nexus
It was in the 1970’s that the world of the IT industry knocked on the doors of the city of Bangalore. In the span of just over 5 decades, the city is proudly known by its moniker, Silicon City of India, home to 400 Fortune 500 companies. Not only that, the city today is being recognised as the ‘Startup Capital’ of the country, with 10,000 startups currently operating in it.
While for the majority of the decades it has been the eastern corridor of the city dominating the real estate landscape, particularly when it comes to commercial spaces like IT parks, business hubs, etc., the city is recently witnessing a change in this trend. Erstwhile relegated to being underdeveloped, North Bangalore has been catching up with its counterpart to become one of the most sought-after real estate avenues in the country. Indeed, the region now proudly stands as a significant centre for employment, currently hosting a workforce of half a million individuals.
From suburban rail connectivity to arterial highways to Special Economic Zones, North Bangalore today has veritably metamorphosed into a major investment hub, with numerous residential projects cropping up. To make your future investment decisions easier, in this blog, we will endeavour to uncover the major reasons behind the transformation of this region into an opportune investment hub.
The Connectivity Revolution
Undoubtedly, it is the connectivity of a region that acts as a major determining factor in terms of a region’s investment potential. In fact, according to a recent study conducted, the presence of progressive metro connectivity has the potential to raise real estate prices by 30% in upcoming locations. It is no surprise then that North Bangalore’s climb to popularity has been propelled by the development of web-interconnected transit infrastructure. From being the second least preferred region in Bangalore in terms of units sold in 2019 to being the hottest destination after the East region post-pandemic, the North’s journey has indeed been unprecedented.
Presently, North Bangalore not only harbours but is also connected to major commercial and residential catchments in the city by Outer Ring Road, Bellary Road, New Airport Road, and Tumkur Road. By virtue of its location, it also lies in proximity to two major industrial hubs: the Bengaluru Mumbai Industrial Corridor and the Chennai Bengaluru Industrial Corridor.
Kempegowda International Airport (KIA):
It cannot be denied that a major contributor to turning the northern part of Silicon Valley into a commercial haven has surely been the inauguration of Kempegowda International Airport (KIA) in 2008. While in the past Bangalore’s tech industries were primarily located in Outer Ring Road (Central Silk Board—KR Puram), Electronic City, and ITPB in Whitefield, the pressure on limited infrastructure has led to overcrowding, bottleneck traffic jams, and incessantly rising property prices. The launch of Terminal 2 of KIA has further doubled the passenger handling capacity of KIA from 2.5 crore passengers annually to 5–6 crore, which is undoubtedly going to usher in a new era of commercial flourishment in the area.
The development of the airport in North Bangalore, in combination with the saturation of other regions, has led to discerning investors turning their attention to this heretofore neglected locale. In fact, the next decade will witness a host of tech parks commencing operations in North Bangalore, with global IT powerhouse Infosys leasing 5 lakh sq. ft. at NorthGate.
Expansion of Metro and Rail Connectivity:
Another major reason for the increased rate of investment is Phase 2 of the Namma Metro Project by Bangalore Metro Rail Corporation Ltd. (BMRCL). Envisioned to strengthen connectivity between North Bengaluru and the rest of the city, Phase 2A includes the metro’s Blue Line connecting Central Silk Board and KR Puram, with 13 stations between them. Phase 2B, on the other hand, known as the airport line from Kasturi Nagar station to KIA, is envisaged to bring the airport and North Bangalore closer to the rest of the city.
In addition to this, South Western Railway has also launched suburban train services to the KIA halt station to further strengthen last-mile connectivity. Not only that, the first-of-kind 148.9-km Bengaluru Suburban Railway’s two corridors ( KSR Bengaluru-Yelahanka-Devanahalli, and Heelalige-Yelahanka-Rajanakunte) are proposed to be completed by 2028. In light of these developments, Hebbal in North Bangalore is primed to become a major transit hub by 2022, with three metro stations and one suburban railway station.
