Varanasi is experiencing a dramatic rise in real estate prices, becoming the costliest city in Uttar Pradesh ahead of Lucknow and Noida. According to reports from Business Standard, this surge is attributed to Prime Minister Narendra Modi's choice of Varanasi as his parliamentary constituency and the opening of the Kashi-Vishwanath Corridor. The city's appeal has grown significantly due to improved road connectivity, growing religious tourism, and its expanding role as a regional hub, attracting people from across the country willing to purchase properties in the holy city.
The Varanasi Development Authority (VDA) has introduced a 'Land Pooling Policy' for the first time, pooling in more than 60 acres of land so far. As reported by Business Standard, this policy is part of a comprehensive approach to address the city's rapid urban expansion. The authority is developing township projects spanning over 500 acres including Anand Kashi at Kallipur, Rudra Vihar at Marhni, and Sports City at Ganjari, designed as decentralised growth centres to decongest the core city.
VDA is addressing the housing affordability crisis through multiple initiatives under the PM Awas Yojana vision of housing for all. According to Business Standard reports, the authority is preparing a detailed project report for over 1,000 flats for economically weaker and lower-income families. Additionally, under a redevelopment policy recently approved by the state government, VDA is taking up old, underutilised housing schemes for redevelopment to achieve higher floor area ratio (FAR), unlocking additional housing stock on already-developed land within the city.
The township projects align with the Regional Development Plan formulated by NITI Aayog for the Kashi Vindhya Region, which has suggested 10 new townships across different themes for the region. As reported by Business Standard, all these townships will be developed around a Kashi theme, with sectors having Vedic names to provide cultural relevance. The authority is also planning an Aero City and a Medi-City as dedicated hubs for business and institutions, linked to the larger Kashi Vindhya Region Economic Master Plan.
