Greater Noida Flats Set to Become Costlier as Land Prices Increase

The Greater Noida Industrial Development Authority (GNIDA) has proposed an increase in land prices across various categories by 5-8% for the financial year 2025-26. The revision is expected to be approved in the upcoming March board meeting and will impact residential, commercial, industrial, and institutional land prices. This move is part of GNIDA’s broader strategy to generate additional revenue for infrastructure development and urban facility enhancements in Greater Noida and Greater Noida West.

Planned Land Price Hike and Existing Rates

This will be the second consecutive year of land price revision, following a similar 5% increase in 2024. Currently, land prices in Greater Noida vary based on the type and usage of the plot:

• Industrial land: ₹9,920 to ₹30,788 per square meter.
• Residential plots: ₹31,877 to ₹47,227 per square meter.
• Group housing plots: ₹38,484 to ₹54,493 per square meter.
• Institutional plots: ₹14,294 to ₹27,246 per square meter.
• Commercial plots (2 FAR): ₹57,176 to ₹66,602 per square meter.

Once the revised rates are implemented, property buyers and developers will face increased costs, which could also influence real estate prices in the region.

Reasons for the Land Price Adjustment

The proposed price increase is driven by the authority’s expanding budget for infrastructure projects, which has seen a 20% rise from ₹4,859 crore in 2024-25 to over ₹5,600 crore in 2025-26. This budget expansion aligns with major development initiatives aimed at improving connectivity, transport facilities, and urban services.

Several key projects are contributing to this financial restructuring:

Noida International Airport: The authority has allocated ₹100 crore towards ongoing development work for the airport, which is expected to significantly boost real estate demand and economic activity in the region.

Metro Expansion: ₹70 crore has been earmarked for extending the metro network, a move aimed at enhancing public transport connectivity for residents and businesses.

Internal Development Works: ₹120 crore has been set aside for local infrastructure improvements, including roads, drainage, and civic amenities.

Major Development Projects: ₹120 crore has been allocated for large-scale projects designed to support urban expansion.

Special Projects: ₹930 crore has been designated for initiatives focused on improving urban infrastructure.

Horticulture and Green Spaces: ₹43 crore has been assigned to enhancing greenery and environmental sustainability within the city.

These projects are expected to increase the overall value of real estate in Greater Noida, making land a more attractive investment for developers and buyers despite the price hike.

Challenges in Project Implementation

While the budget allocation for infrastructure projects has been substantial, the actual execution of these developments has been slower than anticipated. As of January 2025, GNIDA had spent only ₹1,180 crore out of its total ₹4,859 crore budget for the current financial year.

Some of the key areas where budgeted funds remained underutilized include:

• ₹1,200 crore allocated for land acquisition, which was not fully used.
• ₹1,272 crore set aside for construction and development, much of which remained unspent.

Several proposed projects did not progress beyond the planning stage, raising concerns about whether the authority will be able to execute its planned developments effectively despite increased land prices.

Impact on Buyers, Investors and Real Estate Market

The planned increase in land rates will have a direct impact on real estate prices in Greater Noida. Buyers planning to purchase plots, whether for residential or commercial use, will have to factor in higher costs. Additionally, developers working on new projects may pass on the increased cost to homebuyers, making apartments and commercial spaces more expensive.

Market analysts suggest that potential investors should make decisions keeping the upcoming price revision in mind. With infrastructure improvements on the horizon, property values in Greater Noida are expected to appreciate over time. However, delays in execution could pose risks for those expecting short-term gains.

For current property owners, the rise in land prices may enhance the value of their existing assets, but for new buyers, the higher cost could be a deterrent. Those looking to purchase property in the region may consider advancing their investments before the revised rates come into effect in the next financial year.

The Greater Noida Authority’s plan to raise land prices aligns with its goal of funding large-scale infrastructure projects, but its ability to execute these projects efficiently remains uncertain. While the move is expected to boost real estate value in the long run, it also places an immediate financial burden on new buyers and developers. As the region undergoes rapid urban expansion, the coming months will determine how effectively the authority implements its proposed plans and whether the real estate sector in Greater Noida remains attractive for investment.