Proposed Developments:
As evidenced above, the Karnataka government has left no stone unturned to turn North Banglore into a commercial and residential hotspot, connected to all arterial roads. Another example of their ardent efforts to propel the Northern region is their proposed 74-km-long, 8-lane access-controlled motorway connecting Tumakuru and Hosur roads via Hessaraghatta Road, Doddaballapur Road, Ballari Road, Hennur Road, Old Madras Road, Hoskote Road, and Sarjapur Road.
The 288 km-long Satellite Bengaluru Satellite Town Ring Road (STRR, NH 948A), a four-six-lane, access-controlled expressway linking satellite towns like Devanahalli with 12 others, is another proposal set to transform the real estate market in North Bangalore.
Infrastructure Catalysing Growth
In recent years, the state government of Karnataka has taken proactive measures to promote the region of North Bangalore as the next manufacturing, business, and IT hub. While in the late 1990s the area was primarily known as an industrial zone with companies such as BEL, BHL, and HMT, and later on the establishment of a Special Economic Zone with Embassy Manyata Business Park in 2006, it only changed soon after the launch of KIA. Today, the locale is a bustling commercial arena, with industry giants like SAP Labs India and L&T Phoenix operating in the area.
Not only that, the Karnataka government has also designated 2980 acres for a defence and aerospace park in Bagalur, out of which 950 acres of Bangalore Aerospace Park have already been occupied by aerospace giants like Airbus and Boeing. A further 250 acres have been earmarked for aerospace companies as Special Economic Zones to invite even more investments to the locale.
In addition to this, India’s first aerotropolis development, called Bengaluru Airport City, is also being planned, which is envisioned to escalate demand for satellite offices and residential units in the region. Planned to be completed by 2025, the 463-acre development is proposed to have numerous social amenities like fine dining restaurants, a concert area, retail avenues, an entertainment village,etc. Add to this, the Special Economic Zone near Devanahalli, with 900 acres already allotted to four companies, is set to quadruple the employment opportunities in the region, driving up demand for residential projects in North Bangalore.
Exceptional Homes Booming in North Bangalore
All these factors have clearly driven the employment opportunities in North Bangalore, with recent research studies affirming that North Bangalore will add a minimum of 3,50,000 jobs, accounting for 30% of office absorption by 2025. This commercial growth has multiplied supply requirements for residential units from 1,00,000 units to the existing 15,000 units. Therefore, investing in North Bangalore is definitely a propitious opportunity that discerning investors must capitalise on in the contemporary market. To make this choice easier for you, we have compiled a list of a few residential properties you must look into while making your decision.
Birla Trimaya: Located in Devanahalli, North Bangalore, the 50-acre community is designed to provide a tranquil haven in the midst of one of the most up-and-coming neighbourhoods in Silicon City. Just minutes away from KIA, the development, Birla Trimaya by virtue of its location, provides endless employment opportunities in addition to being a high-yield investment.
Provident Aerospace Park: Located in the industrial and research hub, Provident Aerospace Park, dedicated to the aerospace industry, the 13-acre development is dedicated to providing its residents with a slew of amenities designed to provide the utmost comfort. With over 40+ leisure and fitness amenities, the 3 and 4 BHK residences are definitely the ideal space to build a life that balances professional and personal life perfectly.
Provident Manchester: Want to live in the hub of one of the most desired and rapidly growing locations in Bangalore? Provident Manchester, located on IVC Road in North Bangalore, is the perfect place for you. Not only are you guaranteed to be located in an up-and-coming commercial hub, but you also get all the privacy you could ever dream of in this low-density gated townhouse community.
In conclusion, North Bengaluru’s remarkable rise to prominence as the city’s focal point is undeniably impressive. With its continued emphasis on infrastructure development and thriving business ventures, this region stands as a shining example of urban growth and progress. As the heart of new opportunities and innovation, North Bengaluru offers a glimpse into the dynamic future of our city.
