India: The Quiet Gold Rush for Ultra-Luxury Homes

Located on the outskirts of India’s capital New Delhi, Gurugram was once a quiet agrarian village, characterized by wide wheat fields, and sights of tractors and cattle crossing unpaved roads. However, over the past four decades, this sleepy suburb has undergone a remarkable transformation. Tractors have given way to Lamborghinis and Maybachs, and farmlands replaced by glitzy towers and premium condos, which are now among the most coveted addresses in north India.

As Delhi ran out of room to grow, Gurugram (Gurgaon) showed the way for urban expansion in the National Capital Region (NCR), attracting substantial investments from multinational corporations and industries along with ambitious town planning. Today it is home to HNW executives and entrepreneurs that aspire for world class luxury living.

Late last year, in Gurugram’s golf-course-road, a penthouse sold for about €19 million, making it the most expensive high-rise condominium in NCR. Earlier this summer, the newly listed Trump Residences in Gurugram quickly sold all of its penthouses for €12.5 million, each.

On the country’s west coast - Mumbai, the financial capital and home to the country’s wealthiest families, has witnessed a surge in high-end real estate activity, with industrialists and bankers grabbing multiple premium, brand new homes in prestigious neighborhoods - some offering expansive views of the Arabian sea. Notably, earlier this year, a pharmaceutical executive purchased two apartments in a posh sea-facing area of south Mumbai for €70.7 million, setting a new record for condominiums in India’s most expensive city.

The demand and supply of luxury housing is growing in other metro cities too. Although, in India, real estate has long been a popular investment asset, buyer intent is shifting from just wealth preservation to expressing refined tastes and contemporary lifestyles, giving rise to a new class of luxury homes in the country.