What is   1   x   4   ?

      The Psychology of Prestige: Why UHNIs Prefer Branded Residences Over Traditional Luxury Homes

      By SQUAREA Knowledge Hub

      Published: April 2, 2025

      Luxury real estate today is defined by more than just prime locations and exquisite design, it is about identity, association, and the influence of a globally recognized name. For Ultra-High-Net-Worth Individuals (UHNIs), a home is not just a place to live but a reflection of personal taste, influence, and a carefully curated lifestyle. This evolving mindset is reshaping India’s luxury housing market, driving a clear shift towards signature residences by luxury brands over traditional luxury homes.

      In recent years, this segment has moved from niche to mainstream. Branded residences command a 30% price premium globally on average, yet continue to experience strong absorption, particularly in luxury growth markets like India. The demand is no longer just about luxury, it’s about what the brand signifies: status, trust, lifestyle, and investment stability.

      Branded Residences: A New Language of Luxury

      Unlike conventional high-end homes, a branded residence is created in partnership with an international brand. Collaborations span across fashion, hospitality, design, and automotive brands such as Armani, Versace or Four Seasons, names that already hold strong recognition in the minds of buyers. These partnerships introduce a specific design approach, a high-end service model, and a commitment to quality that differentiates these residences within the high-end real estate market.

      While the concept originated in the early 20th century, it has evolved into a strategic asset class, combining high-end living with brand-driven desirability. Today, buyers’ high-net-worth lifestyle choices are acting as a driving force behind the rise of branded residences over traditional luxury homes.

      Why UHNIs Gravitate Towards Branded Residences

      As seen earlier, for Ultra-High-Net-Worth Individuals, the value of a property is increasingly defined by the lifestyle it offers and the narrative it holds. What truly sets branded residences apart from traditional luxury homes is the ecosystem of access, service, and elevated living that comes with them.

      Key differentiators include:

      • Concierge services: 24×7 lifestyle management, including personal assistance, reservations, guest services, and event coordination
      • Signature amenities: Spa lounges, wine cellars, art galleries, private screening rooms, wellness zones, and more, curated to reflect brand identity
      • Professional asset management: Housekeeping, maintenance, landscaping, and security handled to international hospitality standards.
      • Brand-linked privileges: Access to global experiences, memberships, or loyalty networks based on brand affiliations
      • World-class interior design: Brand-conceptualised layouts, materials, and detailing that surpass conventional luxury homes
      • Curated resident community: Like-minded homeowners who value privacy, sophistication, and cultural refinement

      Ultimately, these homes align with evolving high-net-worth lifestyle choices, where emotional resonance, brand identity, and exclusivity carry equal weight as tangible specifications.

      Investment Value: Why Branded Real Estate Delivers More

      Branded residences offer distinct investment advantages over traditional luxury homes, delivering stronger capital appreciation, higher rental yields, and better resale value. Their exclusivity is maintained through limited inventory and sustained demand, while brand affiliation enhances buyer confidence and market desirability. Additionally, professional asset management ensures consistent upkeep, preserving long-term value and making these properties particularly appealing to high-net-worth tenants and international investors.

      As per a recent report on exclusive high-end property market insights, the branded residence segment in India is poised for a 60% growth by 2027, reflecting sustained confidence in this model among both investors and developers. These properties are more than just high-end real estate, they offer a refined living experience while delivering strong investment potential and long-term value.

      Pune: An Emerging Market for Branded Residences

      Mumbai and Delhi NCR remain key hubs for luxury real estate, but Pune is seeing increased activity in the branded residences segment. Rising income levels, ongoing urban development, and a growing base of high-net-worth individuals (HNIs) are driving demand. With an expanding portfolio of luxury developments, Pune is positioning itself as a viable market for branded residences within India’s luxury real estate landscape.

      Signature branded projects in the city include:

      • YOO PUNE by Philippe Starck: India’s first ready-to-move-in YOO branded residences, set within 13 acres of lush greenery in Hadapsar, Pune, offering designer-led living crafted by renowned designer Philippe Starck
      • YOO Villas: Serene villa community designed for sophisticated living, blending nature with elegant interiors, crafted in collaboration with the YOO brand and styled by internationally acclaimed designer Kelly Hoppen.
      • Trump Towers Pune: India’s first ready-to-move-in Trump Towers branded residences offering exceptional design, world-class amenities, and the signature Trump lifestyle in the heart of Pune.
      • YOO ONE: Designed by Sussanne Khan for YOO, this modern icon blends craftsmanship and thoughtful details to create a harmonious and inspiring living experience.

