In a quiet village near Bilaspur, Chhattisgarh, a modular, solar-powered house made using 80% fly ash is drawing national attention. Designed by NTPC, the structure reduces carbon emissions by 75% and can be dismantled and relocated with minimal waste. From grassroots innovation to luxury developments, real estate in India is increasingly being guided by green principles, driven by policy incentives, market dynamics, and a heightened environmental consciousness.
A Sector in Transition
India’s real estate sector, long driven by cost and speed, is now adapting to a new metric: environmental performance. India counts over 14,511 registered green buildings, according to the Indian Green Building Council. These buildings, spread across residential, commercial, institutional, and industrial sectors, demonstrate energy savings of 30-50% and water savings 20-30%, demonstrating both environmental and economic benefits.
In major metros, certified green buildings are commanding a rental premium of 5–10%, driven by rising demand from both homebuyers and institutional tenants. Corporate occupiers, in particular, are increasingly willing to pay upwards of 15% more for green-certified spaces that align with their sustainability goals
From Compliance to Commitment
Luxury developers are leading by example, embedding sustainability in design, construction, and community planning. Atul Bhatnagar, COO-Project Planning, Elan Group, said, “The future of real estate will be defined by the responsibility with which we build today. Sustainability is no longer a choice but an imperative driven by the evolving expectations of buyers, investors and regulators. From IGBC and LEED certifications to adaptive design and energy-efficient systems, every decision must deliver long-term value while minimizing environmental impact. The focus is shifting from structures to ecosystems, where performance, resilience and climate-conscious planning converge to create smarter, healthier urban communities.”
Elan Group’s recently launched ultra-luxury project, Elan The Emperor, is a prime example of this vision. Strategically planned to achieve IGBC LEED Gold Certification, the project reflects the Group’s emphasis on energy efficiency, reduced carbon footprint, and sustainable resource management. Similarly, Elan The Presidential is recognized as an IGBC Pre-Certified Gold-rated development, reinforcing the Group’s consistent commitment to green building across its luxury portfolio. This shift reflects a larger industry realignment, from short-term aesthetics to long-term environmental performance.
Policies Fueling the Push
Regulatory support is strengthening the case for going green. Delhi has proposed reforms including increased Floor Area Ratio (FAR) for certified buildings, fast-track clearances, and reduced development charges to incentivize sustainable construction. National frameworks like RERA and State Master Plans are also integrating climate-responsive design, energy efficiency, and water conservation as baseline requirements.
Developers are adopting low-carbon materials, solar integration, and IoT-enabled energy monitoring systems. These advances are not just environmental upgrades they’re also long-term levers for operational efficiency and lifecycle cost savings. Kirthi Chilukuri, Founder & Managing Director, Stonecraft Group, highlighted by saying, “India’s green turn in real estate is not just a trend—it’s a tectonic shift in how we imagine, design, and live. At Stonecraft, we believe sustainability begins not at the blueprint, but in the mindset. From soil science to solar integration, every project we undertake is rooted in biophilic design and ecological intelligence. As climate goals align with conscious consumer demand, the future belongs to spaces that heal—communities that give back more to nature than they take. Green buildings must now evolve into living ecosystems.”
The Road Ahead
Barriers remain: cost concerns, lack of skilled labour, and retrofitting challenges in legacy structures. Yet, momentum is unmistakable.
In 2001, India had less than 20,000 sq ft of green building space. By 2023, this figure had surged to over 10.25 billion sq ft, making India one of the top five countries globally in terms of green building footprint. The green shift is no longer theoretical. It is operational, visible, and increasingly profitable, offering Indian real estate a blueprint that is as resilient as it is responsible.
