Delhi-NCR Emerging as the Most Favourable Commercial Real Estate Destination
Real estate has been witnessing vigorous growth in the country, and Delhi-NCR is one of the most popular hotspots. The region is excelling in delivering both quality and quantity of projects across both residential and commercial segments. The availability of renowned developers, vast connectivity through multiple modes, including the network of roads, expressways, highways, railways, international airports, etc., and the development of commercial hubs have made the region much more desirable. The availability of growth opportunities has attracted a large group of commercial real estate investors to the region.
Mr. Ajendra Singh, VP, Sales & Marketing, Spectrum Metro, said, “Real estate sector has acquired momentum in the last two years, and there has been a gradual increase in the leasing of retail space ever since. Post COVID, retail spaces have made an incredible comeback in the investment sector. The sector has maintained an upward trend, which is expected to continue. The development of malls as centres of culture, entertainment and art have witnessed a massive response from customers. Visitors view shopping centres and commercial locations for entertainment, retail therapy and a holistic buying experience with both local and global brands.”
The annual retail leasing of Delhi-NCR has jumped by up to 21%, showing the keen interest of buyers in investing in commercial projects, both office spaces and retail stores. The improved quality and variety of commercial real estate projects result from the periodic increases in retail space leasing. India's growing need for retail and commercial space has increased the number of structures built to accommodate both workplace and retail occupants.
“There has been a rapid increase in demand for commercial and retail projects as the population in urban cities and towns rise. In order to reach the untapped demographics and convert them into lifelong customers, national and foreign brands are joining hands with recently launched commercial projects. Delhi-NCR has become the top destination for such investments with the availability of uniquely designed projects catering to the diverse needs of buyers,” said Mr. Sanchit Bhutani, Managing Director, Bhutani Grandthum.
After the pandemic changed the way that businesses and workers interacted, Tier II towns experienced an unprecedented acceleration of development. On-the-ground reports indicate sustained investments in infrastructure and expanded employment possibilities. The growth of metro and suburban transit brings sophisticated and promising answers to long-standing connectivity problems. The desire for commercial properties has increased due to the expanding number of businesses in Delhi-NCR. Investors now have a fantastic chance to engage in commercial real estate and profit from the rising demand.
Mr. Salil Kumar, Director – Marketing & Business Management, CRC Group, said, “As the buyers’ economic stability strengthens, the demand for commercial and retail real estate in Delhi-NCR has drastically increased. National and global brands have also become an integral part of commercial spaces to provide a holistic experience to customers and bind them as lifelong consumers of a project. The availability of unique retail and office spaces has increased recently. This has also aided and added to the steady peak in the leasing of retail spaces.”
Governments at the federal and state levels have expressed interest in accelerating larger, more expensive initiatives like international airports. A good place to start is with Gautam Budh Nagar's grandiose new Jewar International Airport. The RRTS, Jewar Airport, the continually growing Metro network, bettering roads, better policing, proactive policies, and the construction of sizable data centres are a few of these. Several towns are simultaneously working to increase their office leasing options and entice renowned IT and retail companies to locate there.
“The strong market demand for commercial spaces can be seen by the simple fact that rental store uptake has increased for good reasons despite an increase in rental costs. People have begun flocking to malls and other commercial locations to shop, purchase new items and services, dine, engage in activities, and refresh themselves as pandemic fears have completely faded. An example of this fact is the increase in the number of commercial projects, especially in Delhi-NCR, and their never-ending footfall. Appealing additions to malls and commercial projects, new brand store openings, also help to boost traffic and foster a higher degree of engagement in the mall,” said Mr. Vikas Bhasin, Managing Director, SAYA Group.
Start-ups and multinational corporations (MNCs) looking to set up their offices and data centres in NCR are driving the strong development of commercial real estate. Leasing activity is increasing in the business real estate market due to the positive trend. This industry is expected to experience a significant appreciation, greater than the total appreciation over the previous three years. The demand for commercial office space in Noida will likely remain high thanks to start-up businesses and sectors like IT, ITES, and the financial services industry.
