Mohali: From Facing Recession In 2016-17, To Crossing A High Of Rs 1.50 Lakh Per Square Yard And Above Today, What Factors Led Mohali To Become The Most Sought-after Investment Hub Over The Years?

Mohali: From facing recession in 2016-17, to crossing a high of Rs 1.50 lakh per square yard and above today, what factors led Mohali to become the most sought-after investment hub over the years?

It may sound queer, but the Greater Mohali Development Authority (GMADA) in 2017 slashed collector rates in a bid to boost property sales and generate revenue. The Real Estate market at the time was facing a slump, recording miserably low registration of properties in the region. As such, the property rates were slashed by 10 to 12 percent. Property dealers in the region hoped the correction would boost sales in an otherwise stagnant market.

Fast forward to 2026, property prices in Mohali reach a new peak every other day. October 2025, the district administration increased the collector rates by 20- 30 percent. GMADA’s auction of residential and industrial plots and commercial booths in February 2026 fetched a whopping 3136.97 crore from sale of merely 37 properties, with a 145 sq yrd residential plot in sector 68 selling for Rs 4 crore.

While such exponentially high sales price of Rs 2,75,000 per square yard is artificial and pushed up by property dealers, it is not the sole reason for the increase.

Chandigarh factor:
Mohali was initially developed on the margins of Chandigarh. Phase-6, 1, 2 and others carried little to no significance apart from their proximity to Chandigarh. With the increase in property prices in the Union Territory, GMADA decided to attract buyers through allotment of plots through draw of lots in sectors 69, 70 and others.
Also, the city’s planning is largely based on that of Chandigarh. As such, Mohali was developed with requisite infrastructure including arterial roads, sewerage and water supply. The same enhanced the living standards in the area, thus propelling its demand in the long run.

International airport:
The population increase in the tri-city region led to establishment of the Mohali international airport- which boosted business and tourism here, subsequently giving a huge impetus to real estate activities in the region north of Delhi.
The area around the airport strategically connects Panchkula, Zirakpur, Mohali and Kharar; provides easy connectivity to people commuting on the Delhi-Punjab route by bypassing Chandigarh, thus offering opportunities to business owners to set-up regional offices and distribution centres.

Mohali’s establishment as an IT hub:

The tri-city’s strategic location at the intersection of three states, clubbed with availability of educated youth from Panjab University and other regional educational institutions made tri-city an opportunity area for businesses and gave rise to establishment of IT hubs in Mohali. The city by default benefitted from the same, thanks to its large chunk of plain lands in comparison to Chandigarh and Panchkula.

The GMADA, which has been acquiring large parcels of land to develop an urban city, created industrial pockets in sectors 82, 66-A, 83 and near the Airport road strategically that completely changed the landscape of Mohali. Today, the city houses offices of hundreds of small and medium IT firms, while mega corporate firms of the likes of Infosys have also started setting their foot here.

Moreover, development of the Banur-Tepla road as an industrial segment provides RERA-approved industrial plots for manufacturing, warehousing, and logistics, which is gaining significance for its connectivity to the Delhi-Ambala Highway, Shambhu and Chandigarh International Airport.

Ravneet Singh

March 21, 2026