Demand For Under-Construction Projects For Office Spaces On The Rise

By : 360 Realtors

26 April, 2018

The demand for under-construction projects for office spaces in India are on the rise, recent trends in real estate have revealed that the demand for these office spaces is on the rise. The brokers and builders are of the opinion that the tenants are hurriedly signing up for office spaces, even before the property hits the market. The demand for commercial property in India is on rise. Particularly, the big cities have witnessed an increment in this demand. New companies are coming up in the metropolitans. The MNCs are rapidly expanding to these cities. Blue-chip companies are coming up in the key cities of the country in quick time. This is one of the reasons for the high demand for commercial properties in these regions. The property owners either rent off these properties for good returns, or sell them off. People interested in striking good deals are investing in commercial real estate in the top cities in India.

According to a statistic, Bangalore is likely to get a8 million sq. ft. of commercial property space this year. 50% of this property has already been leased out. Other cities, like Hyderabad and Pune, have also witnessed a surge in the demand for commercial property. The demand for commercial real estate in these cities has increased by 20% in recent times.

In 2017, commercial spaces of area around 42 million sq. ft. had been absorbed. Among these, 29 million sq. ft area came from fresh supplies. The dearth of ready-to-move commercial spaces led to an increment in the prices of these properties. According to the experts, this trend is likely to continue in the coming months.

 The pharmaceutical companies, banks and technology-based firms are among the leading buyers of commercial spaces in the key cities in India. When these firms pre-commit for these spaces, they can negotiate with the rental terms. Besides, they can also reserve the spaces for future expansion of their firms. The overall rental and property costs are decreased to a certain extent in the process.

 Experts also reveal that the real estate market in Pune and Mumbai are likely to witness 50-%-60% fresh supplies in the next one and a half years. A total floor area of 6 million Sq. Ft. is likely to be developed in these cities.

 The demand for commercial real estate property in the micro markets is limited. In these areas, the rate of pre-commitments has increased manifold in recent years. The customers are interested in booking these spaces, as the demand for property in these areas is high. They can get these spaces at lower rates, when they book them early. Besides, the new supplies may not be able to match the demands in the area. Therefore, if you are interested in purchasing commercial spaces in the top cities of the country, you should make your investment now. The demand for these properties is high, and the prices are likely to escalate in the coming months. You can book your space now and make the best use of your available resources.