      Luxury living is evolving, moving beyond grandeur to personal identity and beyond expansive spaces to meaningful design. Ultra-luxury residences today are as much about aspiration as they are about financial performance. Branded residences, in particular, stand at this intersection, offering exclusivity, lasting value, and a sense of belonging. With limited availability and strong demand, they continue to shape the future of India’s high-end real estate market.

      At SQUAREA, our team of experts understand that luxury is no longer transactional, it’s transformational. Whether you’re acquiring a legacy asset or investing in your next statement home, we bring you access to the finest branded residences India has to offer. For more details, get in touch with us at hello@squarea.io or contact +91 90 9641 9641


      Tags

      Other Stories

      30 April 2025
      Commercial Real Estate in Pune: Key Areas and Market Trends to Watch in 2025

      Once known primarily for its academic institutions and automotive base, Pune has steadily transformed into one of India’s most active and tightly held commercial real estate markets. This evolution has been shaped by the city’s expanding tech ecosystem, the rise of Global Capability Centres (GCCs), and growing interest from multinational occupiers across sectors like IT, BFSI, and consulting.

      In terms of performance, Pune has consistently outpaced peer markets on office space absorption, rental stability, and institutional-grade development. And in 2025, with over 10 million sq. ft of new Grade-A supply in the pipeline, it is not just maintaining investor confidence, it is actively shaping the next phase of growth among India’s Tier 1 commercial corridors (Cushman Wakefield).

      Where is this growth concentrated, and what are the key trends driving it? Here’s a closer look at Pune’s core investment zones and evolving market dynamics that provide the answers.

      Key Investment Areas in Pune’s Commercial Real Estate Market

      Commercial demand in Pune is concentrated across select micro-markets that offer the right combination of location advantage, infrastructure readiness, and premium-grade supply. These include both well-established and emerging micro-markets.

      Secondary Business District East (Kharadi, Viman Nagar, Yerwada, Kalyani Nagar)

      SBD East continues to dominate Pune’s commercial landscape, accounting for the highest net absorption in Q1 2025 at 1.12 million sq. ft. It also accounted for 45% of all leasing activity in Pune, supported by strong early bookings and large office deals from BFSI and flexible workspace companies. Despite robust new completions of around 1.65 million sq. ft, rentals held steady at an average of ₹98.84 per sq. ft/month, reflecting healthy demand. The area remains attractive due to its proximity to Pune Airport, established residential catchments, and connectivity to CBD zones. (Cushman Wakefield)

      Where is this growth concentrated, and what are the key trends driving it? Here’s a closer look at Pune’s core investment zones and evolving market dynamics that provide the answers.

      Key Investment Areas in Pune’s Commercial Real Estate Market

      Commercial demand in Pune is concentrated across select micro-markets that offer the right combination of location advantage, infrastructure readiness, and premium-grade supply. These include both well-established and emerging micro-markets.

      Secondary Business District East (Kharadi, Viman Nagar, Yerwada, Kalyani Nagar)

      SBD East continues to dominate Pune’s commercial landscape, accounting for the highest net absorption in Q1 2025 at 1.12 million sq. ft. It also accounted for 45% of all leasing activity in Pune, supported by strong early bookings and large office deals from BFSI and flexible workspace companies. Despite robust new completions of around 1.65 million sq. ft, rentals held steady at an average of ₹98.84 per sq. ft/month, reflecting healthy demand. The area remains attractive due to its proximity to Pune Airport, established residential catchments, and connectivity to CBD zones. (Cushman Wakefield)

      Central Business District (Bund Garden, Koregaon Park, Camp)

      The Central Business District accounted for approximately 9% of Pune’s leasing activity in Q1 2025, with net absorption of around 0.23 million sq. ft. Although vacancy levels are higher here at 21.5%, the area remains relevant for corporates preferring centralised locations. The CBD continues to attract corporates and flexible workspaces looking for premium addresses. (Cushman Wakefield)

      Peripheral Business District West (Hinjewadi, Baner, Wakad)

      Home to Rajiv Gandhi Infotech Park and large Special Economic Zones (SEZs), PBD West remains Pune’s core tech employment belt. Known for scalability and affordability, it’s also a rising zone for coworking, GCCs, and high-spec business parks such as Blue Ridge SEZ.

      Emerging Nodes (Pimpri-Chinchwad, Hadapsar, Balewadi)

      Locations like Pimpri-Chinchwad, Hadapsar, Mundhwa, and Balewadi are gaining ground among startups and investors looking for smaller-format leased spaces. Developments like Kohinoor World Towers in Pimpri-Chinchwad, Amar Pristine 81 in Mundhwa, are attracting both occupiers and individual investors for their competitive pricing. These nodes combine modern infrastructure with competitive pricing and are increasingly being viewed as Pune’s next wave of commercial growth.

