Sustainability and PropTech redefined real estate in 2024: Experts

The Indian real estate, hospitality, and interiors industries have demonstrated remarkable resilience and growth in 2024. This year has been defined by evolving consumer aspirations, technological advancements, and an increasing emphasis on sustainability. Here’s a look at the insights and trends shaping these sectors, along with a glimpse into their promising future.

The Indian bath and interiors industry witnessed substantial advancements in 2024, driven by the aspirations of a discerning consumer base. According to Thomas Stopper, Vice President - Asia, Hansgrohe Group, the luxury real estate market has created an unparalleled opportunity for bespoke home designs and eco-friendly solutions. “Brands have innovated to offer exclusive designs for bathroom and kitchen fittings, elevating the global luxury living experience,” he notes. Moving into 2025, collaboration among industry players aims to blend functionality with artistry, catering to the diverse tastes of Indian consumers.

In hospitality, efficiency and convenience without compromising quality have become paramount. Vaibhav Jain, Regional General Manager - SW Asia, Holiday Inn Express, highlights the brand’s achievements in 2024, “We expanded our footprint and enhanced smart offerings to meet the needs of on-the-go travelers.” Anticipating 2025, the rise of hybrid work models and cost-effective travel solutions will drive innovation, particularly through technology like seamless check-ins and complimentary high-speed Wi-Fi. Despite challenges such as geopolitical factors and talent retention, the hospitality sector remains confident in adapting to dynamic traveler demands.

The Indian real estate market has seen robust growth across segments. Rahul Thomas, Whole-Time Director, Suraj Estate Developers, reports a surge in residential sales, especially in the luxury and value-luxury segments. “Favourable government policies and rising incomes have driven demand, while sustainability and innovation have laid a strong foundation for long-term growth,” he explains.

The focus is shifting towards eco-friendly buildings and hybrid workspaces, which are expected to dominate the market in 2025.

Strategic urban planning has unlocked potential in Tier 2 and Tier 3 cities. Sanya Runwal, Director of Marketing & Retail, Runwal Realty, informs that housing sales in 2024 reached nearly 230,000 units, and are projected to rise to 300,000 units in 2025. She attributes this to infrastructural developments and strategic land acquisitions, which have helped developers meet consumer demand for quality and trust. Luxury and uber-luxury housing remain key drivers, supported by favorable monetary policies like reduced repo rates.

India's logistics and warehousing sectors have also experienced transformative growth, with transaction volumes growing 20% year-on-year in Q3 2024.

Priyesh Chheda, Founder, Arbour Investments, observes that Tier 2 cities like Indore and Jaipur are emerging as new hubs. “Sustainability and PropTech are redefining real estate,” he adds, emphasizing green building practices and smart city initiatives that cater to urban infrastructure development.

Technology integration has redefined how properties are bought, sold, and managed. According to P Rajendran, Chief Sales and Marketing Officer, Shapoorji Pallonji Real Estate, AI-driven platforms and smart homes have enhanced transparency and efficiency. Furthermore, sustainability remains a critical focus. “Developers are implementing eco-friendly strategies like recycled materials and solar panels to meet regulatory demands and consumer preferences,” Rajendran elaborates.

Looking Ahead: 2025 and Beyond

As 2025 approaches, industry leaders agree on the need for a balanced approach to innovation, sustainability, and consumer engagement. Tailwinds like government support, urbanization, and infrastructure upgrades are expected to drive growth across sectors. The demand for luxury living, sustainable solutions, and technologically advanced spaces is poised to shape the future of Indian real estate, hospitality, and interiors.

With a clear vision and collaborative efforts, these sectors are well-positioned to navigate challenges and seize opportunities in the years to come.

Also Read: SABERA 2024: Honoring India's leaders in social impact and sustainability