Pune's Luxury Housing Market Drives Real Estate Growth in 2025: Cushman & Wakefield

Pune’s residential real estate market maintained strong momentum in 2025, recording the launch of nearly 44,000 housing units, supported by rising demand for high-end and luxury homes, according to Cushman & Wakefield’s Q4 Residential MarketBeat report.

Premium housing takes the lead

The city saw the launch of 43,795 residential units in 2025, marking a 5% year-on-year growth. A key highlight of the year was the sharp rise in the share of high-end and luxury housing, which increased by around 12% YoY and accounted for nearly 48% of total launches. This shift reflects a growing preference among homebuyers for larger homes, better amenities, and lifestyle-led developments.

The mid-segment remained stable on a year-on-year basis, also contributing close to 48% of total launches, while the affordable housing segment declined by over 10% YoY, indicating a clear tilt in market activity toward higher ticket-size homes.

Q4 momentum driven by mid and premium segments

In Q4 2025, Pune recorded 11,644 residential unit launches, up nearly 8% quarter-on-quarter and 13% year-on-year. The mid-segment contributed about 43% of quarterly launches, followed closely by the high-end and luxury segment at around 47%.

Mid-segment and high-end projects were largely concentrated in the North-East and NH4 Bypass (North) corridors, while luxury housing activity was primarily seen in Aundh–Baner, East, and South-East II sub-markets.

NH4 Bypass (North) dominates new supply

The NH4 Bypass (North) emerged as the most active sub-market, accounting for 4,109 unit launches in Q4 2025 and retaining its leadership position with a 48% share of total launches in 2025.

The area benefited from a strong mix of mid and high-end projects, aided by its strategic connectivity to the Hinjewadi employment hub. Other active sub-markets included the North-East corridor with an 18% share, followed by North Peripheral (13%) and South-East II (10%). Ongoing infrastructure projects such as Metro Line 3 (Hinjewadi–Shivajinagar) and the Pune Ring Road have further enhanced the appeal of the North-East and North Peripheral zones, expanding Pune’s residential footprint.

Capital values rise on premium mix

Pune’s weighted average capital value rose to Rs 12,303 per sq. ft. in Q4 2025, registering an 11% quarter-on-quarter increase, while remaining largely flat on a year-on-year basis. The uptick was driven by a higher proportion of luxury and high-end launches in the overall supply mix.

Rental values remained stable sequentially but recorded a 2–4% YoY increase, supported by steady demand from the IT/ITeS workforce across key employment hubs such as Hinjewadi, Kharadi, and Nagar Road.

Outlook remains positive

Commenting on the market, Moinuddin Patel, Managing Director, Pune, Cushman & Wakefield, said that Pune continues to demonstrate resilience, backed by strong fundamentals. He highlighted that the expansion of the city’s tech sector is driving job creation and demand for premium homes in prime locations like Koregaon Park and Viman Nagar, as well as IT corridors such as Hinjewadi and Kharadi.

Patel added that robust rental growth has made yields attractive for HNIs and NRIs, while infrastructure upgrades—including metro expansion and the planned ring road—are improving connectivity in emerging micro-markets. The ongoing manufacturing and logistics boom is also supporting mid-segment housing demand in areas such as Pimpri-Chinchwad.

While the mid-segment continues to dominate volumes, the growing preference for lifestyle-led, amenity-rich homes is expected to keep premium and luxury housing as a key growth engine for Pune’s residential market in the coming years.