      Together, Pune’s micro-markets offer a well-balanced ecosystem, ranging from high-yield institutional corridors in the east to tech-driven expansion zones in the west, and emerging nodes primed for future growth. This spatial differentiation is a key reason why Pune continues to outperform in both leasing velocity and absorption volumes. The strength of these zones is backed by data from 2024 and Q1 2025, Pune has recorded historic highs in new supply, absorption, and occupier activity across segments. These market metrics reinforce Pune’s stature as one of India’s most resilient and investment-worthy commercial hubs.

      Pune’s Commercial Office Market Performance: Key Trends from 2024-2025

      According to Knight Frank India, Pune witnessed a 19% growth in office leasing in 2024, with activity totalling 8 million sq. ft, reflecting broad-based tenant expansion across IT, BFSI, and coworking sectors (TOI). In Q1 2025, the momentum further accelerated. Pune added a record 3.2 million sq. ft of new Grade-A office supply, a 90% increase over the previous year. While this did push the vacancy rate to 11.23%, the city remains India’s second-tightest office market, behind Bengaluru (Cushman Wakefield). This strong absorption, diversified demand, and influx of global-grade assets paint a clear picture of where Pune is headed.

      What Lies Ahead: Pune’s Commercial Outlook for 2025 and Beyond

      With 10 million sq. ft of new space expected in 2025 and 11 million in 2026, Pune is entering a growth phase led by institutional developers and occupier-led demand. Notably, Trump World Center, a 1.6 million sq. ft branded commercial project, is now under development, offering both strata and leased office space. This marks the entry of international branding into Pune’s commercial skyline and highlights growing investor sophistication (TOI).

      What makes Pune stand out is its balance of fundamentals:

      • Lower entry prices than Mumbai or Bengaluru
      • Consistent rental yields across SBD and PBD corridors
      • Diverse tenant base, including IT, BFSI, and GCCs

      At SQUAREA, we help investors capitalise on Pune’s accelerating commercial real estate cycle. Whether you're looking to acquire income-generating leased assets, explore premium office investments, or enter future-ready growth corridors like SBD East or PBD West, our team offers unmatched access and strategic insights. You can reach out to us at hello@squarea.io or call us on +91 90 9641 9641.

      30 April 2025
      Kharadi in 2025: Pune’s Fastest Growing Hub for Commercial Real Estate

      Once known as a quiet neighbourhood on the outskirts of Pune, Kharadi has emerged as the epicentre of East Pune’s real estate market. With seamless connectivity, premium office supply, and institutional-grade developments, Kharadi now plays a pivotal role in driving Pune’s commercial momentum in 2025.

      This transformation is underpinned by robust market performance. According to Cushman & Wakefield’s Q1 2025 Office Market Report, Pune recorded a historic leasing high of 3.5 million sq. ft, led predominantly by the East Secondary Business District. This is a prime commercial cluster that includes Kharadi. SBD East accounted for the highest net absorption in the city at 1.1 million sq. ft, propelled by high ticket-size deals, particularly from BFSI and flexible workspace operators. This activity was anchored in Grade-A commercial spaces, top-tier office assets that offer best-in-class specifications, efficient layouts, and global-standard amenities.

      What’s fuelling this momentum is a convergence of many key factors. Let’s take a closer look at the reasons why Kharadi is leading the charge as Pune’s most promising commercial real estate investment destination in 2025.

      1. Seamless Connectivity to Key Economic Zones

      Kharadi’s location offers unmatched access to Pune’s key commercial corridors. It sits in proximity to established hubs such as:

      • Magarpatta City
      • World Trade Centre
      • EON IT Park
      • Kalyani Nagar and Koregaon Park

      This connectivity allows businesses in Kharadi to tap into an existing ecosystem of IT majors, financial institutions, and global corporates, making it a magnet for high-value commercial activity.

      2. Metro Line 2 Extension: A Game Changer for Commute Efficiency

      The upcoming extension of Pune Metro Line 2 will connect Kharadi to Bund Garden, Kalyani Nagar, and Ramwadi, reducing travel times across key zones. Once operational, it will directly benefit daily commuters and corporates, while also enhancing the investment viability of adjacent commercial assets.

      Areas along operational and upcoming metro corridors will typically witness a price appreciation, as improved access leads to stronger demand from occupiers and businesses (MagicBricks).

