Bhubaneswar, long celebrated as one of India's most meticulously planned cities, is witnessing a profound transformation in its housing market. A clear and decisive shift is underway, with a growing number of homebuyers turning their backs on the congested city centre in favour of calmer, greener localities on the outskirts. This movement from the concrete core to the verdant fringe is reshaping the urban landscape of Odisha's capital.
The Green Exodus: Why Buyers Are Choosing the Fringe
The trend is unmistakable. From Tamando and Sundarpada to Madanpur, Raghunathpur, Chandaka, Hanspal, and Phulnakhara, these peripheral areas are becoming the new hotspots for residential investment. Urban planner Ananya Rath notes that despite its planned origins, Bhubaneswar is now grappling with congestion in its core areas. "People want breathable neighbourhoods without giving up access," she explains, identifying the southern and western regions like Tamando, Dhauli, Sundarpada, and Jatni as the city's emerging livability spaces.
This migration is anchored by several key factors: improved connectivity plans, steady price appreciation, a strong buyer preference for cooler and more peaceful environments, and significant innovation from developers. Furthermore, the allure of these areas is bolstered by their price competitiveness. Data from April to June 2025 shows average asking prices of Rs 7,126 per sqft in Tamando and Rs 4,553 per sqft in Sundarpada, compared to the citywide average of Rs 7,149 per sqft, making them attractive for first-time buyers and younger families.
Biophilic Boutiques and Big-Ticket Infrastructure
The demand for greener living is catalysing new architectural trends. Concepts like biophilic and boutique real estate are rapidly gaining traction. Biophilic design integrates nature directly into buildings through natural light, indoor plants, organic materials, and easy outdoor access, aiming to boost occupant well-being, productivity, and property value. Simultaneously, the rise of boutique apartments focuses on personalised experiences, quality service, and unique properties rather than mass listings.
"The large projects coming up in the periphery of the city are blending these concepts," says Bhubaneswar-based developer Sangram Nayak. This shift is powerfully supported by massive infrastructure investments. The state has cleared a Rs 6,152 crore decongestion-and-expansion programme. This includes a 45-km inner ring road, a 111-km outer ring road, flyovers, an elevated corridor for Jayadev Vihar–Nandankanan, and the widening of the Sundarpada–Jatni road. These projects are expected to drastically reduce travel times and fuel growth in edge localities.
Adding to this momentum, the Bhubaneswar Development Authority (BDA) has initiated town-planning schemes in Zone IV at Dhauli and Tamando, using land readjustment to ensure orderly expansion. The recent inclusion of 364 new revenue villages under the BDA's fold further expands the potential for peri-urban development.
Affordability and a Vision for a New City
Financial tailwinds are also propelling the market. The RBI's cumulative 125 basis points repo rate cut in 2025, bringing the policy rate down to 5.25%, has made home loans more affordable. Major lenders have revised their rates, improving entry points for new buyers. Real estate analyst Asish Agrawal observes, "Inquiries have doubled for periphery plots and mid-rise apartments with solar roofs and rainwater harvesting. Buyers weigh total cost of ownership, EMI plus energy savings, and fringe projects often win."
The vision extends beyond private development. The government is planning an ambitious Bhubaneswar New City spanning 800 acres in the Gothapatna and Dasapur areas, promising inclusive residential and commercial spaces. On the ground, buyers like Priyanka Sahu, a first-time buyer in Sundarpada, echo the sentiment driving this change: "There is no space in the core areas... It is absolutely not wise to invest in them. At this time, it is wise to opt for a house on the outskirts. It is cooler and calmer there."
As greenfield land in the core tightens, experts believe Bhubaneswar's future growth hinges on redevelopment and peri-urban consolidation. Real estate expert Bimalendu Pradhan concludes that infrastructure commitments, digital mortgages, and a broader buyer base are keeping demand resilient, while stricter regulatory coordination is improving market trust. The city's blueprint for living is being redrawn, with greenery and space at its heart.
