The Shift from Central Bangalore to East Bangalore: A Market Analysis

Over the past decade, Bangalore’s real estate landscape has undergone a significant transformation. While Central Bangalore has traditionally been viewed as the city’s premium residential core, recent trends suggest a strong migration of residential demand and investment towards the eastern parts of the city. Areas like Sarjapur Road, Kodathi Village, and other nearby localities have started drawing attention for their growth potential, infrastructure, and lifestyle value.
This shift is not accidental. It’s rooted in a combination of real estate dynamics, economic activity, urban expansion, and changing homebuyer preferences.
Limitations of Central Bangalore
Central Bangalore, which includes areas like MG Road, Richmond Town, and Indiranagar, has long been known for its heritage, central location, and lifestyle amenities. However, increasing congestion, limited new land parcels, high property costs, and traffic bottlenecks have restricted further residential development.
Key challenges in Central Bangalore include:
- Saturated road networks and heavy vehicular density
- Escalating real estate prices limiting affordability
- Scarcity of large-scale residential developments
- Limited scope for infrastructure expansion
These factors have prompted both developers and homebuyers to seek alternatives that offer more space, better infrastructure, and future potential.
The Rise of East Bangalore
East Bangalore has emerged as a clear beneficiary of this urban shift. Areas like Sarjapur Road and Kodathi Village have evolved from peripheral residential zones into active real estate corridors supported by significant infrastructure upgrades and IT industry growth.
Reasons Behind the Shift:
- Proximity to IT Parks: East Bangalore is home to major IT and tech parks, including RMZ Ecoworld, Prestige Tech Park, and Embassy TechVillage. The presence of global tech firms drives housing demand in surrounding areas.
- Infrastructure Development: Ongoing road widening projects, metro expansions, and flyover developments along the Outer Ring Road and Sarjapur Road have improved access across the city.
- Affordable Premium Living: Compared to Central Bangalore, East Bangalore offers modern residential townships at more attractive price points. Projects like Birla Evara in Kodathi Village reflect the increasing preference for contemporary living in quieter, well-connected neighbourhoods.
- Educational and Healthcare Ecosystem: Reputed institutions like Oakridge International School, Delhi Public School, and Columbia Asia Hospital have established themselves in the region, making East Bangalore self-sufficient and family-friendly.
- Future Growth Prospects: With the proposed Peripheral Ring Road and the Satellite Town Ring Road, East Bangalore is positioned for long-term real estate appreciation.
Investment Perspective
Investors are closely watching the rapid transformation of East Bangalore. The availability of large land parcels enables developers to build integrated townships and gated communities with extensive amenities. The rental yield in this area remains competitive, and the appreciation trajectory is strong due to high end-user demand from professionals working in nearby tech parks.
Properties like Birla Evara combine thoughtful design, connectivity, and green surroundings, reflecting the lifestyle shift driving buyers toward the eastern part of the city.
The movement from Central Bangalore to East Bangalore is driven by practical urban factors—space, infrastructure, affordability, and connectivity. Sarjapur Road, along with developing pockets like Kodathi Village, is shaping the future of residential Bangalore.
With the blend of city access and suburban calm, East Bangalore is steadily redefining the city’s real estate landscape—and emerging as the preferred address for the next generation of homeowners.