      3. Pune Ring Road Project: Boosting Inter-City Mobility

      Another significant boost to Kharadi’s profile is the Pune Ring Road project, designed to improve city-wide connectivity and reduce congestion across high-traffic zones. It will directly link Kharadi to key growth centres, including Shivajinagar, Hadapsar, Hinjewadi, and Baner.

      Estimates suggest that commercial properties in areas connected by new ring roads and bypasses could see capital appreciation of 15–20% by 2025.

      4. Proximity to Pune International Airport

      Kharadi’s location offers a critical edge, direct access to Pune International Airport, situated approximately 8.5 kilometres away. This makes it exceptionally well-suited for corporates with frequent air travel needs and companies dealing with international clientele. The convenience factor alone has been a key driver for multinational firms choosing Kharadi for regional headquarters or operational centres.

      5. Grade-A Commercial Supply with Modern Amenities

      Kharadi is home to some of Pune’s most prominent Grade-A commercial developments - premium office properties that adhere to global standards in design, safety, sustainability, and tenant experience. These include well-established business parks such as:

      • World Trade Center
      • EON Free Zone
      • Gera Commerzone

      These developments offer features like LEED-certified design, smart infrastructure, flexible floorplates, and modern green amenities, making them highly attractive for blue-chip tenants and institutional investors.

      6. Strong Tenant Demand from IT and Allied Sectors

      Kharadi has become a nucleus for technology, finance, and consulting firms, creating consistent demand for both office and co-working spaces. With high occupancy levels in most Grade-A developments, rental yields in this zone have remained robust even during broader market slowdowns.

      This growth is part of a broader upswing in the city's commercial development. Pune’s new Grade-A office supply witnessed a 53% quarter-on-quarter and over 90% year-on-year increase. SBD East, which includes Kharadi and the CBD together absorbed this entire new supply. Despite the scale of additions, a healthy pipeline of 10–11 million sq. ft in upcoming supply is expected through 2025–26. (Cushman & Wakefield),

      7. Upcoming Hospitality and Mixed-Use Ecosystem

      Beyond office infrastructure, Kharadi is witnessing the emergence of mixed-use ecosystems with luxury hotels, branded residences, retail complexes, and serviced apartments. The presence of these upscale options makes it a compelling proposition for both domestic and NRI investors.

      8. Future-Ready Planning

      Developers in Kharadi are now embracing future-forward planning, including:

      • Net-zero commercial buildings
      • Green-certified campuses
      • EV-ready infrastructure

      This aligns closely with the increasing emphasis on Environmental, Social, and Governance (ESG) standards, which are now a key lens through which institutional investors evaluate commercial assets

      With Kharadi’s projects increasingly meeting these global benchmarks, the submarket is fast becoming a natural choice for long-term, impact-driven capital. In every sense, Kharadi’s commercial landscape isn’t just evolving, it is being intentionally designed for the next generation of businesses and investors

      At SQUAREA, we specialise in helping investors navigate the evolving landscape of high-value commercial real estate. Our deep market intelligence ensures that you stay ahead of the curve. If you're looking to build a resilient, high-performing commercial portfolio in one of Pune’s most strategically positioned markets, like Kharadi, our advisory team is here to guide you at every step. For tailored investment opportunities, write to us at hello@squarea.io or call us at +91 90 9641 9641. Let’s build your commercial portfolio, the future-ready way!

      30 April 2025
      From Green Buildings to Growing Returns: The Rise of Sustainable Commercial Real Estate

      Over 195,000 buildings worldwide are now LEED-certified commercial spaces - a clear signal that sustainable real estate is no longer just an industry buzzword but the future of commercial real estate (U.S. Green Building Council). Investors and businesses are rapidly shifting towards green buildings, recognising that they offer not just environmental benefits but also superior financial returns.

      With the global push for sustainability reshaping commercial spaces, India is emerging as a key market aligning with these trends. As investors and occupiers prioritise carbon-positive buildings, the focus is shifting from why sustainability matters to how it can drive long-term value. At the heart of this transformation lies a globally recognised benchmark—LEED certification. It is often the first step in signalling a building’s commitment to environmental performance and future readiness.

      What is a LEED Certification and Why it Matters

      LEED (Leadership in Energy and Environmental Design) is one of the most recognised global certification systems for eco-friendly spaces and sustainable buildings. It evaluates properties based on energy efficiency, water conservation, indoor air quality, and overall environmental impact

      In India, over 13.26 billion sq ft of commercial space is now classified as green real estate, placing the country among the global leaders in sustainable construction (Indian Green Building Council). LEED-certified buildings are proving to be a key differentiator in the market, offering:

      • Lower operational costs through reduced energy and water consumption
      • Healthier work environments with better air quality and ventilation
      • Higher asset value as demand for green-certified properties grows
      • Stronger investor and tenant preference, with corporate occupiers prioritising sustainability in leasing decisions

      However, while LEED ensures a building meets sustainability benchmarks, investors are now taking a more comprehensive approach by evaluating assets through the lens of ESG principles. Let’s take a closer look at the ESG-driven real estate investment trends.

