The picturesque Nandi Hills is emerging as a favored vacation home destination in Bangalore’s own backyard. The beautiful region known for green hilly terrains, natural springs & lakes, misty clouds, and popular tourist sites is luring real estate developers and buyers alike. In the past 12 years, property prices have moved up by 259%, reaching Rs 6426 per sq ft in 2022 from Rs 1790 per sq ft in 2010, as per the latest research by 360 Realtors.
In the premium segment, the jump is steeper with over 350% growth in the past 12 years. Currently, average prices of luxury properties are over Rs 10,000 per sq ft at Nandi Hills. The region, which is located just ~ 60 km from the Bangalore city centre (around ~ 20 km from the airport), is a thriving ground for vacation or second homes comprising plotted developments, gated villas, cottages, low-rise buildings, farmhouses, etc.
The Nandi Hills region continues to gain momentum as home buyers, second-home enthusiasts, investors, hospitality developers, and vacation villa operators are getting lured to the region in big volume. The average property prices have jumped up 4.6% during 2020-22, despite the slowdown caused due to the pandemic. During 2015-2020, the average property prices have grown by a CAGR of 11.7%.
Commenting on the growing popularity of Nandi Hills, Ankit Kansal, MD & Founder, 360 Realtors, says, “In addition to scenic beauties and serene environment, Nandi Hills’ growth is also backed by solid economic foundations. The region is close to the bustling employment markets of North Bangalore and the airport region, which further fuels demand.”
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“On a normal day, Nandi Hills receives around 3000 tourists. During weekends, it can go up to 8000. An upbeat tourist market naturally connotes an upswing in property demand,” adds Kansal.
Hitherto Nandi Hills was managed by the Horticulture department. However, recently the region has been taken over by the state tourism department, with a key objective to develop top-class tourism facilities and infrastructure. Numerous big projects are under development, including a 2.9-km-long ropeway, trekking trails in nearby hills, hotels & resorts, public gardens, shopping complexes, musical concerts hall, etc. The G-20 delegates coming to Bangalore will also visit Nandi Hills, adding to its overall reputation.
Nandi Hills is also a preferred destination for long leases, workation, and remote working by business professionals, tech entrepreneurs, creative professionals, consultants, etc. Besides working, there are plenty of complimentary activities to do such as trekking, cycling, nature walking, yoga, meditation, etc. Adjacent to Nandi Hills is thick forest reserves with plenty of animals, migratory birds, etc. drawing the attention of wildlife enthusiasts, photographers, nature lovers, etc.
As Nandi Hills is gaining a formidable reputation as Bangalore’s lush green backyard, the rental market is also accelerating. There are premium 3 BHK & 4 BHK villas that start from Rs 75,000 per month and can go up to Rs 450,000 in monthly rentals. As per research by 360 Realtors, the average annual rental yield is around 6.6%, making it a stiff competitor of other fast-growing second home markets in India such as Lonavla (5.9%), Ooty (4%), and Sindhudurg (7.2%).