The Sabarmati Riverfront is set for another major phase of development after the Ahmedabad Municipal Corporation (AMC) proposed nearly Rs 853 crore for new riverfront infrastructure, tourism facilities and public spaces in its Draft Budget 2026-27. The plan includes a feasibility study for a Water Metro, an Exhibition-cum-Convention Center, upgraded promenades, landscaped public areas and an extension of Riverfront Phase-3 towards the Narmada Canal. Together, these projects are aimed at improving mobility, strengthening Ahmedabad’s tourism economy and expanding public spaces while reinforcing the riverfront’s position as one of the city’s most valuable urban corridors.
Sabarmati Riverfront expansion: Budget, projects and scale
The proposed investment is spread across several projects that together reshape the next phase of the Sabarmati Riverfront. The largest allocation of Rs 258 crore has been proposed for an Exhibition-cum-Convention Center near Tagore Hall Plaza on the western bank, adding a dedicated venue for conferences, exhibitions and large public events.
Another Rs 176 crore has been allocated for infrastructure improvements along a 10-km stretch of the riverfront, covering new roads, upper promenades and supporting public facilities from Sadar Bazaar to Indira Bridge on the eastern bank and from the Railway Bridge to Indira Bridge on the western side.
The Draft Budget also allocates Rs 100 crore for riverside eateries and food courts between Nehru Bridge and Ellis Bridge. Under Riverfront Phase-3, Rs 200 crore has been proposed to extend development towards the Narmada Canal and build an active middle promenade, while Rs 1 crore has been kept aside for a feasibility study on introducing a Water Metro along the Sabarmati. The civic body has also proposed AMTS bus services along the riverfront to strengthen east-west connectivity.
Sabarmati Riverfront expansion and Ahmedabad’s property market
The Sabarmati Riverfront has already established itself as one of Ahmedabad’s premium urban zones, and the latest investment proposals are expected to reinforce that position rather than create an entirely new growth corridor.
Ashram Road currently commands average property prices of around Rs 7,250 per sq ft, while office rentals average nearly Rs 59 (psf) with rental yields approaching 9.77%. Office leasing in the locality has also recorded healthy year-on-year growth, underlining its importance as one of Ahmedabad’s leading commercial addresses.
Nearby micro-markets continue to command premium pricing as well. Residential properties in Navrangpura average around Rs 8,350 (psf), with average rental at Rs 20 (psf). On the other hand. Property in Ellisbridge costs an average of Rs 8,450 (psf). Paldi, another established neighborhood along the riverfront influence zone, continues to command roughly Rs 7,000 (psf), with average rental of Rs 24 (psf), reflecting steady end-user demand.
Unlike emerging infrastructure corridors, where appreciation often begins with raw land, the Sabarmati Riverfront story is different. The proposed investment is more likely to strengthen demand for commercial offices, hospitality projects, premium residential developments and mixed-use properties around Ashram Road, Ellisbridge, Navrangpura and Paldi. Developers and investors generally view such urban renewal projects as factors that improve the long-term appeal of established locations rather than trigger immediate price spikes.
Water Metro and public spaces could change the Sabarmati Riverfront experience
Although the Water Metro remains at the feasibility stage, it reflects AMC’s broader plan to diversify transport options along the Sabarmati rather than relying only on road connectivity. If found viable, the project could introduce water-based public transport while adding another attraction to the Sabarmati Riverfront.
The larger focus, however, remains on creating more active public spaces. Wider promenades, landscaped gardens, food streets and improved pedestrian infrastructure are expected to increase visitor activity throughout the day. Together with better bus connectivity, these upgrades could strengthen the riverfront’s role as one of Ahmedabad’s busiest recreational and cultural destinations.
Convention center could strengthen commercial activity
Among the proposed projects, the Exhibition-cum-Convention Center carries perhaps the biggest long-term commercial significance. Large convention venues typically attract hotels, restaurants, office spaces, retail outlets and serviced accommodation, generating demand beyond the project site itself.
The addition of new food courts and leisure spaces is also expected to support hospitality businesses and organized retail along the Sabarmati Riverfront. Rather than creating a new business district, these investments are likely to deepen commercial activity within Ahmedabad’s existing central business areas by attracting more visitors, events and business travel.
What this means for Ahmedabad’s future growth
The Draft Budget signals that AMC’s focus is gradually shifting from building the Sabarmati Riverfront to expanding how people use it. Better public spaces, cultural infrastructure, improved mobility and tourism-oriented projects could help the Sabarmati Riverfront evolve into a stronger business and leisure destination over the coming years. For the real estate market, the impact is expected to be gradual but meaningful, reinforcing the value of Ahmedabad’s established riverfront neighborhoods while supporting sustained commercial and residential demand.
