Vandalur-Kelambakkam Road has emerged as Chennai’s most promising real estate corridor in 2025, offering superior investment returns and growth potential compared to established areas like OMR and ECR. With property appreciation rates of 8-12% annually and rental yields of 7-9%, this corridor significantly outperforms Chennai’s average market performance.
The strategic 20-kilometer stretch connecting the Old Mahabalipuram Road (OMR) to the Grand Southern Trunk (GST) Road has transformed from a quiet suburban route into a thriving real estate hotspot, positioning itself as the next major development hub after OMR.
The Rise of Vandalur – Kelambakkam Road
Originally serving as a peripheral link between the Grand Southern Trunk (GST) Road and Old Mahabalipuram Road (OMR), the 20-kilometer Vandalur–Kelambakkam Road has been transformed into a vital cross‐city artery. Key enhancements include:
- Road widening to six and eight lanes, reducing travel times between southern suburbs and IT hubs.
- Flyovers at major junctions—Vandalur, Mannivakkam, and Kelambakkam—elevating traffic flow.
- Upgraded drainage systems and street lighting, bolstering safety and resilience during monsoons.
Also Read: Home Loan Interest Rates in Chennai
Building the Future: How Vandalur – Kilambakkam is Changing the Game
Kilambakkam and its neighbouring areas are on the fast track to transformation. With major transport and road projects underway, the region is becoming one of Chennai’s most connected and promising growth corridors.
The Kilambakkam Bus Terminus – More Than Just a Bus Stop
- Operational since 2023 and spread across 45 acres, serving buses to southern Tamil Nadu.
- 20% property value jump since the project was announced.
- Cuts congestion at the busy Chennai Mofussil Bus Terminus (CMBT) in Koyambedu.
- Positions Kilambakkam as a key transport hub for the region.
Chennai Metro Phase 2 – Your Fast Track to Anywhere
- Planned 15.46 km extension from Chennai Airport to Kilambakkam with 13 elevated stations.
- ₹9,335 crore investment linking Pallavaram, Chromepet, Tambaram, Perungalathur, and Vandalur.
- Corridor 3 will run 45.8 km from Madhavaram to SIPCOT, connecting major hubs.
- By 2027-2028, Chennai’s metro will cover 173 km with 128 stations.
Chennai Peripheral Ring Road – The City’s New Economic Lifeline
- 133 km mega-highway linking Singaperumal Koil, Thiruvallur, and Sriperumbudur.
- Scheduled to open by December 2026.
- Acts as Chennai’s first economic super corridor.
- Boosts freight movement, makes commuting smoother, and fuels business growth.
Suggested Read: Top 5 Banks for Home Loans in Chennai 2025
Why is Vandalur–Kelambakkam on Every Investor’s Radar?
From rising prices to strong rental yields, the Vandalur–Kelambakkam corridor is proving itself as one of Chennai’s fastest-growing real estate hotspots. Here’s a snapshot of what’s driving the buzz.
Property Prices
| Metric | Details | Key Insight |
|---|---|---|
| Price Range (per sq. ft.) | ₹4,750 – ₹6,150 | Strong value compared to Chennai’s core areas |
| 3BHK Price Range | ₹60 lakh – ₹97 lakh | Far more affordable than similar city-center units |
| Market Advantage | Affordable pricing + infrastructure upgrades | Attractive to both end-users and investors |
Rental Market – Steady and Profitable
- 8% year-on-year rise in housing sales near the Kilambakkam bus terminus.
- South Chennai leads with the highest residential demand growth.
- Growing rental demand fuels long-term income potential for investors.
Suggested Read: Cost of Living in Chennai 2025
Jobs, Growth: Why Vandalur-Kelambakkam Corridor Keeps Winning
- Known as Chennai’s IT Corridor, packed with tech parks and corporate offices.
- SIPCOT IT Park just 15 mins from Kelambakkam; Alpha City and Pacifica within 20 mins.
- Major educational hubs like IIT Madras research facility, Hindustan Institute, and VIT Chennai drive housing demand.
- Strategic spot between OMR and GST Road gives easy access to Siruseri and Sholinganallur.
- Steady inflow of IT professionals ensures a large tenant base.
Suggested Read: Land Records in Tamil Nadu
Government Initiatives for Vandalur-Kelambakkam Corridor
- 2025–26 State Budget earmarks crores for flyovers, transport hubs, and infrastructure upgrades.
- Single-window clearance and revised zoning make approvals faster and smoother.
- Focus on new town development and urban growth center expansion.
- Corridor placed at the center of Chennai’s 20-year metropolitan expansion plan.
Suggested Read: Stamp Duty and Registration Charges in Tamil Nadu
The Road Ahead: Where Vandalur–Kelambakkam is Headed
From short-term gains to long-term transformation, this corridor is on a clear upward trajectory—backed by infrastructure, demand, and government vision.
Short-Term Outlook (2025–2027) – Momentum in Motion
- Metro Phase 2 construction on track, partial opening expected by 2027.
- Property values projected to hit ₹7,000–₹8,000 per sq. ft. by 2030 – a 20–30% jump.
- 3BHK apartments expected to reach ₹80–₹120 lakh by 2027.
- Rental yields likely to improve to 8–10% as demand from professionals rises.
