The Global Interest - Why the World’s Wealthiest Are Betting on India

Insights and trends shaping the choices of the world’s wealthiest by Montaigne Smart Business Solutions in collaboration with Luxofy Realty and Market Unwinded

The Macro Lens – Big Trends Shaping the Global Elite

India's luxury real estate sector continues its meteoric rise, standing out as a preferred destination for HNWIs and UHNWIs. Recent growth is driven by a unique combination of strategic infrastructure projects, eco-conscious developments, and culturally immersive opportunities. This positions India as a strong alternative to global hubs like Dubai and Singapore.

Montaigne Findings:

• Mumbai, India’s financial capital, ranks as the third fastest-growing prime residential market in the Asia-Pacific region, with a 11.5% year-on-year increase in Q3 2024 (Source: Knight Frank Report).
• Delhi and Bengaluru also perform strongly, with both cities appearing in the top 10 luxury markets in Asia-Pacific for annual price growth.
• Infrastructure enhancements in Dwarka Expressway and Yamuna Expressway in the NCR region are driving luxury property value surges.

Spotlight – India’s Rising Luxury Hubs: Goa, Himachal Pradesh, Bengaluru, and Hyderabad

Goa: Coastal Elegance Redefined

Goa is now recognized globally for its upscale luxury market, offering beachfront villas and eco-conscious developments in hotspots like Vagator and Anjuna. Properties in these regions have seen capital value appreciation of 28% year-over-year, with increasing interest from international investors.

What Makes Goa Stand Out:

• Global Accessibility: Boosted by the Mopa International Airport, making it a preferred choice for NRIs and international buyers.
• Sustainability Appeal: A growing number of eco-friendly homes and properties blending luxury with minimal environmental impact.

Himachal Pradesh: A Luxe Escape in the Himalayas

The serene landscapes of Himachal Pradesh, particularly Kasauli and Shimla, are gaining traction among UHNWIs seeking sustainable luxury. Exclusive estates here combine breathtaking mountain views with cutting-edge eco-friendly features.

Why Himachal Pradesh?

• Proximity to Delhi NCR and Chandigarh, coupled with enhanced road infrastructure.
• An increasing demand for private, green, and tranquil escapes for both Indian elites and foreign buyers.

Bengaluru: The Urban Elite Destination

Known as India’s tech hub, Bengaluru has emerged as a prime market for luxury real estate, fueled by its cosmopolitan lifestyle and high ROI potential. Areas like Whitefield and Koramangala are witnessing unprecedented growth in premium property transactions.

Hyderabad: The Heritage-Modern Fusion

Blending rich cultural heritage with modern living, Hyderabad has become a luxury hotspot, especially in areas like Kokapet and Mokila Developers are offering boutique luxury villas & apartments with amenities that cater to the evolving tastes of HNWIs.

Deep Dive – Global Trends Influencing Indian Luxury

What HNWIs Are Seeking Today:

The preferences of HNWIs and UHNWIs are evolving rapidly. Beyond traditional luxury, they are prioritizing sustainability, experiences, and integrated living spaces that blend convenience with exclusivity.

Key Takeaways this week:

• 71% of UHNWIs globally now prioritize properties with eco-conscious features, such as solar energy, green architecture, and wellness-centric designs.
• A growing demand for experiential luxury, such as estates with private vineyards, bespoke spa facilities, or direct cultural immersion opportunities.

Case in Point:

• A Silicon Valley entrepreneur recently purchased a ₹50 crore eco-luxury villa in Goa, drawn by its unique beachfront setting combined with advanced sustainability features.
• Similarly, a London-based investor acquired a hillside estate in Shimla for its combination of privacy, green credentials, and proximity to the Himalayas' serene landscapes.

Predictions and Projections – The Future of Luxury Real Estate

1. Eco-Luxury Dominance:

By 2030, nearly 50% of global luxury investments are expected to focus on sustainable developments. India is poised to lead this trend, with Goa and Himachal Pradesh among the frontrunners in eco-sensitive construction.

2. Tier-2 Cities on the Rise:

Jaipur, Ajmer and Porvorim are quickly emerging as alternative hubs for UHNWIs. With improved connectivity and lower entry points, these cities offer immense potential for high-value developments.

3. Integrated Luxury Living:

Integrated communities that combine high-end residences with boutique retail, cultural hubs, and wellness facilities will dominate the next decade. Bengaluru’s growing urban luxury segment exemplifies this shift.

Global Luxury Watch – Insights from Around the World

The past week has highlighted several noteworthy developments in the luxury real estate market globally

Dubai:

The launch of DAMAC Islands by DAMAC Properties introduces themed luxury living inspired by tropical paradises like Bali and Seychelles, emphasizing a lifestyle of experiential opulence.

DAMAC Islands represents more than just a development; it's an invitation to experience a new way of living that harmonizes luxury and wellness. - Hussain Sajwani

UAE Real Estate Expansion:

Developers in Ras Al Khaimah are scaling operations across the Emirates, underscoring confidence in the UAE’s property market amidst broader diversification goals.

Singapore:

The First APAC Fund’s $1.36 billion investment in Dubai-based AMIS Development highlights the region’s ability to attract global capital for cutting-edge luxury projects.

India’s Competitive Edge:

Goa and Bengaluru have shown rising interest from non-resident Indians (NRIs), with their combined luxury real estate investments growing by 18% in Q3 2024.

Closing Thoughts

India’s luxury market is not just growing; it is redefining the meaning of affluence and aspiration. The rise of Goa, Himachal Pradesh, Bengaluru, and Hyderabad demonstrates the country’s diverse appeal—from serene retreats to cosmopolitan havens.

As global HNWIs and UHNWIs increasingly look to India for their next big investment or personal retreat, the country is poised to become a leader in the new wave of global luxury.

About Montaigne

Montaigne Smart Business Solutions specializes in business architecture and go-to-market strategies, enabling companies to unlock the potential of high-value markets like India.

About Luxofy

Luxofy curates exceptional luxury real estate opportunities in India, connecting discerning buyers with properties that define exclusivity and elegance.