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India's real estate growth is shifting beyond metros, according to BHARAT 2030: The Silent Surge of Tier-II and Tier-III Cities, a report by CII's Ashwinder R. Singh. Cities like Raipur, Belagavi, Salem, Udaipur, Aurangabad, and Ayodhya are emerging as key growth hubs. Driven by rising aspirations, better connectivity, and reverse migration, these regions are becoming vibrant economic centres. Infrastructure-expressways, airports, and metro networks-is now preceding real estate growth. Sectors like EV manufacturing, warehousing, and health-tech are spurring demand for housing. The report urges developers to invest early in affordable housing, plotted developments, and townships. It highlights opportunities for investors beyond traditional markets, supported by local government incentives. This shift promises a more balanced, inclusive urbanisation, with smaller cities poised to shape India's INR 10 lakh crore real estate economy by 2030.
India's real estate landscape is undergoing a quiet yet fundamental transformation, moving away from the traditional dominance of metro cities. A strategic report titled BHARAT 2030: The Silent Surge of Tier-II and Tier-III Cities by Ashwinder R. Singh, a leading voice in the sector and Chairman of the CII Real Estate Committee (North), has mapped out the country's next major growth corridors. Singh, who also serves as Vice Chairman of BCD Group and Advisor to NAR India, has asserted that this shift is not a mere consequence of metro saturation, but rather a structural realignment driven by evolving aspirations, enhanced affordability, and growing accessibility. Advertisement
According to the report, Tier II cities such as Raipur, Belagavi, Salem, Hosur, Jabalpur, Udaipur, Warangal, Tirunelveli, Aurangabad, Siliguri, and Baddi are becoming key players in India's next phase of growth. Meanwhile, Tier III cities including Ayodhya, Dharwad, Sangli, Haldwani, Kharagpur, Barshi, Agartala, Ajmer, Kollam, and Nanded once overlooked are now being recognised as essential components of the projected INR 10 lakh crore real estate economy.
Singh stated that for decades, India's real estate narrative had revolved around the seven to eight top metro cities, but the emerging trend reflected a complete transformation of that storyline. He emphasised that peripheral cities are no longer passive bystanders but are evolving into vibrant economic ecosystems, fostering housing, employment, and infrastructure growth.
The report pointed to Bhubaneswar as a pioneer in smart city infrastructure, blending cultural authenticity with walkable urban design. Jabalpur and Gwalior are experiencing township-driven expansion enabled by better road and air connectivity. Meanwhile, Salem and Tirunelveli are emerging as health-tech hubs, emulating Coimbatore's trajectory.
In central India, Raipur, Siliguri, and Belagavi are developing into warehousing hubs due to their strategic geographies and improved logistics networks. Hosur, Aurangabad, and Pithampur are fast becoming electric vehicle manufacturing zones, generating demand for skilled workforce housing and executive accommodations.
The knowledge corridor near Chandigarh including Baddi, Barotiwala, and Derabassi is evolving beyond its industrial roots into integrated live-work ecosystems. Cities like Lucknow and Ayodhya are witnessing a resurgence through government investments, institutional frameworks, and growing religious tourism.
One of the most compelling insights in Singh's report was the observation that infrastructure is now preceding real estate development in Tier-II and III cities. The expansion of expressways, regional airports, railway lines, and metro systems is creating a firm foundation for urban growth. Corporates are entering early, drawn by low land costs, availability of skilled talent, and promising government support. Incomes are rising, education standards are improving, and digital connectivity is expanding catalysing a wave of aspirational homebuyers. Meanwhile, local governments are fast-tracking approvals and offering investor-friendly policies.
Another key driver behind this surge is the phenomenon of reverse migration, with many professionals choosing to return to their hometowns in pursuit of a better work-life balance, greener spaces, and lower costs of living.
In terms of strategic direction, the report encouraged real estate developers to make early moves by investing in plotted developments, affordable housing, and township projects. Collaborating with local partners and ensuring timely project delivery were recommended as essential trust-building measures. For investors, the emphasis was on looking beyond conventional destinations and recognising the potential of cities with infrastructural and policy synergies especially where highways, global capability centres (GCCs), and institutional investments are taking shape. Policymakers, meanwhile, were urged to use these cities as laboratories for progressive reforms such as fast digital approvals, sustainable mobility initiatives, and incentivised ESG practices.
Rather than being dominated solely by the skylines of Delhi, Mumbai, or Bengaluru, India@2030, as the report envisions, will be shaped by the quiet yet determined rise of smaller cities. This evolution is about more than just economic metrics; it's a blueprint for inclusive development, geographic equity, and balanced urbanisation.
For stakeholders from developers and investors to policymakers there is a narrow window to act early and decisively. The future of Indian real estate may no longer reside solely in glass towers but in the aspirations rising from the nation's heartlands.
Source - PTI
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