Guest Column | Chandigarh’s pricey makeover: A tale of gentrification
While economic growth and investment are welcome, the downside of gentrification is the gradual displacement of long-term residents who can no longer afford to live in their own neighbourhoods
Chandigarh, India’s first planned city, has long been admired for its modernist vision and orderly development. Designed by Swiss-French architect Le Corbusier, the city is now witnessing an unprecedented surge in real estate prices, exemplified by what’s been circulating on the grapevine about a residential plot being valued at a staggering ₹200 crore. This astronomical valuation is a clear sign of the rapid gentrification sweeping through the city. But what does this mean for its residents, urban landscape and the city’s original ethos?

The gentrification wave
Gentrification, a process where urban areas are transformed through the influx of wealthier investors, is often accompanied by rising property prices, commercial redevelopment and a shift in local demographics. Chandigarh’s real estate boom is not just about demand and supply but a broader shift toward exclusivity.
A quick glance at property listings reveals that prime sectors, such as single digit sectors, have seen exponential appreciation. Investors, developers and ultra-high-net-worth individuals (UHNIs) are reshaping the housing market, making it increasingly unaffordable for middle-income groups. The aspirational charm of living in Chandigarh, coupled with its limited land availability, has further intensified this upward trend.
The driving forces
Several factors contribute to this skyrocketing real estate trend:
1) Scarcity of land – Strict zoning laws limit new residential plots, pushing demand for existing properties.
2) Investment Haven – The city attracts NRIs and business tycoons as a lucrative real estate destination.
3) Luxury lifestyle appeal – Wide roads, green spaces, and superior infrastructure attract affluent buyers.
4) Proximity to NCR and Punjab – Its location makes it ideal for industrialists and professionals.
5) Government policies – FDI reforms and privatisation of land have fuelled speculation and higher valuations.
Impact on local communities
While economic growth and investment are welcome, the downside of gentrification is the gradual displacement of long-term residents who can no longer afford to live in their own neighbourhoods. The rising property taxes and cost of living have led to a silent migration of middle-class families to peripheral areas such as Zirakpur, Kharar and New Chandigarh. This has, in turn, led to urban sprawl and increased reliance on private transportation, contradicting the city’s original vision of self-contained sectors.
Moreover, commercial gentrification is altering the city’s cultural fabric. Trendy cafes, high-end boutiques and luxury stores are replacing small businesses and traditional markets. While this adds to the city’s cosmopolitan appeal, it also dilutes its indigenous character.
The architectural transformation
From an architectural perspective, the influx of wealth is leading to the demolition of old bungalows and their replacement with newer residences featuring modern, glass-heavy facades. The city’s signature brutalist architecture, once seen as a defining aesthetic, is slowly being overshadowed by contemporary designs that prioritise extravagance over coherence with the original master plan.
The rising demand for gated communities, high-rise apartments and mixed-use developments is also challenging the low-rise, low-density blueprint that Chandigarh was built upon. While modernisation is inevitable, architects and planners must strike a balance between preserving the city’s identity and catering to evolving housing needs.
What lies ahead?
Gentrification in Chandigarh is a double-edged sword. On one hand, it attracts investment, enhances infrastructure and positions the city as a real estate hub. While on the other, it risks alienating long-time residents, exacerbating social inequality and diluting its historic character.
Policymakers must consider measures, such as affordable housing initiatives, rent control regulations, and incentives for heritage preservation, to ensure that development is inclusive. Chandigarh’s evolution must not come at the cost of its original vision—a city designed for all.
As property prices continue to soar, one question looms large: Is Chandigarh still a model city for the common citizen or is it transforming into an exclusive playground for the ultra-rich? Only time will tell.
(The writer is a Chandigarh-based architect & interior designer)
aashna.gakhar@gmail.com