PM Modi’s Work-From-Home Push Triggers Decline in Bengaluru Realty Stocks

Bengaluru-based real estate stocks witnessed selling pressure on Monday after Prime Minister Narendra Modi’s remarks on reviving work-from-home practices triggered concerns over future office space demand and commercial real estate absorption.

Shares of Brigade Enterprises fell over 1 percent during the session, while Prestige Estates Projects declined nearly 3 percent. Puravankara also traded lower as investors reacted cautiously to the possibility of companies once again adopting flexible and remote working models to reduce fuel consumption and operational costs.

The broader NIFTY Realty index also slipped more than 2 percent during intraday trade, reflecting weakness across the real estate sector.

The market reaction followed PM Modi’s speech in Hyderabad, where he highlighted the importance of conserving fuel and foreign exchange amid rising global energy prices caused by the ongoing geopolitical tensions involving the United States and Iran. Referring to practices adopted during the Covid period, the Prime Minister said India had successfully implemented work-from-home systems, online meetings and virtual conferences, and suggested such measures may once again serve the national interest.

The comments have reignited discussions around hybrid work culture, especially in major IT hubs like Bengaluru, where office leasing activity remains closely linked to technology sector expansion and workforce mobility.

Industry observers believe that any large-scale shift back toward remote work could temporarily impact demand for commercial office spaces, particularly in key micro markets across Bengaluru. However, experts also note that the city’s long-term real estate fundamentals remain strong due to continued infrastructure development, metro expansion and sustained demand from the technology sector.

Meanwhile, employee associations and IT sector bodies have reportedly sought formal government guidance regarding work-from-home policies, arguing that companies would require official direction before implementing any large-scale operational changes.