Realty sector's growth in South Hyd hinges on Future City's success

Hyderabad

With the Telangana government aggressively promoting the upcoming Bharat Future City hub, the real estate sector in South Hyderabad is fast transforming into one of the city’s growth areas.

For years, Hyderabad West has set the benchmark for real estate performance. The Financial District alone recorded a 25.7 per cent surge in 3BHK rentals in FY25, far above the city average of 2–3 per cent. Global tech majors - Google, Microsoft, Amazon, Apple - collectively created over 100,000 jobs, pushing residential absorption and land prices to record highs. Infrastructure investments like Metro Phase-2, enhanced ORR access, and new office towers cemented West Hyderabad as the city’s economic nerve center.

Now, South Hyderabad is rising on the back of powerful fundamentals. With investments exceeding Rs12,000 crore, more than 25,000 new jobs expected by mid-2026, and a pipeline of marquee projects, the region is emerging as the city’s newest hotspot for developers, investors, and homebuyers.

At the heart of this surge lies the state government’s ambitious plan for Bharat Future City, a futuristic, net-zero carbon urban hub coming up in Mucherla. Strategically located between the Srisailam and Nagarjunasagar highways, the township promises metro connectivity, seamless access to the Outer Ring Road, and fast reach to Rajiv Gandhi International Airport (RGIA). Even before its formal launch, companies have begun establishing facilities in Maheshwaram and Kandukur.

Several transformative infrastructure corridors are accelerating this trajectory: The 354-km Regional Ring Road (RRR); Twelve new radial roads enhancing cross-city mobility; ORR expansion and upgraded highway networks.

Hyderabad’s broader property market continues to deliver strong signals. Property values rose 6 per cent year-on-year in June 2025, while luxury housing demand jumped 73 per cent in October 2025. Q4 2024 recorded 16,644 home sales and 11,081 new launches.

According to Ratnakar Yadav, a real estate consultant and analyst, these projects are unlocking previously untapped land parcels, enabling new villa communities, gated projects, and integrated townships across Tukkuguda, Adibatla, Shamshabad, Shadnagar, and Maheshwaram.

South Hyderabad, notably, registered 1,097 new project launches in 2025 alone, the highest for any city zone. The region’s appeal is driven by improved connectivity, rising job creation, and relative affordability compared to the sharply premiumised western corridor.

Beyond residential growth, South Hyderabad is becoming a major commercial powerhouse. Key catalysts include: Aerospace SEZ at Adibatla, with TCS and global aviation majors; Logistics expansions around Shamshabad, driven by airport proximity.

The analyst said these developments are laying the foundation for a balanced ecosystem of employment, housing, and urban amenities

The Regional Ring Road, a 340-km, 100-meter-wide expressway connecting seven districts and 163 villages, is widely viewed as Hyderabad’s ‘next ORR moment.’ Areas like Shadnagar, Burgula, Kondurg, and Thirumalapur fall within its zone .

While Hyderabad West continues to remain a mature and influential real estate hub, the southern corridor is also evolving — backed by large-scale infrastructure, future-ready urban planning, corporate investments, and rising residential demand, observed the analyst.

In the past, the state government incentivized investments and real estate projects in northern and eastern parts of Hyderabad to ease burden on the West Hyderabad. But that did not yeild positive results till now. In this backdrop, the real estate sector’s growth in South Hyderabad hinges on the success of Bharat Future City project.