Noida’s Luxe Leap: How an affordable housing hotspot turns into a city of affluence!

In recent years, Noida and Greater Noida have experienced a remarkable transformation, evolving from hubs of affordable and mid-segment properties to becoming one of the most opulent real estate markets in the nation. Not long ago, properties in Noida were primarily available within the price range of Rs 40-80 lakh. Currently, new property launches frequently surpass Rs 2 crore. This fiscal year has witnessed a notable surge in property prices throughout Noida.

A report from 99-Acres indicates that prices in more than ten areas of Noida have increased by 23% year-on-year, with the most significant rises recorded in sectors 108 (60%) and 144 (51%).

According to the data at hand, the real estate sector in Noida witnessed the sale of 14,822 apartments valued at Rs 24,944 crore during the previous fiscal year, as reported by property consultancy JLL. This surge in sales was paralleled by a significant increase in the average price of apartments, which escalated from Rs 1.24 crore in 2022 to Rs 1.68 crore in 2023. Notably, 23% of these transactions involved apartments priced at Rs 3.5 crore or higher.

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“The Delhi-NCR region, particularly locations such as the Noida Expressway and the Yamuna Expressway, has emerged as a highly desirable area for luxury residential properties. The development of Jewar Airport has further enhanced the region’s appeal to investors. In summary, there is an increasing demand for housing, coupled with a shortage of supply, which is contributing to rising demand and escalating prices,” says Yukti Nagpal, Director, Gulshan Group.

“Noida’s transformation is a result of several key factors. Among them, infrastructure development stands out as a major catalyst. The ongoing construction of Noida airport, the establishment of dedicated industrial sectors, the creation of data centre land banks, and the expansion of an extensive network of roads, railways, and metro lines have greatly enhanced connectivity and logistics in Noida and Greater Noida,” says Amit Modi, Director, County Group.

Sanjay Sharma, Director, SKA Group, says that favourable policy changes have also played a significant role in Noida’s real estate boom. “The state government’s acceptance of the Amitabh Kant Committee’s recommendations, which allowed developers to pay dues in instalments, has eased the process of unit registrations and spurred market growth. At the same time, the push for business and infrastructure development has attracted Fortune 500 companies in IT/ITeS, research, and consulting, which in turn enhanced Noida’s appeal, led to an increase in capital inflows and boosted the demand for luxury properties,” he says.

Numerous developers have taken advantage of these advantageous circumstances to launch ultra-luxurious projects in the area. The Gaurs Group, for instance, has established a new standard with its luxury development, Gaur NYC Residences, located along the Delhi-Meerut Expressway. With a price point of Rs 7,500 per square foot, the project experienced three times the demand on its first day following RERA approval. Additionally, the company’s other two ultra-luxury ventures, Trecento Residences by Gaurs and The Islands by Gaurs, both situated in Greater Noida, have also seen significant price appreciation.

The Country Group’s recently-launched luxury project, Ivory County in Sector 115 Noida, is priced between Rs 15,000 and Rs 16,500 per sq ft. Its other project, Ivy County in Sector 75 Noida — initially priced at Rs 6,000 per sq ft in 2019 — now commands Rs 15,000 per sq ft for ready-to-move-in units.

The Gulshan Group is another major player in this belt. The company’s luxury project, Gulshan Dynasty in Sector 144, situated along the Noida-Greater Noida Expressway, has witnessed a remarkable surge in property values, soaring from Rs 4 crore in 2019 to over Rs 9 crore in February 2024. The company’s projects have also experienced similar increases, contributing to more than 50% of luxury property sales in the last quarter through its various developments in Noida and Greater Noida. The SKA Group’s Destiny One in Greater Noida, Prateek Group’s projects in Ghaziabad and CRC’s upscale commercial project in Noida have also experienced a similar price hike.

The expressway sectors, including sectors 108, 142, 143, 150, and 152, as well as the 7x sectors (73, 74, 75, 76, 77, 78), have seen the most notable price appreciation. For instance, the cost of a three-bedroom apartment in these sectors has increased from around Rs 5,800 per sq ft in 2019 to over Rs 10,000 per sq ft today. Greater Noida West, also known as Noida Extension, has experienced a similar rise in prices. Properties that were priced between Rs 3,500 and Rs 4,500 per sq ft in 2019-20, now sell for more than Rs 7,000 per sq ft.

The evolution of Noida from a market primarily focused on affordable housing to a premier destination for luxury real estate highlights the significant changes the city has undergone. With the Noida Airport nearing completion, the area is poised to attract additional investments from prominent Indian and international firms, thereby enhancing the city’s appeal in the luxury sector.