Pune: A Prime Investment Destination for Real Estate

Pune's luxury housing segment has grown by 17% year-on-year, surpassing pre-pandemic levels by 12 times, making it a top choice for investors and end-users.

Real EstateLuxury HousingPuneInvestmentKalpataru GroupReal Estate NewsJun 09, 2025

Pune: A Prime Investment Destination for Real Estate

Real Estate News:Pune, 9th June 2025: Pune, the second-largest city in Maharashtra, ranked the number two city in India after Bengaluru, in the Ease of Living Index 2020 released by the Ministry of Housing and Urban Affairs, is fast emerging as one of India’s most sought-after real estate investment destinations. Pune presents exceptional opportunities for both end-users and investors, particularly in the city’s burgeoning micro-markets.

In recent years, Pune has witnessed a surge in demand for premium residential projects, driven by its well-established position as a major IT and industrial hub. According to Cushman and Wakefield’s latest report, over 10,200 new residential units were launched in Pune in Q4 2024 alone. The city’s luxury housing segment grew by an impressive 17% year-on-year, surpassing pre-pandemic levels in 2019 by 12 times and signaling a strong appetite for high-quality living spaces.

Known as the “Oxford of the East” due to the presence of several well-known educational institutions, Pune has emerged as a major educational hub in recent decades, with nearly half of the total international students in the country studying in Pune. Research institutes of information technology, education, management, and training attract students and professionals from India and overseas.

Additionally, recent reports, including Colliers India’s January 2025 assessment, have highlighted Pune as an emerging Tier I city with significant upward potential, especially in micro-markets benefiting from expressway linkages and industrial expansion.

West Pune stands out for its excellent connectivity to the Pune-Mumbai Expressway and a fully developed social and lifestyle fabric. Premium locations like Wakad, Aundh, Baner, and Pimple Nilakh are amongst the most sought after in this corridor.

Hinjewadi, Pune’s largest IT hub, continues to be the focal point of real estate activity, contributing to over 50% of the total new launches in Q4 2024. The upcoming Pune Ring Road, enhanced metro connectivity, and ongoing infrastructure upgrades are further propelling growth in these areas.

Capital values in the NH4 Bypass (North) corridor, encompassing Hinjewadi, Baner, Balewadi, Pashan, Wakad, Punawale, and many more in the same belt saw an impressive year-on-year appreciation of 29%, underlining the investment potential of this region.

Kalpataru Group has developed a prime land parcel next to Baner Hills, featuring two of its residential projects – Kalpataru Jade Residences and Kalpataru Jade Skyline. Kalpataru Jade Residences, now nearing completion, stands as a testament to Kalpataru’s commitment to design thinking and lifestyle, offering a rare blend of urban convenience and natural serenity. What sets it apart is a 500-acre biodiversity park as its backdrop, expansive vehicle-free central greens, a forest grove within the project, three swimming pools, a tennis court, bocce ball court, badminton court, a theatre, a multi-level clubhouse, and much more.

Pune is witnessing a growing demand for larger homes, with an average size driven by a shift towards the luxury and premium segment. Strategically located, Kalpataru provides spacious layouts with generously sized bedrooms and well-planned balconies that enhance the living experience. To ease property purchase, Kalpataru offers a subvention scheme for some of its projects, making homeownership more accessible and convenient.

Over the years, Kalpataru has expanded its footprint across Pune’s most promising corridors, including Aundh, Kalyani Nagar, Baner, Wakad, Pimple Gurav, and Manjri.

Their latest premium project on Sinhagad Road called Kalpataru Blossoms blends Pune’s rich cultural legacy with modern development. Ideally located just minutes from the iconic Rajaram Bridge and the city’s historic commercial hubs like the Peths and Laxmi Road, this project is designed to be Sinhagad Road’s most thriving gated community. With easy access to the Mumbai-Bengaluru Highway, it also provides good connectivity to Hinjewadi IT hub and Mumbai.

With consumers favoring branded developers in Pune, they have an edge over other developers in terms of pricing as well as sales. Branded developers in Pune area, which includes submarkets of East, West, North, South, and CBD areas usually command an average premium of 15%-30% over the sub-market average capital price, because of better amenities, construction quality, and brand trust amongst buyers.

Pune’s appeal lies not just in its infrastructure, but also in its cosmopolitan ethos and green spaces, making it an ideal destination for end-users and investors alike. The projects in Pune offer access to leading educational institutions, healthcare facilities, commercial hubs, and recreational spaces, making them ideal for professionals and families alike. Moreover, the city’s proactive government policies and business-friendly environment continue to position Pune as a magnet for institutional investments and private capital.

With Pune’s strong base of established industries and a growing preference for IT/ITES, manufacturing, and R&D companies, the city continues to attract a steady influx of professionals, further driving demand for quality housing from expatriates, senior executives, and a growing millennial workforce.

Pune seamlessly blends metropolitan growth with its rich traditions, and developers like Kalpataru, with a legacy of over five decades, are shaping thriving gated communities for the city’s evolving landscape.

Frequently Asked Questions

What are the key factors driving the real estate market in Pune?

The key factors driving the real estate market in Pune include its strong IT and industrial sectors, excellent infrastructure, educational institutions, and a cosmopolitan ethos with green spaces. These factors make it an attractive destination for both end-users and investors.

Which areas in Pune are seeing the highest growth in real estate?

West Pune, particularly areas like Wakad, Aundh, Baner, and Pimple Nilakh, are seeing the highest growth in real estate. These areas benefit from excellent connectivity to the Pune-Mumbai Expressway and a fully developed social and lifestyle fabric.

What is the significance of the luxury housing segment in Pune?

The luxury housing segment in Pune has grown by an impressive 17% year-on-year, surpassing pre-pandemic levels by 12 times. This growth signals a strong appetite for high-quality living spaces, driven by the city's well-established position as a major IT and industrial hub.

How does Kalpataru Group contribute to Pune's real estate market?

Kalpataru Group contributes to Pune's real estate market by developing premium residential projects that offer a blend of urban convenience and natural serenity. Their projects, such as Kalpataru Jade Residences and Kalpataru Blossoms, are strategically located and come with a range of amenities and facilities.

What are the advantages of investing in branded developers in Pune?

Investing in branded developers in Pune offers several advantages, including better amenities, construction quality, and brand trust. Branded developers usually command an average premium of 15%-30% over the sub-market average capital price, making them a preferred choice for buyers.