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Delhi’s Growth Potential Hinges on Affordable Housing and Sustainable Development

Delhi can become a business and affordable housing hub, but coordinated governance, single-window approvals, and sustainable redevelopment are key to unlocking its full potential.

BY Realty+
Published - Saturday, 20 Dec, 2025
Delhi’s Growth Potential Hinges on Affordable Housing and Sustainable Development

Delhi, India’s rapidly expanding capital, holds immense potential to become a hub for business, affordable housing, and sustainable urban development, but key challenges around governance and planning remain, experts said at the Delhi Developers Meet 3.0. The event, organized by NAREDCO Delhi with JLL as Knowledge Partner, focused on sustainable redevelopment and transit-oriented development (TOD) in the city.

Union Minister of State for Housing and Urban Affairs Tokhan Sahu emphasized that public transport must become the primary mode of mobility in cities rather than private vehicles. Speaking at the event, he said, “We need a city where people can easily use public mobility rather than relying on private vehicles. We also need to bring homes closer to workplaces.” He highlighted the importance of last-mile connectivity and enhanced public transport as integral to easing congestion, improving quality of life, and addressing environmental concerns.

Delhi’s urban expansion is occurring at a rapid pace. Dr. Debolina Kundu, Director at the National Institute of Urban Affairs (NIUA), said that Delhi is on track to become the largest urban centre globally by 2035, surpassing Tokyo. She noted that between 2000 and 2025, Delhi’s built-up area grew by 48.1%, outpacing other metropolitan cities like Kolkata, Chennai, and Mumbai. Such rapid growth underscores the urgency of sustainable urban planning and redevelopment.

Dr. Kundu stressed that TOD and sustainable redevelopment are crucial for facilitating economic growth while ensuring livable, well-planned communities. “Integrating transit with land use will create walkable, high-density urban hubs with open green spaces, accessible public services, and efficient transit systems,” she said. TOD promotes affordable housing, eases commuting, and encourages environmentally friendly urban growth.

Experts at the seminar also highlighted governance challenges as a key bottleneck in Delhi’s growth. Reshma Dudani, Sr. Executive Director (Engineering) at NBCC India Ltd, pointed out that the city faces multiple platforms for municipal and development approvals, often leading to delays and inefficiencies. She advocated for a single-window clearance system to streamline approvals, reduce overlaps, and accelerate urban development.

Harsh Vardhan Bansal, President of NAREDCO Delhi, echoed this sentiment, emphasizing that Delhi’s true potential in creating business hubs and office spaces has not been fully realized due to overlapping authorities and uncoordinated policies. He suggested that better coordination among agencies and incentivizing green buildings could unlock the city’s growth potential while addressing environmental concerns.

Affordable housing remains a central focus for sustainable urban development. Gaurav Jain, President Elect of NAREDCO Delhi, stressed the importance of timely implementation of the 20% affordable housing provision. “Delhi is ready for redevelopment, and policies must be consistently applied across all areas. The challenge is not policy making, but execution. With consistent implementation, Delhi can set a benchmark for inclusive urban growth,” he said.

The discussions come amid India’s rapid urbanization. Urban population in the country has increased from 17% in 1951 to over 31.6% in 2011 and is projected to reach 600 million by 2030. Delhi, as the national capital, has a pivotal role in demonstrating how large urban centers can grow sustainably, integrating affordable housing, business opportunities, and green infrastructure.

Experts agreed that creating a cohesive framework for redevelopment, transit planning, and policy execution will be key to realizing Delhi’s potential as a modern, sustainable, and inclusive urban center.

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