Bengaluru outskirts: Ideal second-home spots

The outskirts of Bengaluru and nearby hill stations are increasingly catching the attention of people looking for a second home away from the bustling city life.

These destinations not only offer a break from the chaos of the urban jungle, but also provide a chance to experience nature’s beauty up close.

Destinations such as Nandi Hills, Hosur, Sakleshpur, Kanakapura Road, Chikkamagaluru and Ooty are gaining traction as new homes for the affluent. Nestled between lush hills, coffee estates, vineyards and wildlife sanctuaries, these places offer a perfect investment option as well as a peaceful haven for those seeking sustainable living.

For serial entrepreneur Koo App founder Apramey Radhakrishna, the blurring lines between work and home and the pandemic made him invest in the second Rewild-Kanakapura road project. “As entrepreneurs, we do not have any work timing, and having a second home helps to decelerate from work, and some even helps us have a different perspective on work too,” he said.

The locations not only offer a serene environment but also provide opportunities for adventure activities, including trekking, camping and exploring the area’s flora and fauna. With a surge in demand, these destinations are fast becoming hubs of spacious layouts, luxury villas and houses.

“This is a retreat for us, where the plantation is grown in an organised manner and managed by the developer. We can relish the tranquility and plantations while being in proximity to the city,” said N Balasubramanian, chief executive of Sresta Natural Bioproducts that sells products under the 24 Mantra Organic brand. “This aligns with our ideology of consuming organic food, which is the reason for our purchase of a second home in Bangalore, where we started our business.”

These destinations, with increasing availability of affordable properties and easy accessibility to the city, are also gradually becoming popular among people from diverse backgrounds, from retirees to working professionals and entrepreneurs.

“Many individuals in their 40s and 50s are interested in buying managed farmlands and homes for weekend getaways … Investors are also getting involved in farming and other activities, recognising these properties as valuable both for personal enjoyment and long-term appreciation,” said Srinath Setty, cofounder of Hosachiguru, which specialises in managed farmland.

The concept of retirement and a second home started catching up among Bengaluru residents in the past decade, when Mysore and Ooty topped the list. Residential options like villas were preferred and were priced between Rs 60 lakh and Rs 3 crore in 2012.

According to industry estimates, India’s retirement and second home market segment is expected to grow annually by nearly 24% in the next five years to over $4 billion by 2026.

Development of infrastructure, including road connectivity and availability of essential amenities, has improved the living standards on the outskirts of Bengaluru, said experts in the real estate sector.

“The potential for property value appreciation is attractive to investors, with increasing demand driving prices up. Additionally, the promise of rental income through short-term vacation rentals adds another layer of appeal, offering substantial returns on investment,” said Bhavesh Kothari, founder and chief executive of Property First.

The holiday home market is also moving towards fractionalisation, allowing for joint ownership. “The holiday homes are not used more than 15-20 days in a year by the owner, and now we are seeing demand for Rs 2–6 crore villas that can be shared by multiple owners,” said Saurabh Vohara, founder and CEO of holiday home platform ALYF.

Meanwhile, the market is expected to see an influx of major developers, potentially offering homebuyers more options.

Rosetta Resorts & Holiday Homes is already working on setting up a 100-acre holiday home project within its resort at a Sakleshpur coffee plantation.

“This move towards providing holiday homes for regular income is expected to have a significant impact on the real estate market, particularly in the second home segment. It will provide more options for home buyers and investors, while also contributing to the growth and development of the industry as a whole,” said Errol Fernandes, Chairman & Managing Director, Rosetta Resorts and Holiday Homes.

According to industry estimates, the holiday or vacation home market in India is expected to be worth around $10 billion over the next 5–8 years. Currently, a quarter million families in India own holiday homes.

Related post