Kolkata: The city’s residential market is seeing a clear shift in developer strategy with new supply moving decisively towards premium and luxury housing.
“The West Asia tensions have sharply pushed up steel, fuel-linked logistics, imported finishing materials and MEP costs, adding another estimated 8%-10% to overall construction costs. Nationally, construction costs for standard-plus residential projects across the top seven cities rose 34% between 2021 and 2025, while average residential capital values climbed 59%.
Factors, such as infrastructure-led appreciation, demand-supply dynamics, location premiums and developer pricing, have contributed to the increase in residential capital values,” Anarock Group vice-chairperson Santhosh Kumar said. Sugam Homes chairperson Ashok Saraf said there was certainly some merit in the view that premium housing garnered increased attention from developers amid rising input costs and periodic market uncertainties. That said, the growth of premium housing is not solely a response to prevailing market dynamics.
“Land prices in major cities have risen sharply in the past five years. Over the past four decades, we have seen a significant evolution in the aspirations of homebuyers, particularly in Bengal. You Can Also Check: Gold Rate in Kolkata | Silver Rate in Kolkata | Bank Holidays in Kolkata | Public Holidays in Kolkata | Kolkata AQI | Weather in Kolkata | Petrol Price in Kolkata | Diesel Price in Kolkata | CNG Price in Kolkata | LPG Price in Kolkata
“The segment has historically demonstrated a greater degree of resilience. Today’s discerning consumers place a greater emphasis on quality, design, lifestyle, wellness and community-centric living, which has naturally contributed to the growing demand for premium residential offerings,” said Saraf.