CREDAI sees South, West Chennai leading housing growth in 2026

Chennai, Dec 30 (PTI) South and West Chennai are expected to be the primary residential growth drivers in 2026, supported by improved road infrastructure, expansion of metro rail services and proximity to major employment centres, according to a study.

Released by the Confederation of Real Estate Developers’ Associations of India, Chennai, on Tuesday, the study said the new Kuthambakkam bus terminus and Chennai Metro Rail Corridor 4 have already led to increased residential interest in the western suburbs.

As per the report, strong sales were recorded across South and West Chennai, particularly along the Old Mahabalipuram Road (OMR), Grand Southern Trunk (GST) Road, Porur-Poonamallee Road and the merging western suburbs.

CREDAI Chennai president Mohamed Ali said that factors such as RBI repo rate cuts, GST rationalisation on select construction materials and supportive policy measures are expected to enhance affordability and strengthen buyer sentiment, especially in the affordable housing segment, in 2026.

"CREDAI Chennai expects South and West Chennai to continue as the primary residential growth corridors in 2026, driven by metro expansion, road infrastructure and proximity to major employment centres," the report said.

According to the study, housing sales in FY 2025-26 are expected to cross 15,000 units, an 18 per cent increase over the 12,942 units sold in 2024.

Despite broader economic uncertainties, prices witnessed only marginal adjustments, reinforcing the inherent stability of Chennai’s residential real estate market, the report added. PTI VIJ SSK