      ESG: The New Standard in Real Estate Investment

      ESG, short for Environmental, Social and Governance is fast becoming a key metric in real estate investment decisions. Beyond certifications, investors now assess real estate sustainability, long-term operating costs, resilience, and governance frameworks before allocating capital. A recent global survey found that 70% of investors have already adopted ESG criteria in their decision-making, with another 10% planning to do so in the next three to five years (Knight Frank). This shift is driving capital towards ESG-aligned assets, which are increasingly commanding premium valuations.

      The Global Shift Toward Sustainable Development and Its Impact on India

      Major global investment firms are rapidly integrating sustainability and eco-conscious practices into their real estate portfolios. For example:

      The green commercial architecture transition is not just limited to individual buildings but is reshaping large-scale developments, including IT parks and business districts. Several large-scale IT parks and business hubs are incorporating ESG-led designs, offering cutting-edge features that redefine the workspace experience. This momentum is pushing Indian developers to align with international standards, resulting in a new wave of sustainable commercial spaces.

      India’s Expanding Green Commercial Footprint

      India’s commercial real estate sector is already witnessing an accelerated push towards sustainable development. According to Bain & Co, 90% of India-bound investments in the next five years will be influenced by ESG considerations. Moreover, ESG-focused funds in India saw a 76% jump in inflows in FY 2020–21, reaching ₹3,686 crore from ₹2,094 crore the previous year.

      Some notable projects include:

      • Mindspace Business Parks (K Raheja Corp): LEED Gold-certified commercial hubs across Mumbai, Pune, Hyderabad, and Chennai.
      • Surat Diamond Bourse (Gujarat): Achieved IGBC Platinum certification, setting new sustainability benchmarks.
      • DLF, L&T Realty, Tata Housing: Actively integrating green building frameworks into their commercial developments.

      With regulatory backing, rising corporate demand, and investor preference, India’s green commercial real estate market is expected to grow exponentially.

      Defining Features of India’s Sustainable Commercial Spaces

      As Indian developers shift towards green building technology, key sustainability features in new commercial developments include:

      • Smartscape Design: Maximising space efficiency and natural airflow.
      • Greentech Integration: Automated lighting, smart meters, and energy-efficient HVAC systems.
      • Resilient Structures: Buildings designed to withstand climate risks, ensuring operational continuity.
      • Biophilic Design: Incorporating natural elements like greenery, daylight access, and better ventilation.
      • Net-Zero Developments: New-age projects focusing on balanced carbon output and self-sufficiency.
      • Waste Management & Water Conservation: Advanced recycling systems, rainwater harvesting, and wastewater reuse solutions.

      How Sustainable Commercial Real Estate Outperforms Traditional Spaces

      The advantages of sustainable commercial properties extend beyond energy-efficient skyscrapers, they also drive long-term profitability.

      A key distinction on how green buildings drive profits compared to traditional commercial spaces includes:

      Feature Traditional Commercial Real Estate Sustainable Commercial Real Estate
      Energy Consumption High 20-50% lower
      Operational Costs Expensive maintenance Reduced costs due to efficient systems
      Tenant Demand Standard leasing demand High preference from MNCs, startups, and tech firms
      Regulatory Compliance Subject to evolving norms Already aligned with global ESG and green building standards

      Why Investing in Sustainable Commercial Real Estate Now Is a Smart Move

      Sustainability in commercial real estate is no longer just about environmental responsibility, it is a financially sound investment strategy. Green-certified and ESG-aligned properties offer:

      • Higher occupancy rates and tenant retention due to growing demand for sustainable workspaces
      • Lower operational expenses from energy-efficient and resource-optimised designs.
      • Premium asset valuation and marketability, attracting global investors.
      • Future-proof investments with compliance to evolving ESG and regulatory norms.

      At SQUAREA, we connect investors with commercial spaces designed for the future which are sustainable, high-performing, and investment-worthy. Whether you’re looking for LEED-certified properties, net-zero developments, or ESG-compliant assets, our team of dedicated experts can help you secure opportunities that deliver both impact and income.

      Let’s shape a greener, more profitable real estate landscape together!