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Ghuma had been a remote community in Ahmedabad's western outskirts. The precinct had originally developed as a rural region around the Ghuma Gam temple. Only recently, as a result of factors like the earthquake and riots that caused a major exodus of residents from eastern to western Ahmedabad, and emergence of growth centers, did Ghuma begin to develop as a peri urban neighborhood. This further compelled Ghuma to go through significant social and infrastructural developments that altered the appearance of the precinct. Today, Ghuma, along with western areas like Bopal, is a significant center for the development of real estate.