Analysing Urban Growth Boundary Effects on the City of Bengaluru

Bengaluru is encircled by a green belt, instituted as an urban growth boundary to contain sprawl, ensure equitable growth, and preserve lung spaces. Urban growth boundaries the world over are typically known to drive land prices higher in the inner city area by artificially limiting the supply of land. Bengaluru has witnessed significant increases in land prices over the last decade. This paper examines whether the green belt in Bengaluru has had a significant effect on land prices through an analysis of price differentials inside and outside the growth boundaries. It also debates the relevance of a green belt as an urban containment tool in regimes characterised by ineffective provision of infrastructure and lax implementation of zoning regulations.