PMC’s infra push set to drive real estate growth across Pune’s key corridors

Pune’s property market is gearing up for a fresh phase of growth as the PMC rolls out its 2026-27 infra plan. From underground roads and riverfront upgrades to PMAY 2.0 housing, the city is seeing a strong push on real estate, connectivity and livability.

Pune’s real estate market is expected to see a fresh wave of activity as the Pune Municipal Corporation (PMC), under its 2026-27 budget, rolls out a multi-layered infrastructure and housing plan aimed at improving mobility, livability and urban expansion.

The plan includes 54 km of underground roads, riverfront development, connectivity upgrades and housing projects under the Pradhan Mantri Awas Yojana (PMAY) 2.0, along with a broader zero-waste and sewage infrastructure push.

Urban planners and property consultants are of the view that the combined impact of these initiatives is likely to push demand across multiple micro-markets, particularly in areas where connectivity and infrastructure gaps are being addressed.

Affordable housing push under PMAY 2.0 to anchor demand

The PMC Pune has proposed six housing projects under PMAY 2.0, covering areas such as Dhanori, Kondhwa, Wadgaon, Hadapsar and Balewadi, with around 4,725 planned homes.

Areas like Dhanori, Kondhwa and Wadgaon are expected to benefit directly from this addition. These locations are already seen as affordable alternatives to the highly expensive central parts of the city. The addition of organised housing, along with improving civic infrastructure, is likely to shift them from investor-driven pockets to end-user residential zones.

Square Yards data indicating average property prices in emerging housing zones in 2026

East Pune belt is expected to see the strongest demand momentum

The eastern corridor, particularly Kharadi, Mundhwa and Hadapsar, is expected to remain one of the most active real estate zones. This belt already benefits from strong IT and commercial activity. The proposed Mundhwa-Kharadi road link, flyover developments and metro expansion plans are expected to further strengthen connectivity.

In addition, proximity to the riverfront development along Mundhwa is likely to add a premium layer to residential demand.

Square Yards data show average property prices in the East Pune belt in 2026

West Pune belt to benefit from decongestion projects

In western Pune, areas such as Kothrud, Pashan and Bhugaon are expected to see gradual price appreciation. The proposed Kothrud-Pashan underground tunnel and Chandni Chowk-Bhugaon road connectivity are likely to ease long-standing traffic congestion issues in this belt. 

Improved travel time to central business districts could enhance residential demand in these already established areas.

Square Yards data of average property prices in the West-Pune belt in 2026

Core city and CBD areas may see redevelopment-led growth

Central locations, including Yerawada, Swargate and Shaniwarwada, are expected to benefit from the proposed underground corridors.

The Yerawada-Katraj twin tunnel and the planned Shaniwarwada-Swargate underground route aim to reduce congestion in some of Pune’s most crowded stretches.

Experts believe that improved accessibility and reduced traffic could unlock redevelopment potential in these densely built-up areas.

According to Square Yards, average property prices across core city and CBD areas in 2026

Riverfront belt to emerge as premium residential stretch

The Mula-Mutha riverfront development, spanning around 17.8 km, is set to influence areas such as Sangamvadi, Bund Garden and Mundhwa.

The Pune Municipal Corporation project includes walkways, cycling tracks, parks and recreational infrastructure aimed at improving urban livability and tourism.

Real estate analysts expect that proximity to the riverfront could drive premium housing demand, similar to other cities where waterfront development has led to price appreciation.

Data from Square Yards highlights the average property price of the Riverfront belt in 2026

Upcoming Bullet train and regional connectivity seen as long-term triggers

While not part of the PMC Pune immediate plan, discussions around high-speed rail corridors in Maharashtra are being closely tracked by developers.

If routes connecting Pune with Mumbai or other major cities are formalised in the future, areas along such corridors could see additional real estate interest. However, industry experts note that this remains a long-term possibility rather than an immediate growth driver.

Infra-led expansion to reshape Pune’s property map

With multiple infrastructure layers being implemented simultaneously, from underground roads and flyovers to riverfront development and housing schemes, the PMC Pune initiative is moving towards a more connected and distributed urban model.

As connectivity improves and new supply enters the market, real estate growth is expected to spread beyond traditional hotspots, bringing newer areas into focus over the coming years.