NEW DELHI: Gurgaon’s recent infrastructure collapse has severely affected real estate sales, resulting in a notable decrease in site visits by potential buyers, according to developers and brokers.
Experts suggest that improved infrastructure and the forthcoming airport may lead Noida to outpace Gurgaon.
“We’ve urged the government to prioritize development in Gurgaon, which is a significant revenue source for Haryana but continues to be overlooked. The city’s infrastructure can barely handle a few bouts of rain, causing major disruptions that deter investors. This has visibly impacted sales recently, giving Noida an edge,” stated Praveen Jain, chairman emeritus of the National Real Estate Development Council.
Instances of the city grinding to a halt due to rain have occurred four to five times, leaving residents stranded for six to eight hours.
Areas such as Golf Course Road, where a penthouse sold for ₹190 crore; Golf Course Road Extension, with prices ranging from ₹7-15 crore; and Southern Peripheral Road (SPR), where apartments start at ₹5 crore, are increasingly plagued by potholes.
“Over the past two decades, Gurugram has developed into an important economic corridor, outpacing the physical infrastructure managed by the government. The lack of a dedicated authority for infrastructure like Noida’s has resulted in significant gaps,” explained Ashok Kapur, chairman of Krishna Group and Krisumi Corporation.
Numerous multinational executives have taken to social media to highlight the city’s inadequate infrastructure and poor waste management.
“For sustainable development, it is essential that infrastructure progress matches real estate growth, allowing Gurgaon to transform into a world-class urban center,” emphasized Vipin Sharma, chairman and founder of Aarize Group in Gurgaon.
Intense monsoon seasons, bringing 600-700 mm of rainfall annually in short intervals, overwhelm drainage systems and exacerbate traffic issues. Delays in roadwork and civic improvements significantly affect livability and investor confidence.
“Most properties developers claim to sell within hours are purchased by investors looking for quick profits. However, end users are absent from the market, forcing these investors to struggle to meet upcoming payments. While rain has deterred buyers, the impending Shraddh period (September 7-21) will further slow activity. Our only hope now rests on the festive season when developers have planned launches,” commented an anonymous brokerage executive.
According to Anarock data, sales in the National Capital Region during the April-June quarter amounted to 14,255 apartments—the lowest first-quarter total since 2021.
Overall, there was a 20% annual decline, with about 96,285 units sold in the quarter compared to 120,335 units the previous year.
Market momentum has slowed as continuous price increases in 2023-24 have strained affordability, prompting caution among buyers and investors amid global uncertainties. Developers may need to adjust their launches and pricing strategies, striving for more balanced conditions by late 2025, according to insiders.
