4 Sept 2025
The demand for serviced residences is burgeoning as people look for second or holiday homes.
Tata Housing, Elan Limited, Leela Residences, Godrej Properties, the Prestige Group, Sobha Limited, and the House of Abhinandan Lodha are investing heavily in serviced residences projects.
These Indian developers are partnering with international hotel brands, including Leela Palaces Hotels and Resorts, Hyatt, Four Seasons, JW Marriott, Hilton, Novotel, and The Ascott Limited, to cater to this market.
The serviced apartments segment has been expanding at 12.7% globally, and at a similar rate in India, ET reported. Serviced apartments offer attractive rental yields, long-term ROI and capital appreciation.
In Goa, serviced apartments offer a rental yield of 8-15%. This city has 35% of India’s second-home buyers.
Serviced residences' prices have escalated by 2.6 times, from ₹4,000 per sqft in 2019 to ₹10,300 per sqft in 2025. Infrastructure upgrades, such as new airports and improved highways, coupled with the work-from-anywhere revolution, are supporting the demand for this segment.
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