office space
Amidst the increasing demand for premium workplaces, real estate companies are developing approximately 250 lakh square feet of workplaces in major cities to cater to the needs of domestic and foreign companies. A senior official of real estate consultant Anarock said this. Anarock entered the office leasing sector in April this year. It expanded its business with housing brokerage, capital market transactions, retail as well as leasing of industrial and warehouse spaces, etc.
The year 2024 was good for the office market
Piyush Jain, managing director of commercial leasing and advisory at real estate consultant Anarock, in an interview with PTI highlighted that the year 2024 is extremely promising for the Indian office market with record gross lease demand and declining vacancy rates. It’s been good. He expressed confidence that the demand will continue to rise next year also. “The office market has shown strong recovery and consolidation after the global pandemic,” said Jain, who has over 20 years of experience in the real estate sector.
Huge demand is coming in these cities
Jain said that Global Competence Centers (GCCs) are being set up in India by multinational corporations. This is creating huge demand for office space in key office markets Bengaluru, Delhi-National Capital Region (NCR), Mumbai, Pune, Hyderabad, Chennai, Ahmedabad and Kolkata. He also pointed to the shortage of supply of ‘Grade A’ office space in Gurugram, Bengaluru and Pune, but said developers are working to overcome the shortage.
India remains the favorite of companies
On the question of continuing demand from GCC, he said, “Absolutely.” Demand from the GCC is expected to remain strong. India’s cost effectiveness, skilled workforce and operational efficiency make it a preferred destination for the GCC in industries such as banking, financial services and insurance (BFSI), healthcare, technology and R&D.” About the challenges facing the office market Jain said the major challenges for the office market include high costs of raw materials and construction delays due to supply chain disruptions.
(With inputs from PTI/Language)
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