Bhubaneswar Emerges as Key Growth Engine in India’s Next Real Estate Wave: Report
Bhubaneswar, October 13, 2026: Tier-2 and Tier-3 cities across India are rapidly outperforming major metropolitan areas in real estate growth, with Bhubaneswar emerging as a prime urban corridor, according to a press release detailing a joint report by the Confederation of Indian Industry (CII) and Knight Frank India titled “India’s Next Real Estate Markets.”
The report highlights that across 11 high-potential emerging cities, including Bhubaneswar, residential property prices registered a Compound Annual Growth Rate (CAGR) of 8% between 2016 and 2026. This rate is double the 4% CAGR recorded across India’s top eight metro markets over the same period, signaling a decentralization of real estate demand. Bhubaneswar has recorded a competitive residential price band of Rs 6,550 to Rs 8,550 per sq. ft., supported by state policies, infrastructure development, a thriving MSME ecosystem, and a steady talent pool.
“The CII-Knight Frank report validates what developers on the ground have witnessed over the last few years—the epicenter of India’s growth story is shifting decisively towards Tier-2 cities. Bhubaneswar, with its exceptional blend of modern infrastructure, rapid urbanization, and a high quality of life, has evolved into a mature and highly sought-after real estate destination. Homebuyers and investors today are looking beyond traditional metros, drawn to cities that offer sustainable growth, higher value appreciation, and robust economic drivers. At Oriom Group, we are thrilled to be part of this structural transformation through Oriom Realty, delivering world-class residential and commercial spaces that match the aspirations of a progressive Bhubaneswar,” said Rajesh Agarwal, Director, Oriom Group.
Local market experts noted that high-growth corridors in the city have experienced a surge in demand driven by end-users and non-resident Odias. “The high-growth corridors in Bhubaneswar have seen a massive uptick in inquiries and transactions over the past few quarters. Buyers are increasingly favoring gated communities equipped with modern amenities and green open spaces, leading to faster inventory absorption and healthy capital appreciation across both mid-range and luxury segments,” experts stated.
Commercial and industrial segments are expanding alongside housing. Tier-2 cities recorded 11.2 million sq. ft. of warehousing lease transactions, with Bhubaneswar and select Tier-2 markets contributing 5.3 million sq. ft. With government capital expenditure on infrastructure rising from 39% in FY15 to 55% in FY26, cities like Bhubaneswar are positioned to lead national real estate growth toward a projected $5.8 trillion output by 2047.
