Rental yield in Devanahalli: rents and net returns
What the corridor lets for, who the tenants are, and the net figure after everything that eats into gross.
The short answer
Gross rental yields on the Devanahalli corridor run about 3.2 to 3.8 per cent, which is normal for Indian residential and below what commercial produces. Net, after maintenance, property tax, vacancy and management, realistically lands nearer 2.3 to 2.9 per cent.
That is not a reason to avoid the corridor. It is a reason to be clear about why you are buying: Indian residential is bought for capital appreciation and for use, with rent covering maintenance and part of the interest. Anyone presenting a residential yield here as competitive with a fixed deposit is not being straight with you.
3.2-3.8%
Gross yield
2.3-2.9%
Realistic net
30,000
Foxconn hires in eight months
44.47M
Airport passengers, FY26
What the configurations let for
| Configuration | Purchase | Monthly rent | Gross yield | Maintenance |
|---|---|---|---|---|
| 1 BHK | Rs 56 L | Rs 19,000 to 22,000 | 3.3 to 3.8% | Rs 1,925 |
| 2 BHK | Rs 82 L | Rs 28,000 to 32,000 | 3.4 to 3.8% | Rs 3,150 |
| 3 BHK | Rs 1.32 Cr | Rs 42,000 to 48,000 | 3.4 to 3.8% | Rs 5,600 |
Rents are the current corridor range for comparable branded stock applied to this price list. They are not a projection to handover.
Gross to net, honestly
Take the 2 BHK at Rs 90 lakhs letting for Rs 30,000 a month. Gross is Rs 3.6 lakhs a year, or 3.6 per cent. Then:
- Maintenance at about Rs 3,150 a month, Rs 37,800 a year, usually borne by the owner between tenancies and sometimes throughout.
- Vacancy at one month a year on a conservative assumption, Rs 30,000.
- Property tax, modest but real.
- Repairs and repainting between tenancies, averaging Rs 15,000 to 20,000 a year.
- Management if you are not local, typically a month of rent.
That takes Rs 3.6 lakhs down to roughly Rs 2.5 lakhs, or about 2.5 per cent net before income tax. Which is the number to plan on.
The tenant base, which is the corridor strength
Devanahalli has an unusually broad rental base for a Bengaluru corridor, and it is not software.
- Airport and airline staff. An airport handling 44.47 million passengers employs crew, ground handling, cargo, security and engineering. Crew in particular need to live close, because report times are unforgiving.
- Aerospace Park engineers. Boeing, Safran, Collins, Dynamatic and Wipro, more than 5,000 direct jobs, on salaries that support the 2 and 3 BHK end.
- Foxconn and industrial workers. 30,000 hired in eight months against a state target of 50,000. Young, largely entry salaries, and the deepest source of 1 BHK demand on the corridor.
- Wistron, from Phase 2 itself. A 32 acre laptop plant on the same phase as this project, about 3,000 jobs, production targeted from January 2026. Electronics manufacturing salaries sit squarely in 1 BHK territory, and the commute is a walk rather than a drive.
- Airport City offices, increasingly. A 460 acre district with a 2 million sq ft business park aimed at global capability centres.
That mix is less correlated with any single sector than Whitefield or Sarjapur, which matters in a downturn. Detail in our employers piece.
The honest counterweight
North Bengaluru held about 28 per cent of the city unsold inventory in the second quarter of 2026, and available stock across Bengaluru rose 34 per cent year on year. A large volume of completions arriving together suppresses rents as well as prices for a period. Assume competitive letting conditions through the late 2020s.
See the investment analysis for the full case, including the reasons not to buy.
Questions
What rental yield does Devanahalli produce?
Gross yields run about 3.2 to 3.8 per cent, which is normal for Indian residential. Net, after maintenance, vacancy, property tax, repairs and management, is realistically nearer 2.3 to 2.9 per cent before income tax.
What does a 2 BHK let for on this corridor?
Roughly Rs 28,000 to 32,000 a month for comparable branded stock, against a purchase price around Rs 90 lakhs.
Who rents on the Devanahalli corridor?
Airport and airline staff, Aerospace Park engineers at Boeing, Safran, Collins and Dynamatic, Foxconn and industrial workers, and increasingly staff at the Airport City business park. It is a broader and less software dependent base than the eastern corridors.
Is rental income taxable?
Yes, in India. For a resident owner it is added to income and taxed at slab rates after a standard deduction. Where the owner is a non resident the tenant must deduct TDS at 30 per cent plus surcharge and cess.
Will rents hold up given the new supply?
Expect competitive conditions. North Bengaluru held about 28 per cent of the city unsold inventory in Q2 2026 and stock rose 34 per cent year on year, so a large volume of completions arriving together will suppress both rents and prices for a period.
Book a site visit
Prestige Parklane sits inside the KIADB Aerospace Park at Devanahalli. The master plan, the unit plans and the current tower price sheets all go out with the confirmation.
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