Thiruvananthapuram Leads Kerala’s Real Estate Boom Driven by NRI Demand
In an unexpected twist, Thiruvananthapuram has outpaced Ernakulam in residential unit registrations under Kerala Real Estate Regulatory Authority (K-RERA) in 2024, marking a significant shift in the state’s real estate landscape. The capital city recorded an impressive 2,987 unit registrations, surpassing Ernakulam’s 2,864, a development that signals growing demand for residential properties in the city. The surge is predominantly attributed to a rising influx of non-resident Indians (NRIs) and professionals from neighbouring states, who are choosing Thiruvananthapuram as their preferred destination for investment and settlement.
Historically, Ernakulam has been the focal point of Kerala’s real estate sector, driven by its cosmopolitan appeal, robust infrastructure, and proximity to major urban centres. Yet, Thiruvananthapuram’s real estate market is rapidly gaining traction, primarily because of the city’s evolving economic landscape and the growing preference for a balanced lifestyle. Real estate experts attribute the city’s appeal to factors such as its expanding IT sector, increased employment opportunities, affordable housing, and the presence of top-tier educational and healthcare institutions. These elements are increasingly drawing NRIs, especially those looking to settle back after stints abroad. “Thiruvananthapuram offers a perfect blend of modernity and tradition, making it an attractive option for NRIs,” stated a senior official from K-RERA.
The city’s appeal doesn’t just stop at NRIs. Thiruvananthapuram has also become a magnet for professionals relocating from other parts of Kerala, particularly Tamil Nadu, seeking opportunities in the expanding IT sector, government services, and emerging industries. The Trivandrum Chamber of Commerce and Industry (TCCI) president, SN Raghuchandran Nair, highlighted key factors driving this trend, including the city’s excellent medical facilities, education system, and its strategic location with seamless connectivity, including the significant boost from the upcoming Vizhinjam Port. Nair further emphasised that the city’s manageable traffic and international consular presence were added attractions for those considering Thiruvananthapuram as their home.
Comparing registration data across districts in Kerala further underscores the prominence of Thiruvananthapuram. While districts like Thrissur (1,236 units) and Kozhikode (1,195 units) recorded respectable figures, they were eclipsed by the state capital. Districts like Palakkad (541), Kottayam (245), and Kollam (54) saw significantly fewer registrations, indicating more subdued real estate activity in these regions. Malappuram (149) and Alappuzha (52) were at the bottom of the list, reflecting limited interest in these areas.
However, this growth in real estate comes with its own set of challenges, particularly around sustainability and urban planning. As the demand for residential units increases, Thiruvananthapuram must address the environmental impact of urbanisation. The city must ensure that development keeps pace with sustainability goals, integrating green spaces, efficient waste management, and energy-efficient infrastructure. Thiruvananthapuram’s ongoing growth in the real estate sector provides an opportunity to redefine urban planning in Kerala, focusing not just on quantity but also on quality of life for its growing population.
