HIGH-time in Tier II cities

Tricity’s real estate market is gaining strong momentum ahead of festive season, propelled by surging demand, infrastructure growth, and renewed interest from marquee national developers.

The post-pandemic shift in homebuyer preferences, combined with better air quality and lower population density in Tier-II cities, has positioned Panchkula and Mohali, as one of North India’s most promising real estate growth corridors.

Developers like DLF, Hero Realty, Trident Realty, and Eldeco have not only made their mark here but are driving a transformation that mirrors the upscale realty surge seen in metro markets like NCR, Pune, and MMR.

National attention, local advantage

Tricity’s emergence is backed by strong fundamentals. As Chandigarh reaches saturation point, its peripheral cities, Panchkula and Mohali, have emerged as serious contenders, offering both luxury and lifestyle. According to ANAROCK, a real estate consulting and research firm, average prices in Panchkula now range between Rs 6,200-8,500 per sq. ft., up from Rs 5,000-7,500 in 2019. Mohali, too, has witnessed steady appreciation, with current rates touching Rs 8,000 per sq. ft.

The rapid rise of integrated townships, premium residential projects, and upcoming metro infrastructure has not only boosted buyer interest but also drawn attention from NRIs, HNIs, and professionals seeking a tranquil alternative to urban chaos.

Mohali: The NRI and IT magnet

While Panchkula leads in premium living, Mohali has evolved into an NRI and IT professional hub. Its appeal has increased due to Aerocity’s rapid development, IT City, and upcoming metro connectivity. Mohali is now competing with select NCR micro-markets, as average property prices have increased from Rs 4,800 to Rs 7,000 per square foot in 2019 to Rs 5,800 to Rs 8,000 in 2024.

The region is gaining momentum, especially due to NRIs. In 2025, their share of purchases jumped to 18-20%, from 7-10% in 2015-2018.

Developers are streamlining booking procedures and customising offerings to global buyers as a result of currency trends favoring overseas investment.

Smart planning and policy support

Real estate boom in this region is supported by policies in addition to being market-driven. Large-scale infrastructure improvements, from utilities and digitisation to green spaces and traffic control, have been brought about by Panchkula’s inclusion in the Smart Cities Mission.

At the same time, township expansion and affordable plotted development are being facilitated by state initiatives like the Deen Dayal Jan Awas Yojana (DDJAY).

Premiumisation of Tier-II markets

One obvious sign of shifting consumer preferences is the demand for high-end housing. In Q1 2025, homes costing more than ?1 crore accounted for 46% of the national housing market, according to Knight Frank India, a leading independent real estate consultancy. Buyers' preference for large homes with contemporary conveniences and community-focused lifestyles is fueling Panchkula's premiumisation trend.

An increase in female homebuyers is another aspect of this trend. According to ANAROCK, 70% of women now favor real estate as their preferred investment. Women are increasingly purchasing homes in Panchkula that range in price from Rs 90 lakh to Rs 2.5 crore, which contributes to the city's upscale appeal. TNS

DLF bets big on Panchkula

Leading the charge is DLF Limited, India’s largest real estate developer. Its premium project The Valley Gardens in Panchkula has witnessed a 26.7% price appreciation, from Rs 8,329 per sq. ft. at launch to Rs 10,556 per sq. ft., highlighting the soaring demand for luxury living in the region. The project, spread over 34 acres with independent luxury floors, has generated over Rs 1,150 crore in revenue. Notably, a recent transaction valued at Rs 4 crore for a single unit sets a new benchmark for high-value sales in Tier-II cities.

Aakash Ohri, Joint Managing Director and Chief Business Officer, DLF Homes, says families seeking a more peaceful and fulfilling lifestyle are drawn to the serene embrace of places like Panchkula. Additionally, homebuyers are looking for exclusive addresses and a resort-like living experience as they value privacy, comfort, and a luxurious lifestyle with many amenities and facilities. “We have also observed significant interest and investment from NRIs in the region’s real estate market. Many NRIs view the current weakening of the Indian rupee as a favourable opportunity to invest in the market. These investors typically seek high returns through property investments and prefer off-city destinations and larger, superior homes in more peaceful settings by trusted real estate developers.”

Ohri added that over the past three years, there has been a surge in demand for DLF’s low-rise independent floors in Panchkula.

Hero Realty’s foray into Tricity

Hero Realty, the real estate arm of the $5 billion Hero Group, is expanding its footprint in the Tricity region through its flagship residential brand, Hero Homes. With over 5.2 million sq. ft. under development across NCR, Punjab, and Uttarakhand, and a track record of building environment-friendly homes, the company is redefining premium residential living.

The group recently launched Phase 3 of Hero Homes Mohali in Sector 88, following the successful delivery of Phase 1, now home to over 550 families, and the complete sell-out of Phase 2. Spread across 18.5 acres, Phase 3 introduces 172 premium 4.5 BHK residences in two towers, with prices starting at Rs 3.15 crore. Built around the theme 'Parkside Life,' this phase emphasizes expansive green spaces, wellness-centric amenities, and a dual-park living experience. Its proximity to Chandigarh, Panchkula, and key commercial hubs, along with easy access to the airport and arterial roads, makes it a preferred choice for professionals and modern families alike.

Rohit Kishore, CEO, Hero Realty, said: “Real estate in Tier 2 cities is changing rapidly, with more investors exploring options beyond major metros. Mohali stands out as an attractive choice due to urbanisation, improved infrastructure, and a desire for a better quality of life. The strong demand for both affordable and premium housing drives steady growth, while job opportunities in IT, education, and healthcare attract professionals. With excellent connectivity and modern amenities, Mohali is becoming a popular investment destination, promising quality living and long-term value in India's real estate market.”

Trident's premium push

Trident Realty is also expanding rapidly across Panchkula, strengthening its North India portfolio. Flagship projects like Trident Hills Township and Windsong Residences have set new standards for luxury housing in the region. Spread across 200 acres at the foothills of the Shivaliks, Trident Hills offers a curated blend of elegant design, world-class amenities, and panoramic green views. Parvinder Singh, CEO of Trident Realty, said: “Panchkula’s luxury housing market isn't just growing — it’s rewriting the rules. Imagine sprawling homes where modern design meets Shivalik vistas, where every corner whispers exclusivity. Buyers aren’t just investing in bricks and mortar; they're claiming a lifestyle where serenity meets sophistication. With unbeatable connectivity, world-class amenities, and a surge of aspirational buyers, Panchkula isn’t just keeping pace with the NCR — it’s setting the benchmark. This isn’t a trend; it's a revolution.