Foxconn Sparks Land Price Surge in Devanahalli, North Bengaluru

Devanahalli, located in North Bengaluru, is witnessing a sharp surge in real estate activity as Foxconn’s upcoming iPhone manufacturing facility nears completion. Industry analysts have observed a spike in both residential and commercial property demand, driven by expanding job opportunities and rapid infrastructure upgrades. With iPhone production expected to begin by early June, the area is fast emerging as a magnet for real estate investors and end-users alike.

Apple's India Push Fuels Local Real Estate Demand

According to a recent social media post by Karnataka’s Industries Minister, Apple CEO Tim Cook had confirmed that most iPhones sold in the US in the June quarter would be made in India. The announcement added momentum to an already accelerating demand in the Devanahalli real estate market. Foxconn’s expansive 300-acre campus is slated to house around 30,000 workers and includes dormitories, making it the largest such facility in the country.

Land Prices See Double-Digit Growth

Real estate consultants have noted a sharp appreciation in land values since Foxconn’s entry into the region. Some estimates suggest a 30–35% rise in land rates within a short span. Developers are leveraging proximity to the Foxconn site as a key marketing hook, with taglines like “just 10 minutes from Foxconn” proving effective in attracting interest.

Transformative Infrastructure Aiding the Rise

Devanahalli’s transformation is being supported by major infrastructure projects such as the Kempegowda International Airport, the Satellite Town Ring Road (STRR), and upcoming IT parks. Industry players are calling it the ‘poster boy of North Bengaluru,’ reflecting its new identity as a real estate hotspot. ANAROCK data suggests that land prices in the area have doubled over the past three years, and risen as much as 175% in the last five years.

Hotspots for Plots and Villas

Plotted developments are primarily aligned along the STRR corridor, where land prices range between ₹5,500–6,000 per sq. ft. for standard offerings, and up to ₹7,500–8,000 per sq. ft. for Grade A developments. Given limited inventory, appreciation rates of 20%–28% per annum have been recorded.

Meanwhile, luxury villa projects have taken root along the IVC Road. Prices for these high-end homes begin at ₹5 crore and can cross ₹6 crore in boutique and premium developments such as Sobha Oakshire and White Lotus. Properties that were priced at ₹2.5–3 crore a year ago are now commanding ₹5 crore, showcasing the velocity of price growth in this segment.

Apartment and Rental Markets Respond

Apartment listings have seen an uptick in Devanahalli’s core residential zones. Entry-level 2BHK apartments start at ₹80 lakh, while 3BHK units in premium townships range between ₹1–2 crore. According to market data, listings on platforms like NoBroker have increased by 30% over the past year.

Rental yields in the region have also jumped. Rent for a 2BHK in gated communities has almost doubled in one year—from ₹12,000–13,000 to ₹25,000. Luxury villas are attracting monthly rents between ₹1.5 lakh to ₹2.5 lakh, often from expatriates, CXOs, and professionals. Devanahalli’s rental yield growth of 30% from 2024 to 2025 stands well above the city average of 10%.

Construction Norms Shape Local Real Estate Profile

Due to the proximity to the airport, height restrictions limit most buildings in Devanahalli to seven floors. This regulatory framework has nudged developers to prioritise villa and plotted developments over high-rises. However, experts have flagged a lack of large hospitals in the vicinity. In response, many new townships plan to incorporate healthcare facilities as part of their development blueprint.

Education Infrastructure Boosts Attractiveness

Adding to the region’s appeal is the presence of reputed institutions such as GITAM University, Amity University, Harrow International School, and Chanakya University. This education infrastructure is supporting a growing ecosystem of families, students, and professionals, further cementing Devanahalli's status as a high-growth urban zone.

Disclaimer: This news article is based on inputs from real estate experts and public domain updates. Readers are advised to independently verify all investment decisions.