Hyderabad has achieved record-breaking land prices. Two major land parcel auctions generated Rs 2,500 crore. Gowra Ventures paid Rs 1,490.73 crore for a 6.29-acre plot, setting a new benchmark of Rs 237 crore per acre. Vamsiram Builders acquired 5.09 acres for Rs 1,038.36 crore. These sales highlight Hyderabad's robust commercial real estate growth and strong demand for office spaces.
Synopsis
Hyderabad has achieved record-breaking land prices. Two major land parcel auctions generated Rs 2,500 crore. Gowra Ventures paid Rs 1,490.73 crore for a 6.29-acre plot, setting a new benchmark of Rs 237 crore per acre. Vamsiram Builders acquired 5.09 acres for Rs 1,038.36 crore. These sales highlight Hyderabad's robust commercial real estate growth and strong demand for office spaces.
New Delhi: Hyderabad has recorded two biggest land parcel auctions with Telangana Industrial Infrastructure Corporation (TGIIC) generating Rs 2,500 crore by selling the land at whopping more-than-Rs 200 crore per acre.
In an auction of a prime 6.29-acre land parcel in Raidurg Knowledge City, Gowra Ventures paid Rs 1,490.73 crore, translating to Rs 237 crore per acre, the highest price ever achieved for land in Hyderabad.
In another auction, Vamsiram Builders and Developers acquired 5.09 acres for Rs 204 crore per acre, taking the total transaction value to Rs 1,038.36 crore.
“The way Hyderabad is growing and the commercial space is being occupied by GCCs, we are confident about the sustainable demand for Grade A offices. The acquired asset will add close to 2 million sq ft in our portfolio,” said Subba Reddy, chairman and managing director, Vamsiram Builders.
The two recent land auctions surpassed the previous record of Rs 177 crore per acre set in October 2025 at another Raidurg auction.
Live Events
“Despite ongoing geopolitical uncertainties, economic realignments, and structural headwinds influencing global corporate decision-making, Hyderabad’s office market has demonstrated remarkable resilience. As the second-largest leasing market after Bengaluru, the city recorded 4.3 mn sq. ft. of gross leasing activity in Q1 2026, reflecting a strong 39% year-on-year growth,” said Naveen Nandwani, managing director – commercial advisory & transactions, Savills India.
This momentum has been driven primarily by large occupier commitments to Grade-A, campus-style developments, alongside robust GCC-led demand, which continues to account for nearly 70–75% of overall leasing activity.
“Along with Bengaluru and Chennai, Hyderabad reinforces the strength of South India’s office market, underpinned by a deep talent pool, quality infrastructure, and sustained occupier confidence. As market sentiment continues to improve, we expect leasing momentum to remain strong, with Hyderabad playing an increasingly significant role in the next phase of India’s commercial real estate growth,” Nandwani said.
The growth trajectory of Raidurg land values has outpaced many prime markets of the country with the approximate land value in the 2017 auction of Rs 42.59 crore per acre surging to Rs 177 crore per acre in October 2025 and Rs 237 crore per acre in May 2026.
“The latest auction reflects a 34% increase over the October 2025 benchmark, and more than a five-fold increase compared to values achieved in 2017. The Raidurg auctions have become a major source of revenue for the Telangana government. In the last eight months alone, land auctions in the Knowledge City area have reportedly generated over Rs 5,000 crore for the state. Officials estimate that only a limited inventory of land available to be auctioned, which is expected to further strengthen future pricing,” said a consultant.
A recent report by Cushman & Wakefield, underscores South India’s importance to India’s office market momentum. Bengaluru accounted for 31% of quarterly gross leasing volumes, followed by Hyderabad at 22%, while Chennai remained a steady contributor with sustained leasing activity and a growing share of new supply, collectively highlighting the region’s position as a key growth engine for the sector.
Hyderabad continues to gain traction as an attractive GCC destination, with a growing number of global firms deepening their presence in the city. A deep talent pool and a mature occupier ecosystem across BFSI, technology, and professional services reinforce the city's positioning for long-term global capability build outs.
(You can now subscribe to our Economic Times WhatsApp channel)
(Catch all the Business News, Breaking News and Latest News Updates on The Economic Times.)
Subscribe to The Economic Times Prime and read the ET ePaper online.
...moreless
(You can now subscribe to our Economic Times WhatsApp channel)
(Catch all the Business News, Breaking News and Latest News Updates on The Economic Times.)
Subscribe to The Economic Times Prime and read the ET ePaper online.
...moreless