Lodha Says India’s Real Estate Market Still on the Runway, Yet to Take Off
India’s real estate market, one of the largest and most dynamic in the world, is still preparing for its real “takeoff,” says Abhishek Lodha, CEO and MD of Lodha Developers. Despite record-breaking housing sales and robust growth across major cities, Lodha believes the current boom is just the beginning of a much longer journey.
“We’re Still on the Runway,” Says Abhishek Lodha
During the company’s Q2 FY26 earnings call, Abhishek Lodha painted a vivid picture of India’s real estate journey. He said,
“We (India’s real estate market) are still sort of, I would say, the plane is on the runway. It is not even in the takeoff phase yet. It’s just moving along the runway.”
He added that like an aircraft waiting for its turn, the market might face short pauses or slow quarters. But the broader cycle, according to him, has “many years ahead” before it reaches cruising altitude.
This metaphor perfectly captures the current state of Indian housing full of potential, yet far from its peak.
A Once-in-a-Lifetime Shift: From Low-Income to Mid-Income Housing
Abhishek Lodha highlighted that India is undergoing a “once-in-a-lifetime” transition from low-income to mid-income housing. This transformation, he explained, has historically triggered long and sustained real estate cycles in other major economies.
He said, “Wherever such transitions have happened, they have witnessed real estate cycles lasting 15 to 20 years. India is only four to five years into that long cycle.”
This shift is being powered by rising incomes, urbanization, better financing, and increased aspirations among the middle class. The mid-income segment, once overlooked, is now emerging as the engine driving the sector’s growth.
Mid-Income Homes Now Drive Lodha’s Growth
Interestingly, half of Lodha Developers’ total sales now come from the mid-income category. Lodha mentioned that this segment is thriving, thanks to supportive government measures such as interest rate reductions, tax benefits, and infrastructure push.
He broke down the company’s sales mix as follows:
- 50% from mid-income homes
- 12%–15% from luxury properties
- The rest from affordable housing
Lodha noted that balancing across these categories helps the company stay resilient. “We do not want to depend only on luxury or mid-income. Both will play their roles at different times in the cycle,” he said.
Strong Q2 FY26 Performance Reflects Market Confidence
Backing his optimism with results, Lodha Developers posted an 87% jump in consolidated net profit to ₹789.8 crore in Q2 FY26, compared to ₹423 crore in the same period last year.
Total income rose 44% year-on-year to ₹3,878.7 crore, signaling robust demand.
The company also expanded its development footprint by adding:
- One new location in the Mumbai Metropolitan Region (MMR) worth ₹2,300 crore in GDV.
- Five new locations in Q1FY26 worth a combined GDV of ₹22,700 crore.
So far, Lodha Developers has delivered 110 million sq. ft. of real estate and is developing another 130 million sq. ft., reaffirming its leadership position in India’s urban growth story.
India’s Growth Potential Still Unfolding
Despite this progress, Abhishek Lodha believes India’s real estate story is still in its early chapters.
He explained, “The real takeoff will happen when India’s GDP per capita crosses $4,000 to $4,500. We’re still a few years away from that milestone.”
This prediction aligns with global trends in many countries, real estate markets explode once per capita incomes reach the $4,000–$5,000 range. It’s the point where consumer spending, lifestyle aspirations, and housing affordability align.
Expert Insight: Sanjeev Singh of SKJ Landbase Weighs In
Commenting on Lodha’s statement, Sanjeev Singh, MD of SKJ Landbase, shared his perspective on the market’s current phase.
“Abhishek Lodha is absolutely right. India’s real estate engine is warming up, not flying yet. The demand from mid-income homebuyers is steadily climbing, especially in cities like Gurugram, Pune, and Hyderabad. Once the next wave of infrastructure projects and policy incentives align, we’ll see the real acceleration.”
He further added that developers focusing on quality mid-segment projects will benefit the most in the coming years. “Buyers today are informed, financially stable, and looking for lifestyle-oriented homes rather than just four walls,”He emphasized.
The Road Ahead: A Decade of Opportunity
Looking ahead, the future seems extremely promising. India’s urban population continues to rise, and the country is adding millions of new homebuyers every year. Coupled with government-backed housing initiatives and easier financing, this creates a perfect launchpad for the next phase of growth.
If Lodha’s prediction holds, India’s real estate market could witness 15–20 years of expansion, supported by consistent economic progress and evolving buyer preferences.
Conclusion: The Takeoff Is Coming
Abhishek Lodha’s airplane analogy might just be the perfect way to describe India’s property sector today – engines running, ready for takeoff.
With a strong mid-income shift, rising incomes, and steady developer performance, the next decade could see the market soar to new heights. And as Sanjeev Singh aptly summed up, “India’s runway is long, but the flight will be worth the wait.”
