Plotted developments in Bengaluru accounted for nearly a third of all project registrations in the first quarter of 2026. Of the 98 projects approved by the Karnataka Real Estate Regulatory Authority during the period, 32 were plotted developments, more than double the 17 recorded in the same quarter last year. With rising construction costs pushing apartment prices higher, plotted layouts are emerging as a more accessible entry point, particularly in peripheral and growth corridors, experts said.
Plotted projects accounted for 33% of the city’s total RERA registrations in Q1 2026, 32 out of 98 projects, marking the highest share among major Indian metros. The surge is particularly notable compared to Q1 2025, when only 17 plotted developments were registered, this highlights a near doubling of supply within a year, according to NoBroker data.
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What is driving demand for plotted development?
Real estate experts attribute this rise to a combination of affordability constraints and evolving buyer expectations. With apartment prices rising due to higher construction costs, plots are increasingly seen as a more accessible entry point into Bengaluru’s property market.
“Bengaluru’s recent rise in plotted development reflects a shift towards affordability and changing buyer priorities. Plots are more affordable than apartments amid rising construction costs. Infrastructure expansion in peripheral regions, like new expressways and metro corridors, has increased land availability for plotted layouts,” Debayan Bhattacharya, Principal Partner and Chief Sales Officer, Square Yards, said.
Experts said that many are viewing land as long-term lifestyle investments, including future retirement homes or second residences.
End-users lead demand in Bengaluru
While investors and NRIs continue to show strong interest, a significant portion of demand is driven by end users, particularly upwardly mobile professionals. These buyers often already own apartments but are diversifying into land assets for flexibility and capital appreciation, experts pointed out.
“Hybrid work models have diminished the need to live near central business districts, making suburban or planned layouts more viable options. While apartments still dominate the urban housing market, plotted developments have gained popularity as a complementary asset class, especially among buyers who prioritise flexibility and a future-ready living environment,” Bhattacharya said.
Where are the plotted options located in Bengaluru, and at what price?
The trend is especially visible in Bengaluru’s East and North outskirts, where expanding infrastructure, such as new expressways and the upcoming Namma Metro Blue line, is unlocking land supply and improving connectivity.
In South Bengaluru, prices range from ₹4,000 to ₹18,000 per sq f., meaning a standard 30×40 site would cost around ₹50-60 lakh, according to local brokers.
In the North, plot prices begin around ₹5,000 per sq ft in areas like Devanahalli and can go up to ₹8,000 per sq ft. This region is witnessing faster appreciation compared to other zones. “In other parts of North , such as Hennur and Bagalur, plot prices in gated communities developed by Grade A builders are around ₹6,000 per sq ft,” said Rao. “These premium developments come with added amenities, which contribute to the higher cost. While smaller projects are available at lower rates, around ₹4,000 to ₹5,000 per sq ft, they are relatively limited in number,” Manjesh S Rao, Chief Real Estate Officer at BrokerInBlue, said.
In East Bengaluru, plots on the outskirts of Whitefield are in high demand, with prices averaging ₹10,000 per sq ft. Older layouts in the area are quoting rates between ₹10,000 and ₹14,000 per sq ft, he said. However, in well-established and centrally located areas, such as Indiranagar, Jayanagar, or HSR Layout, a 30×40 plot alone can cost between ₹4–5 crore, pushing the total cost of the property well beyond the ₹3 crore mark.
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Faster RERA approvals give plotted developments an edge
On the supply side, developers are actively pivoting towards plotted projects as part of a broader risk management strategy. Compared to high-rise apartment construction, plotted developments require lower upfront capital and avoid volatility in material and labour costs.
“Plotted developments usually require less initial capital than vertical construction because they avoid the high material and labour costs associated with building apartments. This leads to faster project execution and quicker monetisation, which improves cash flow. Additionally, obtaining regulatory approvals for plotted layouts can be less complex in some cases, allowing developers to bring their inventory to market more quickly,” Bhattacharya said.
Real estate experts pointed out that plotted and apartments both require RERA registration, but their approval processes differ significantly. Plotted developments involve simpler approvals for land use conversion, layout, and basic services, resulting in shorter timelines.
In contrast, apartment projects typically involve multiple additional layers of compliance, including building plan approvals, height clearances and environmental certifications, which can extend project timelines considerably, they said.
Will you get a bank loan for a plotted development?
According to experts, financing options for plotted developments vary significantly depending on the buyer’s intent and the property’s nature.
Suresh Sadagopan, a financial expert, explained that buyers looking to build a home on their plot can access financing similar to traditional housing loans. “If a buyer plans to construct a home and live in it, lenders typically offer a composite loan covering both the land purchase and construction costs,” he said.
However, the dynamics change when the purchase is purely investment-driven. In such cases, the loan is classified differently. “If there are no immediate plans for construction, it is treated as a land , which comes with tighter eligibility norms, shorter repayment tenures and relatively higher interest rates compared to standard home loans,” Sadagopan added.
Banking professionals also highlight that documentation plays a crucial role in loan approval, particularly in Bengaluru. According to Sujith Gowda, a banker, lenders typically finance only legally compliant plots. “In Bengaluru, banks generally prefer plots with an A Khata. With recent regulatory changes, having an e-Khata has now become mandatory to secure a bank loan for plotted developments,” he noted.
“According to RBI guidelines, if the buyer constructs a house within two years of purchasing the plot, the loan is treated more favourably. If not, it may attract higher interest rates or penalties,” Gowda cautioned.