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Key Points

India's real estate is seeing serviced residences move beyond major metros into popular tourist destinations. This trend is fueled by the rise of remote work and a growing preference for long-stay, experiential accommodations. Locations like Goa, Rishikesh, and Kasauli offer more attractive entry prices compared to Tier-I cities. These properties combine the comfort of a home with premium hotel amenities, appealing to both investors and travelers.

Key Points: India Serviced Residences Boom in Goa Rishikesh Kasauli Tourism Spots

  • Rising demand in Goa, Rishikesh, and Kasauli for branded serviced residences
  • Shift driven by remote work culture and preference for experiential stays
  • Attractive pricing with Goa starting at Rs 11,500 per sq.ft.
  • Combines home familiarity with 4–5-star hotel amenities for travelers
2 min read

India's serviced residence trend emerges beyond Tier-I cities to tourist destinations: Report

Colliers report reveals serviced residences expanding beyond metros to tourist destinations like Goa, Rishikesh, and Kasauli, driven by remote work and ROI demand.

"Beyond Tier-I cities, a new wave of serviced residence growth is taking shape in tourism-centric destinations. - Colliers"

New Delhi, Sep 3

India’s real estate sector is undergoing a paradigm shift as serviced residences evolve from a niche concept into a mainstream investment class, a report said on Wednesday.

"Beyond Tier-I cities, a new wave of serviced residence growth is taking shape in tourism-centric destinations. Locations such as Goa, Rishikesh, and Kasauli are witnessing heightened demand," Colliers stated in its report.

According to the report, this development is fuelled by various factors such as rising preference for long-stay and experiential stays, the growth of remote and flexible work culture, and shifting traveller mindset from regular hotels to branded, professionally managed residences.

Increasing appeal among second-home buyers seeking rental visibility and Return On Investment (ROI) alongside lifestyle benefits is also an emerging reason behind the shift.

In Tier-I cities, branded serviced residences associated with national or international hotel brands command an average sale price of around Rs 22,000 per square feet (sq. ft.)

In Delhi, the sale price is around Rs 22,00 per sq. ft., in Bengaluru it is Rs 19,500 per sq. ft, and in Mumbai it is Rs 25,000 per sq. ft.

"In comparison, tourist destinations offer more attractive entry points, with Goa starting at Rs 11,500 per sq.ft. followed by Kasauli and Rishikesh at Rs 9,500 and Rs 8,500 per sq.ft. respectively," the report said.

Traditionally concentrated in Tier-I cities such as Mumbai, Delhi-NCR, Bengaluru, the segment has witnessed rising investor attention due to global demand for flexible living solutions.

These serviced residences have tie-ups with leading hotel brands, combine the familiarity of a home with the 4–5-star amenities of a hotel, making them attractive for both business and leisure travellers, the report stated.

Goa stands out as India’s premier leisure and lifestyle destination, with its unique blend of affordability, premium hospitality tie-ups, planned infrastructure projects and strong tourism-driven demand.

"Goa has gradually undergone a paradigm shift from villa to apartment typology with serviced residences emerging as one of the next major investment trends in India," the report highlighted.

- IANS

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Reader Comments

P
Priya S
As someone who works remotely, I've stayed in serviced apartments in Rishikesh for a month. The combination of work and spiritual retreat is amazing! Much better than hotels for long stays.
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Arjun K
While this sounds promising, I hope this development doesn't spoil the natural beauty of places like Kasauli and Rishikesh. Sustainable tourism should be the focus, not just ROI.
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Sarah B
The price difference is staggering! ₹25,000/sq ft in Mumbai vs ₹8,500 in Rishikesh. Makes so much more sense to invest in tourist destinations if you're looking for holiday homes with rental income.
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Vikram M
Post-pandemic work culture has really changed how we think about living spaces. Having a professional management team handle your property while you earn returns is exactly what modern investors want.
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Nisha Z
I just hope the local communities benefit from this development and don't get priced out of their own towns. Responsible tourism should be priority number one.
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Michael C
The shift from villas to apartments in Goa is interesting. Makes maintenance much easier for investors while still offering the holiday experience. Smart move by developers!

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