The Center is ready to strengthen the Chandigarh Tricity’s transport network with a Rs 5,278-crore package of National Highway projects. Prime Minister Narendra Modi inaugurates one completed greenfield corridor and lays the foundation stones for two new highways on July 17, 2026. The projects are designed to ease traffic congestion across Chandigarh, Mohali, Panchkula and Zirakpur while improving regional connectivity across Punjab, Haryana, Himachal Pradesh and Jammu & Kashmir.
The package includes the operational 31.23-km Zirakpur-Kurali Greenfield Highway, the proposed 19.20-km Zirakpur Bypass, and the 10.30-km Chandigarh Airport-Aerocity Greenfield Highway, together forming an important part of the larger Tricity mobility plan. Besides reducing travel time and separating local traffic from long-distance vehicles, the projects are expected to support freight movement, airport access and regional economic activity under the PM Gati Shakti National Master Plan.
Inside the Rs 5,278-crore highway package
The largest project in the package is the 31.23-km, six-lane Zirakpur-Kurali Greenfield Highway, developed at an investment of Rs 1,936 crore. The newly completed corridor will provide a faster alternative between Zirakpur and Kurali while bypassing congested urban stretches that currently slow traffic moving towards Punjab’s interior districts.
The second project is the 19.20-km Zirakpur Bypass, estimated to cost Rs 1,878 crore. Planned as a six-lane corridor, it will connect NH-7 (Zirakpur-Patiala) with NH-5 (Zirakpur-Parwanoo), diverting through traffic away from densely populated areas of the Tricity.
Completing the package is the 10.30-km Chandigarh Airport-Aerocity Greenfield Highway, a Rs 1,464-crore extension of NH-205A that will improve connectivity between Chandigarh International Airport, Mohali’s Aerocity and emerging residential and commercial districts. Together, the three projects represent a combined investment of Rs 5,278 crore in the region’s road infrastructure.
Beyond the three individual highways, the projects form part of the proposed 244-km Tricity Ring Road, an infrastructure program estimated to cost more than Rs 12,000 crore. The objective is to create an orbital road network that redirects interstate traffic around Chandigarh rather than through it.
How the highway network could shape real estate
The infrastructure package could gradually reinforce housing and commercial demand across several emerging property markets surrounding Chandigarh. Areas such as Zirakpur, Mohali, Aerocity, and New Chandigarh (Mullanpur) are likely to benefit from improved accessibility, while Kharar, Kurali, and Panchkula could also see stronger investor interest as regional travel becomes more efficient.
The Airport-Aerocity Greenfield Highway is particularly significant from a real estate perspective. Faster access to Chandigarh International Airport could support demand for premium residential developments, office spaces, hotels, and serviced apartments around Aerocity, where commercial activity has expanded steadily over the past few years.
Meanwhile, the Zirakpur Bypass is expected to improve commuting conditions by diverting heavy vehicles away from urban roads, making residential neighborhoods more attractive to end users while improving the overall quality of urban mobility.
Property markets along the Tricity corridor
Property markets across the Tricity already display established residential demand, suggesting the new road infrastructure is likely to strengthen existing market fundamentals rather than create entirely new growth centers.
According to Square Yards Data Intelligence, average apartment prices are around Rs 7,100 per sq ft in Mohali, Rs 8,300 (psf) in Mullanpur (New Chandigarh) and approximately Rs 5,950 (psf) in Zirakpur. Rental yields also remain comparatively healthy, with Zirakpur offering around 3.43%, Mullanpur at 2.60%, and Mohali at roughly 2.27%, reflecting steady rental demand across these locations.
Improved regional connectivity may further support buyer confidence, particularly among professionals working across Chandigarh, Mohali and the airport corridor, where commuting convenience increasingly influences residential choices.
Commercial and logistics activity set to benefit
The benefits of the highway package extend beyond residential real estate. By allowing long-distance traffic to bypass urban roads, the projects are expected to improve freight efficiency and reduce logistics costs for businesses operating across northern India.
Better road connectivity could encourage the expansion of warehousing, logistics parks, roadside commercial developments, hospitality projects, and retail establishments along key highway corridors. Businesses that depend on reliable transport links, including manufacturing, distribution, and aviation-related services, may also find the Tricity more attractive as connectivity improves among Punjab, Haryana, Himachal Pradesh, and Jammu & Kashmir.
What it means for real estate across the region
The Rs 5,278-crore highway package is unlikely to transform the Tricity’s property market overnight, but it strengthens the long-term infrastructure that supports sustainable urban growth. By improving airport access, easing congestion and integrating emerging residential corridors with the wider regional highway network, the projects enhance the appeal of markets that already have established housing demand.
As the broader Tricity Ring Road takes shape over the coming years, improved mobility is expected to play an increasingly important role in shaping residential, commercial and logistics development across Chandigarh, Mohali, Zirakpur and neighboring urban centers.
