South Delhi's Luxury Independent Floor Prices Soar by 105% in Three Years
South Delhi has witnessed a significant surge in luxury independent floor prices, with an increase of 64-105% since 2022, driven by high demand from affluent buyers.
Real EstateLuxury HomesSouth DelhiProperty PricesInvestmentReal Estate NewsJun 20, 2025
Smaller floors measuring up to 2,500 sq ft in top localities are fetching upwards of Rs 16 crore, while similar sized floors in Category-B colonies have crossed Rs 8.5 crore. According to the classification of colonies by the Municipal Corporation of Delhi (MCD), Category-A colonies in Delhi include Vasant Vihar, Vasant Kunj, Neeti Bagh, Shanti Niketan, New Friends Colony, Anand Niketan, Chanakyapuri, Greater Kailash, Panchsheel Park, Gulmohar Park, and Green Park, among others. These areas are characterized by high property values and are typically the most sought-after residential locations.
Ankur Jalan, CEO of GGF, stated that South Delhi is currently the most premium real estate market in the National Capital Region (NCR), with per sq ft rates in Category-A locations ranging between Rs 60,000 to Rs 90,000, and Category-B locations ranging between Rs 36,000 to Rs 56,000, depending on the floor and the colony. “With growing interest from start-up founders and businessmen, South Delhi has emerged as a destination with privacy and customised spaces for the ultra-rich. Its connectivity to the office hubs in Gurugram and Noida, and to the airport, adds to its appeal. The excellent return on investment is another factor that has added to the growing interest,” Jalan said.
Between June 2022 and June 2025, in Category-B colonies—which include Defence Colony, South Extension, Anand Lok, and Andrews Ganj, among others—the average price for a floor of up to 2,500 sq ft has risen by approximately 70 percent, from Rs 5-6.5 crore to Rs 8.5-11 crore; for a 3,200 sq ft floor, the price has risen approximately 64 percent, from Rs 8-11 crore to Rs 13-18 crore.
Jalan also highlighted the redevelopment potential of South Delhi, which is estimated to be worth Rs 5.65 lakh crore across 42 MCD regulated colonies, with plots (occupied and vacant) in Category A and B colonies alone accounting for over Rs 5.35 lakh crore. “High Net Worth Individuals (HNIs), Non-Resident Indians (NRIs), and family offices, who earlier invested in local properties without the cushion of compliance and safety, are now investing in AIFs that in turn invest in such colonies. With returns as high as 18-20 percent without the hassle of maintenance, AIFs have opened up a new avenue for these investors,” he said.
Frequently Asked Questions
What is the current price range for luxury independent floors in South Delhi?
Luxury independent floors of up to 6,000 sq ft in Category-A colonies like Vasant Vihar, Neeti Bagh, Sunder Nagar, and Chanakyapuri now command between Rs 36 to 45 crore, up from Rs 18–22 crore three years ago.
Which areas are classified as Category-A colonies in South Delhi?
Category-A colonies in South Delhi include Vasant Vihar, Vasant Kunj, Neeti Bagh, Shanti Niketan, New Friends Colony, Anand Niketan, Chanakyapuri, Greater Kailash, Panchsheel Park, Gulmohar Park, and Green Park.
What factors are driving the increase in property prices in South Delhi?
The increase in property prices is driven by sustained demand from affluent buyers, connectivity to office hubs in Gurugram and Noida, proximity to the airport, and excellent return on investment.
What is the redevelopment potential of South Delhi?
The redevelopment potential of South Delhi is estimated to be worth Rs 5.65 lakh crore across 42 MCD regulated colonies, with plots in Category A and B colonies alone accounting for over Rs 5.35 lakh crore.
How are AIFs contributing to the real estate market in South Delhi?
AIFs are providing a new avenue for High Net Worth Individuals (HNIs), Non-Resident Indians (NRIs), and family offices to invest in South Delhi's real estate, offering returns as high as 18-20 percent without the hassle of maintenance.
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