Mumbai's Wealthy Elite Expand Real Estate Portfolios to Include Housing for Domestic Staff

A growing trend among Mumbai's high-net-worth individuals and celebrities has emerged, where affluent homeowners are actively investing in residential properties specifically designated for their domestic help. This phenomenon, which blends employee welfare considerations with strategic real estate investments, has gained significant attention following recent property transactions by prominent personalities including Anjali Tendulkar and Gauri Khan.

Notable Property Transactions for Domestic Staff

According to recent reports, Anjali Tendulkar, wife of cricket legend Sachin Tendulkar, completed the purchase of an apartment in Virar's expanding residential market specifically for her domestic staff. The property, spanning 391 square feet, was acquired for approximately ₹32 lakh and registered on May 30, 2025.

Similarly, interior designer and entrepreneur Gauri Khan secured a two-bedroom apartment in Khar West's prestigious locality, near Pali Hill, for staff accommodation. The 725 square foot property carries a monthly rental commitment of approximately ₹1.35 lakh under a three-year leave and license agreement.

In an exceptionally high-value transaction, an unnamed pharmaceutical company proprietor reportedly invested approximately ₹9 crore in a flat measuring around 1,000 square feet in Bandra's premium residential corridors exclusively for domestic help.

Multiple Factors Driving This Housing Trend

Proximity and Operational Efficiency

Industry observers note that housing domestic staff in close proximity to the employer's primary residence ensures enhanced operational oversight and seamless household management. This arrangement proves particularly beneficial for households with extensive properties or multiple staff members requiring coordination.

Employee Retention and Welfare Strategy

Experts suggest that providing secure housing to domestic workers demonstrates employer commitment and significantly reduces turnover rates. This approach has become an important component of building employer brand reputation among Mumbai's affluent demographic.

Tax and Regulatory Advantages

Under certain circumstances, particularly for female property buyers in Maharashtra, preferential stamp duty concessions apply to residential purchases. These regulatory benefits, as reportedly utilized in Anjali Tendulkar's transaction, make such investments marginally more advantageous.

Status and Social Signaling

For ultra-high-net-worth individuals, investing in staff housing represents a statement of affluence, social standing, and commitment to employee welfare. This practice has become increasingly associated with luxury property acquisitions in Mumbai.

Long-term Asset Appreciation

Properties acquired for staff accommodation remain valuable assets with potential for appreciation. These investments can be repurposed or monetized if staffing arrangements change, providing financial flexibility to property owners.

Market Implications and Patterns

Investment Scale and Geography

While exceptional cases like the ₹9 crore Bandra flat exist, most staff housing investments typically fall within the ₹20 lakh to ₹1 crore range. Properties are predominantly located in suburban areas such as Virar, Khar West, and other peripheral zones rather than ultra-premium locations, balancing cost efficiency with proximity considerations.

Legal Structures and Arrangements

Many such arrangements utilize leave and license agreements rather than outright ownership transfers, granting residential rights to staff members without permanent property transfer. This approach provides flexibility for both employers and employees while maintaining clear legal boundaries.

Gift Transfers and Loyalty Recognition

In cases involving long-term employment relationships, some property owners have reportedly gifted ownership to domestic staff, particularly for lower-value properties. These gestures recognize years of dedicated service and provide retirement security for employees.

Developer Response and Future Projects

Real estate analysts suggest this emerging trend may influence developers to incorporate compact, staff-appropriate housing units or dedicated staff quarters within luxury residential projects. This could reshape amenity planning in premium developments across major Indian cities.

The practice of high-net-worth individuals investing in dedicated staff housing represents a nuanced intersection of employee welfare, real estate strategy, and social signaling. As this trend continues to evolve, it may establish new norms in how affluent households structure employee compensation and retention strategies while simultaneously creating a specialized niche within Mumbai's diverse property market.

Disclaimer: This news article is based on information available from various sources as of October 2025. Property values, transaction details, and market conditions are subject to change. Readers are advised to independently verify all information and consult qualified real estate professionals before making any property-related decisions. The views expressed in this article do not constitute financial, legal, or investment advice.