Long-Term Vision (2028–2035) – From Emerging to Prime
- Full completion of Metro Phase 2, CPRR, and road upgrades will cement the area’s prime status.
- Anticipated as one of Chennai’s top residential and commercial hubs by 2030.
- Proposed metro extension to Chengalpattu to unlock new growth pockets.
- Seamless integration into Chennai’s metropolitan expansion plan ensures sustained appreciation.
Suggested Read: How to Get Encumbrance Certificate in Tamil Nadu?
Vandalur–Kelambakkam vs. The Rest | Why This Corridor Stands Out
When stacked up against Chennai’s established real estate zones, Vandalur–Kelambakkam is delivering better returns, stronger demand, and room to grow.
OMR Corridor – Saturated but Stable
- Established IT hub but prices have hit saturation levels.
- Rental yields at 5–6%, compared to 40% higher yields in Vandalur–Kelambakkam.
- Entry prices remain significantly higher, limiting investor affordability.
ECR Corridor – Premium but Limited Growth
- Known for luxury coastal homes with high ticket sizes.
- Limited appreciation potential compared to Vandalur–Kelambakkam.
- Lacks direct proximity to major IT employment clusters.
Tambaram & South Chennai – Good but Slower
- Offers good connectivity, but growth pace is slower.
- Lacks the infrastructure push and development momentum of Vandalur–Kelambakkam.
Suggested Read: How to View Patta Chitta Records?
How to Invest on Vandalur–Kelambakkam Corridor for Maximum Gains?
- Invest in 2025–2026 to lock in pre-infrastructure pricing.
- Target properties within 2 km of upcoming metro stations.
- Hotspots: Vandalur, Perungalathur, Kelambakkam.
Suggested Read: RERA Charges in Tamil Nadu
Vandalur–Kelambakkam Road: Upcoming Projects
Here’s a curated list of residential and land projects in the Vandalur–Kelambakkam stretch that have clear possession timelines—helping buyers and investors plan their moves with confidence.
| Name of the Property | Configuration | Price | Status | Possession / Completion Date |
|---|---|---|---|---|
| Provident Bayscape | 2, 3 BHK Apartment | ₹63.99 – ₹89.13 L | Under Construction | Aug 2028 |
| DVN Pappammal Garden Mambakkam | Land | ₹29.73 – ₹52.49 L | Under Construction | Dec 2025 |
| Sakthivel Vetrivel Avenue | Land | ₹17.79 – ₹30.7 L | Ready to Move | Jul 2025 |
| Elite Thendral Nagar Plots | 2 BHK Villa / Land | ₹38 – ₹80 L | Ready to Move | Jul 2025 |
| EAR Rasathi Nagar | Land | ₹23.62 – ₹56.68 L | Ready to Move | Jun 2025 |
| Vinayak Vijaya Grand Town | Land | ₹13.88 – ₹52.26 L | Ready to Move | Apr 2025 |
| Varam Sampoorna | Land | ₹27.9 L – ₹2.51 Cr | Ready to Move | Jul 2025 |
| Elite Akash Garden | Land | ₹23.53 – ₹28.35 L | Ready to Move | Apr 2022 |
| Akshaya Podigai | 3, 4, 5 BHK Villa | Price on Request | New Launch | Mar 2027 |
Conclusion
The Vandalur-Kelambakkam Road represents a once-in-a-decade investment opportunity in Chennai’s real estate market. With superior appreciation rates of 8-12% annually, rental yields of 7-9%, and comprehensive infrastructure development creating a perfect storm of growth drivers, this corridor is positioned to deliver exceptional returns for investors.
Getting a home loan can be hard, but we make it easy. Choosing Credit Dharma for your home loan simplifies this process. We offer expert advice and personalized assistance to make everything hassle-free. You’ll receive timely updates on your loan application and disbursement progress.
Frequently Asked Questions
Vandalur-Kelambakkam Road attracts homebuyers due to its affordability, excellent connectivity to key IT hubs, growing infrastructure, and proximity to schools, hospitals, and shopping centers, making it an ideal residential choice.
Mambakkam enjoys excellent connectivity through the Vandalur-Kelambakkam Road, with easy access to OMR, GST Road, and key transport hubs like Chennai International Airport and Vandalur Railway Station, enhancing daily commute convenience.
Vandalur is located in the southern zone of Chennai, falling under the Chengalpattu district. It is strategically positioned between major commercial and residential areas, with easy access to OMR and GST Road.
Investing in the Vandalur-Kelambakkam Project offers strong capital appreciation, high rental yields, and access to excellent infrastructure developments, including the metro expansion and IT parks, making it a promising long-term investment.
The 15.46-kilometer metro extension from Chennai Airport to Kilambakkam is expected to be operational by 2027-2028, with the full Phase 2 network completed by 2028.
The 133-kilometer CPRR, expected to be operational by December 2026, will enhance connectivity and create Chennai’s first economic super corridor.
Mambakkam, Mannivakkam, and areas within 2 kilometers of planned metro stations are expected to experience the highest appreciation rates.
Plans include metro extension to Chengalpattu, integration into Chennai’s metropolitan development plan, and positioning as one of the city’s most desirable destinations.
HDFC Home Loan
SBI Home Loan
