The Mumbai-Delhi Expressway is a proposed 1,350-km-long, 8-lane wide (expandable to 12-lane) under-construction highway that will connect two of the country’s major business hubs Mumbai and Delhi. This expressway is expected to reduce travel time between the two cities from the current 24 hours to about 13-15 hours. A part of India’s ambitious Bharatmala Pariyojana project, an umbrella programme for the highways sector that focuses on optimising the efficiency of freight and passenger movement across the country, the highway aims to improve the connectivity of the country’s road network. Let’s find out how this will affect the value of real estate both commercial and residential in the foreseeable future.
Highway To Growth
Besides significantly reducing travel time and connecting the financial capital of India, Mumbai, to the political capital, Delhi, the highway will largely improve the free flow of goods and services between the two cities in a more time-efficient manner.
Surjeet Jha, Founder & CEO Samagra Realty, shares, “The Mumbai-Delhi Expressway is expected to pass through major cities including Ahmedabad, Udaipur, Jaipur, and Vadodara. And so, this infrastructural project will not only impact real estate in Mumbai and Delhi but also the above-mentioned cities. ” The impact will be seen in sectors other than real estate too. “This expressway is expected to bring down travel costs, and along with that, the cost of transportation-related to people and goods. Along the route of the said project, there are several godowns and logistical warehouses as well as factories. The value and demand of these will rise substantially with the new expressway in place,” he adds.
The project will also generate employment opportunities in infrastructural construction, transportation, real estate construction, and so on.
All-round Economic Development
As the project will boost connectivity between major cities and towns, this will enhance economic activity and drive the demand for residential and commercial properties. “While we are not entirely certain, forecast trends suggest that the expressway will lead to a shift in the population to urban and rural areas along the route of the expressway from smaller parts of the country. The rise in population along the line will also increase the demand for real estate in these areas. Therefore, you are likely to see an increase in real estate prices.
That said, there could be a slight, temporary disruption or negative impact to the real estate sector too,” suggests Keshav, a real estate consultant, and broker based in Gurgaon. This disruption in the demand for real estate along the expressway can be attributed to temporary inconveniences such as construction-related noise, traffic detours, and dust/ air pollution. “All this is temporary, and as soon as the project nears completion, the demand for real estate will increase,” he adds.
Overall, the impact of the expressway on real estate prices is likely to be mixed. “While some areas may experience a surge in demand and prices, others may face negative consequences. There might not be great demand for places around villages, forested areas, and other isolated regions that fall along the line,” explains Deepali.
While the Mumbai-Delhi Expressway is a significant infrastructure project that will bring immense economic benefits and employment opportunities, real estate investors and end-users must consider all factors before making a decision.
