VISAKHAPATNAM: Visakhapatnam’s land market has recorded a sharp growth over the past three years, with key growth corridors seeing prices rise by 30-50% between 2023 and 2026. The rise has been driven by infrastructure development, IT investments and sustained demand for plotted layouts.
Real estate experts say the market has moved through a defined growth cycle, supported by policy measures, and steady end-user demand. Buyers across income groups are increasingly investing in land as prices continue to rise, with expectations of further growth linked to the expansion of IT activity in the city.
Speaking to TNIE, E Ashok Kumar, president of the CREDAI Visakhapatnam Chapter, said the market was stabilising in 2023 after the pandemic, with prices ranging between Rs 4,200 and Rs 4,500 per sq ft.
He noted that while caution prevailed at the time, the foundation for growth had been established. Momentum gathered in 2024 following revisions in guideline values, which pushed prices higher in prime areas such as Beach Road, Marripalem and Rushikonda.
By 2025, the market entered a strong growth phase, with both prime and emerging locations witnessing price increases of 30-40%, Kumar said and added that a demand-supply mismatch contributed to the price rise, while transaction volumes declined by 37% due to affordability constraints.
The upward trend has continued into 2026, with select corridors recording 30-50% price increase within a year. Premium plotted developments have reached up to Rs 34,500 per sq yd. Kumar said the growth is supported by structural factors rather than speculation.
Demand remains strong across the city. The north Visakhapatnam belt has emerged as a key hub. Coastal areas continue to command higher valuations, while emerging locations like Kapuluppada and Bhogapuram are seeing rapid appreciation. The city’s average land price has increased from Rs 4,200-Rs 4,500 per sq ft in 2023 to around Rs 5,150 per sq ft in 2026. In growth corridors, land values have nearly doubled in some areas.
Experts attribute the rise to expanding IT activity and major infrastructure projects, including the Bhogapuram International Airport and the Vizag-Raipur corridor, which are improving connectivity and opening new growth centres.
There is also a shift towards plotted developments, driven by higher returns and investor confidence, supported by guideline value revisions and VMRDA-approved layouts. Experts expect the market to maintain momentum, with annual price rise projected at 6-10%.