Lucknow: Uttar Pradesh’s real estate sector witnessed a sharp upswing in 2025, with investments rising by more than 50 percent, as revised township norms, faster approvals and a wider infrastructure push
boosted investor confidence and expanded activity beyond the National Capital Region.
UP RERA investment figures
According to data released by the Uttar Pradesh Real Estate Regulatory Authority (UP RERA), capital investment in the sector touched Rs 68,328 crore in 2025, compared with Rs 44,526 crore in 2024, marking an increase of about 53.5 percent. A total of 309 real estate projects were registered during the year.
Industry representatives attribute the growth largely to recent policy changes and improved ease of doing business.
“Pro-government policies, especially the revised township policy and quicker regulatory clearances, have significantly improved the investment climate. This is clearly reflected in the jump in investments and project registrations,” Indu Prakash Sharma of Trio Vision Infra told this reporter.
Township rule changes
A major driver behind the surge has been amendments to the township policy, under which the minimum land requirement for township projects has been cut from 25 acres to 12.5 acres. The government has also introduced tighter completion timelines to safeguard homebuyers. Under the new framework, township projects up to 25 acres are required to be completed within three years, while larger developments have been given a maximum period of five years.
Officials said the changes have addressed long-standing concerns over stalled projects, many of which earlier remained incomplete for eight to twelve years, locking up buyers’ money and discouraging fresh investment. The new provisions, they added, have improved project viability and brought greater confidence among both developers and allottees.
Beyond NCR
While the NCR belt has traditionally accounted for a major share of Uttar Pradesh’s real estate activity, 2025 figures indicate a shift towards non-NCR districts and tier-two cities. Of the 309 projects registered during the year, 122 were in the NCR region, while 186 were approved in non-NCR districts.
Lucknow emerged as a key centre with 67 registered projects. Bareilly accounted for 15 projects, Agra for 14, while fresh developments were also recorded in Bulandshahar, Rampur, Chandauli, Unnao, Gonda, Mau and Mirzapur, pointing to a wider geographical spread of real estate growth.
Religious tourism has also become a significant catalyst. Mathura saw 23 projects registered in 2025. Ayodhya recorded five projects, Varanasi nine and Prayagraj seven.
Government view
“The redevelopment of Ayodhya, Varanasi and Mathura, along with a steady rise in religious tourism, has created strong demand for housing, hospitality and commercial projects,” government spokesman Vishal Singh said. “These cities are fast emerging as new real estate growth centres, not just pilgrimage destinations.”
Developers say the overall improvement in Uttar Pradesh’s investment ecosystem has helped change long-held perceptions about the state.
“Over the last few years, there is a very positive sentiment about Uttar Pradesh. Earlier, many large investors were hesitant. Now major names are entering the state across housing, logistics, industry and township projects,” said Amit Srivastava, CEO of BBD Viraj Group and a member of CREDAI.
Infrastructure role
He cited infrastructure upgrades, new expressways, improved power supply, better law and order and simplified approval systems as key factors behind the turnaround.
“One of the most important reforms has been allowing land-use conversion through development authorities. Earlier, it was handled by the Revenue Board and took a long time. Faster approvals have unlocked both stalled and new investments,” Srivastava said.
Officials said expanding connectivity, urban redevelopment and rising tourist footfall are expected to further strengthen real estate activity across Uttar Pradesh in the coming years.
