Redefine Real Estate to Include Surrounding Urban Ecosystem, Says Capital Development Secretary
New Delhi, September 21, 2026: Real estate developers must partner with municipalities to address the infrastructure and environmental costs their projects create for the surrounding city, industry leaders and government officials emphasized during an industry conference.
Speaking at the Confederation of Indian Industry (CII) Conference on Evolving Landscape of Indian Real Estate: Navigating Growth, Innovation and Institutionalization, D Thara, Secretary, Department of Capital Development in the Ministry of Housing and Urban Affairs (MoHUA), called for a shift in how real estate value is measured.
“Every development creates an interaction with the larger urban environment, and we need to understand and mitigate the externalities that construction can create for the city,” D Thara said.
Calling for a new public-private paradigm, D Thara urged real estate developers to work closely with municipal agencies to assess project impacts beyond physical boundaries—from water displacement and sewage generation to energy consumption and infrastructure strain. The objective, D Thara stated, should be to create “real estate with value”—where sustainability, resource efficiency, and the ability to reduce the burden on surroundings become part of property value. D Thara urged the industry to measure value beyond price, factoring in resource consumption and environmental impact.
Echoing the focus on broader community impact, Sriram Khattar, Co-Chairman, CII National Committee on Real Estate & Housing and Vice Chairman & MD, DLF Rental Business, highlighted the sector’s evolving role.
“Real estate is no longer just about brick and mortar. It is a living fabric of communities, shaping how people connect, work, live, shop, entertain and experience their surroundings. The focus is increasingly moving beyond the physical structure to creating inclusive, vibrant and sustainable environments that enhance the quality of life,” Sriram Khattar said.
The conference underscored that future urban growth requires responsible resource management and climate resilience. Industry representatives also discussed regulatory streamline requirements.
