A city priced beyond its people

Colombo today stands as a troubling symbol of Sri Lanka’s widening urban inequality. Once a city defined by opportunity and social mobility, it has become one of the most expensive cities in the world for first-time home ownership. According to the latest reports, Colombo’s price-to-income ratio is among the highest globally. The median cost of an apartment compared to median family disposable income suggests it would take nearly 55 years of  monthly income for an average household to own a home in the city. This figure exposes a housing market fundamentally detached from the realities of the people it is meant to serve.

For many aspiring homeowners, the dream of owning property in the city has already slipped out of reach. Young professionals, newly married couples, and middle-income families are left with little choice but to look further and further away from the city centre. Yet this geographic compromise brings with it another harsh reality of the  deeply inadequate public transport system. In and around Colombo, it can take hours to travel just a few kilometres during peak times. What should be manageable daily commutes turn into exhausting routines that drain productivity, family time, and quality of life. The result is a city that punishes those who cannot afford to live close to their workplaces.

Meanwhile, the Colombo skyline continues to change at a rapid pace. Luxury apartment towers rise across the city, marketed with glossy promises of “urban living” and “world-class amenities.” However, these developments are rarely designed for the ordinary Colombo resident. Instead, they are targeted at expatriates who can afford rents and prices comparable to Western cities, or at investors seeking to park capital in real estate with the expectation that prices will only rise. Homes, in this context, are treated less as places to live and more as financial instruments to be traded and flipped. This model may generate short-term profits and impressive skylines, but it does little to address the housing needs of millions of citizens simply seeking a secure roof over their heads.

Housing, at its core, is a social necessity, not a speculative luxury. When a city’s workforce cannot afford to live within reasonable distance of their jobs, the long-term consequences are severe. Productivity declines, social divisions deepen, and frustration quietly builds. The prolonged exclusion from basic aspirations such as home ownership can fuel social instability and erode trust in institutions.

Any serious attempt to address Sri Lanka’s housing crisis must therefore go beyond the construction of high-end apartments. Housing policy must be tackled hand in hand with transport policy. If Colombo and its surrounding regions were supported by a reliable, affordable, and efficient public transport network, living in the suburbs would become a genuinely attractive option rather than a reluctant compromise. Well-planned suburban development, supported by rail, bus rapid transit, and modern infrastructure, could absorb growing housing demand while easing pressure on the city centre.

This requires long-term vision and sound policy. Incentives for affordable housing, regulation to curb excessive speculation, public–private partnerships for middle-income developments, and decisive investment in mass transit are essential. Without such a comprehensive approach, Colombo risks becoming a city owned by investors but inhabited only by the privileged.

The choice is between allowing the housing market to drift further away from the needs of its people, or crafting policies that restore the possibility of home ownership as a realistic goal. Every citizen deserves a fair chance to own a place to call home. Ensuring that opportunity is not just an economic imperative, it is a social one.