Commercial Real Estate to Remain a Preferred Asset Choice for Investors

For investors in India, commercial real estate is likely to be one of the most preferred options for growing their assets in the coming years. Since the pandemic, this segment of the real estate sector has witnessed a strong growth. In 2020 and 2021, there had been setbacks in this domain. Restaurants, cafes, supermarkets, multiplexes, clothing stores, offices, and shops remained closed for months. However, the commercial real estate segment has shown strong signs of a comeback in 2022, and continued to grow.

Industrial real estate has been thriving powerfully in India. Evidently, the future of commercial real estate looks bright. The government has also eased up norms related to social distancing. This explains why the offices are operating normally with their full workforce. In turn, this has fueled the demand for office space.

Even during the pandemic, investors didn’t lose hope with commercial real estate. They continued with virtual site visits, focusing on crucial parameters like safety and hygiene. The developers have also integrated the new commercial projects with voice-controlled and touch-free features to enhance the safety of the employees and visitors. The reputed builders are heavily capitalizing on technology, which has evolved as an important tool in the commercial real estate market. It enables one to assess the type of property, location, flooring, and other details. Retail developers are also using cloud-based and AI technologies to enhance the leasing processes. Using these technologies, they can evaluate the tenant applications, profile, and carry out screening.

The strong comeback of the commercial real estate sector in India is also evident from the development of logistics centers and IT parks. NRI investments are pouring in heavily into the commercial real estate sector. Moreover, investors are also choosing the REITs, considering the impressive rental returns. In near future, this trend is likely to dominate the industry.

Real estate has long been a safe investment avenue for traditional investors in India. Even in the future, it would continue to attract investors, considering the good returns and impressive growth prospects. Besides, the Indian government has come up with several reforms in the commercial real estate segment like the RERA. With all these developments, the commercial real estate sector would be a great investment avenue for the investors in the near future.