Telangana Real Estate Growth After Bifurcation

Telangana Real Estate Growth After Bifurcation

The battle for Telangana's formation, which had its origins in 1969, finally came to an end in 2013 when the Center decided to bifurcate Andhra Pradesh, giving birth to the 29th state of India. Around this moment, Andhra Pradesh, now referred to as Seem Andhra, saw an upsurge in civil unrest that saw Hyderabad Real Estate giving up its claim to its peers.

Let us look at the real picture of the Hyderabad real estate after Andhra bifurcation.

A few years ago, due to state political uncertainty, many planned real estate projects were left unfinished. Even so, the interest of Hyderabad real estate developers has not waned. A lot depends on the growth of the city's corporate investments when it talks about future growth in residential housing. Amazon India is one of the companies that has revealed plans to expand in the city after global internet giant Google. If those plans go ahead, both commercial and residential real estate in Hyderabad gets the much-needed push towards growth.

Hyderabad Real Estate After Bifurcation

The real estate market was plunged into a grim situation during the period of agitation for a separate Telangana, with uncertainty gripping a section of people and investors. Yet even after the bifurcation, Rayalaseema and Andhra Pradesh investors stuck to their Hyderabad businesses. State bifurcation had an adverse impact on Hyderabad's real estate, although the latter enjoyed an excellent record in global infrastructure, job creation capacity, and connectivity. Hyderabad, however, bounced back from an adverse scenario.

To add woes, Real Estate in Hyderabad was hit badly by demonetization in 2016. When the real estate in Hyderabad was limping back to normalcy, demonetization resulted in property sales coming down drastically by 40 percent. Builders, investors, and homebuyers preferred to remain in 'wait-and-watch' mode in the face of note ban. Surprisingly, new launches in the city posted steady growth.

Existing Hyderabad Real Estate 

Hyderabad, also known as Cybercity, has been home to the information technology (IT) and IT-enabled services (ITes) industry. Many pharmaceutical and biotech also have offices here. However, Hyderabad's real estate market had been subdued in the past five years, as the Telangana agitation peaked.

 The infrastructural development and government initiatives like the metro rail project, Laying of CC Road, Flyover, foot over, 2BHK housing scheme, gave a huge impetus to the real estate sector in Hyderabad. Even though there is a slightly sluggish in the real estate sector due to COVID 19 pandemic, government special measures are helping the revival of the market to an extent. Telangana's real estate sector is expected to be back on its feet in the next three to six months as there has been a revival of construction activity in Hyderabad.

Real Estate to Get a Facelift Soon 

Owing to the affordable property values compared to other larger cities of India, Hyderabad realty has always been an end user's market. Now investors are expected to make an entry in the city, which will give a push to the real estate market of Hyderabad. Despite the excellent infrastructure and connectivity offered by the city, people were reluctant to invest in the property market. With special government measures to uplift the real estate sector, the city is likely to attract more investors on account of affordability as well as returns on investment. Looking at this, the future of Hyderabad realty seems promising. 


The real estate industry in 2020 is tipped to be the year of affordable homes for everyone. Further, there is going to be a significant improvement in housing quality, which would provide the much-needed drive to the revival of the real estate sector.

By: Shailaja K