How Gurugram, With Highest Facilities, Posing Stiff Competition To 'Maximum City' Of Mumbai In Ultra-luxury Housing Space

 

A Rs 271-crore deal for a 17,200-square-foot penthouse in Gurugram, Haryana, has proved that it pays to “premiumise” the property market.

This transaction, part of DLF's 'The Dahlias' project, is being hailed as one of the most expensive single-unit residential deals in India. The penthouse has a carpet area of approximately 10,500 square feet. This translates to a price of nearly Rs 1.58 lakh per square foot based on the super area and approximately Rs 2.6 lakh per square foot based on the carpet area.

This deal has ignited a debate: Why are property prices in Gurugram rising so rapidly? Is Gurugram challenging

 

Mumbai's luxury real estate market?

 

According to a report by India Sotheby's International Realty and CRE Matrix, 1,494 homes priced at Rs 10 crore or more were sold in Gurugram in 2025. The total sales value amounted to approximately Rs 24,120 crore. In 2023, sales in this same segment stood at around Rs 4,004 crore. This means the transaction value increased nearly six-fold in two years while the number of units sold saw a nearly 10-fold surge. This indicates that the Rs 271 crore penthouse is not an isolated incident; the entire market for homes priced above Rs 10 crore in Gurugram has expanded rapidly.

 

In 2025, Gurugram surpassed Mumbai in terms of the total value of homes sold at Rs 10 crore and above. The figure for Gurugram stood at approximately Rs 24,120 crore, whereas sales in Mumbai totalled around Rs 21,902 crore. However, this does not mean that Gurugram's entire real estate market has become more expensive than Mumbai's. While the two cities differ in terms of land, population, development, and the nature of their real estate, Gurugram's rapid emergence in the ultra-luxury segment (properties priced above Rs 10 crore) marks a significant shift.

Mumbai has long been recognised as India's most expensive and premium real estate market. However, Delhi-NCR — and Gurugram in particular — is now posing stiff competition to Mumbai in the ultra-luxury housing space. Key factors driving this include land availability, larger apartment sizes, superior road connectivity, proximity to the airport, the presence of corporate hubs, and rapidly developing infrastructure. Compared to Mumbai, buyers in Gurugram are finding larger properties and projects equipped with modern amenities.

Gurugram has taken the lead in the Delhi-NCR luxury housing market. Large-scale premium projects in areas such as Golf Course Road, Golf Course Extension Road, Southern Peripheral Road, and the Dwarka Expressway have strengthened this market.

 

A major shift in the real estate market is the growing focus of both developers and buyers on the premium and luxury segments. This does not imply that demand for middle-class or affordable housing has vanished; rather, the appreciation in prices and sales values of high-end properties has captured the market's attention.

Sanjay Yadav, owner of the Gurugram-based real estate firm Philby Real Estate, said, "The demand for luxury properties in Delhi-NCR is no longer limited to investment purposes. Major businesspeople, corporate professionals, NRIs, and high-net-worth buyers now view property as a lifestyle choice, a means of ensuring security and privacy, and a long-term wealth asset. Gurugram's superior connectivity and corporate ecosystem have bolstered this demand."

 

The country's rising wealth and the growing number of high-net-worth individuals are considered significant drivers behind this “premiumisation” of the property market. Demand for spacious homes has surged, particularly among entrepreneurs, startup founders, corporate executives, investors, and NRI buyers. Gurugram is home to the founders of companies like OYO and boAt (Aman Gupta); in fact, it is the preferred residential destination for many startup founders. Luxury homes are no longer purchased merely for extra space; buyers now prioritise amenities such as private elevators, clubhouses, security systems, smart home technology, private terraces, expansive green areas, and hotel-like facilities.

 

Kamal Goyal, owner of Jai Shree Royal Green Properties, says, "While there is a distinct need for affordable and mid-segment housing in today's market, wealth creation has simultaneously driven a rapid increase in the ticket size within the luxury segment. Limited land availability and a scarcity of supply in premium locations have led to a surge in the prices of high-quality luxury properties. Demand for quality properties in premium locations is expected to remain robust in the future."

 

The most significant shift in the Delhi-NCR real estate market during this period has been “premiumisation”. Post-Covid, demand surged for larger homes and superior amenities. Subsequently, infrastructure projects, expressways, metro expansion, and the growth of Gurugram's corporate sector strengthened the property market.

Property is no longer just a home; it is a vehicle for wealth creation. The rising prices of luxury properties in Delhi-NCR are driven by a combination of high demand and limited supply of premium units. The presence of corporate firms, global businesses, and high-income professionals in Gurugram has established it as a robust market for luxury real estate.

In this context, the key question is not whether the luxury market in Delhi-NCR is growing, but rather whether Gurugram could emerge as the new capital of India's ultra-luxury residential market in the coming years. Current sales figures, high-value transactions, and the increasing number of premium projects certainly point in that direction.