Hans Business Hyderabad

Industryexperts believe that South India’s long-term real estate growth trajectory continues to remain fundamentally strong.

The three large states of Karnataka, Tamil Nadu and Telangana contribute almost 25 per cent of India’s GDP. Tamil Nadu is the second largest contributor to India’s GDP with share of 9 per cent while Karnataka is close behind with share of 8 per cent. Karnataka is largely driven by IT/ ITEs, Tamil Nadu has diversified economic base including real estate, IT/ ITEs, automobiles and manufacturing clusters. Industry participants also point out that professionally managed real estate investment platforms, AIFs and REITs continue to witness growing investor interest as the sector becomes increasingly organized and transparent. Investors today are evaluating opportunities through a long-term lens, focusing more on structural demand drivers.

Sharad Mittal, Founder & CEO, Arnya Real Estate Fund Advisors, said: “Real estate investments are fundamentally linked to long-term economic indicators such as urbanization, infrastructure growth, employment generation, and end-user demand. Markets backed by strong industrial ecosystems and economic activity continue to remain attractive for long-term real estate capital.”

Sharad, further added: “South India has consistently demonstrated resilience across market cycles. The region continues to benefit from manufacturing-led growth, infrastructure development, and sustained residential demand, which continue to support long-term investor confidence.”