Following immense support from the authorities and the Government, the real estate market is coming out of the challenging COVID time. Though everyone is focused on the residential sector, the importance of the commercial sector in the recovery economy is overlooked. According to reports, Gurugram will provide over half of the commercial supply in the Delhi NCR.
The city’s appeal among the corporate and enterprises is the ease of connectivity to other states, especially through the international airport in Delhi. As a result, there is a significant demand for places near vital Delhi locations, particularly Indira Gandhi International Airport (IGIA). In fact, because it is only a few minutes away from the Delhi border, the commercial projects on Sector 114 and part of Sector 115 on the Dwarka highway are gaining much traction.
The area that is prospering due to increased residential property in Gurugram is 32nd Avenue. The commercial complex has come out as the “it” spot, and virtual heaven for foodies. The immaculately designed place attracts people as the avenue is lined with trees, lights, and a larger-than-life grandeur. The potential of return on investment is immense; after the popularity of the old 32nd milestone, this avenue is gaining popularity among the people passing through the city or the residents living in Gurugram. Spread over 174,000 sq.ft of commissariat high street, it is located in sector 15, NH-8, Gurugram. The property which blends culture with the environment is close to the star mall and at a walking distance from the nearest metro station. The 32nd Avenue provides a blend of high street shopping and food court where investment starts from 55 Lakh.
Gurugram, a notable commercial office market in Delhi-NCR and India, has seen substantial demand from IT-BPM, manufacturing, and engineering firms. The city makes its presence felt in the commercial office market, with roughly 70 million square feet of top-quality stock in the city’s CBD and surrounding areas. Gurugram’s CBD sectors fetch monthly rates of INR 118-125 per square foot, which is cheaper than many other cities’ CBDs. However, in other parts of Gurugram, an office building can be leased for INR 60-70 per square foot per month. Global corporations are flocking back to India due to the improving business environment and increased ease of doing business, and the future sure seems bright.
The growth of e-commerce has resulted in a tremendous surge in warehousing activities in India. Electronics and white goods, in addition to e-commerce, are two large sectors that demand a lot of storage space in both tier 1 and 2 cities. And, for the past two decades, Delhi-NCR has been a key center for warehousing operations. Previously, storage activities in the NCR were primarily concentrated in Delhi’s outskirts, such as GT Road, Kapashera, Dhulsiras, Okhla, and Bamnoli. However, as land prices soared, many people moved outside of Delhi, mainly to Kherki Daula and Manesar on NH 8.
The increased residential and commercial activity along the NH 8 has steadily pushed warehousing activities to the internal districts, which are well accessible but off the main national route. In the recent ten years, key places such as Gurugram-Pataudi Road, Jamalpur-Panchgaon road, Barota, and Bilaspur-Tauru road have experienced a significant increase in warehouse activity. Similarly, major warehousing development has been noticed in Dharuhera on NH 8 and Palwal on NH 2.
With the Dwarka expressway problems being fixed, demand is surging even higher. Developers have invested over Rs 60,000 crore in residential and commercial complexes along the 150-meter-wide expressway, which is excellent news for the neighbourhood. There are around 1.5 lakh, home buyers, resulting in a rise in the demand for commercial space along the expressway. Another hotspot for realty development is the intersection of the Southern Peripheral Road (SPR) and the Northern Peripheral Road (NPR) at NH-8.
Gurugram has also been doing well in the leasing market, contributing roughly 45 percent of gross absorption, and Golf Course Extension Road has been one of the most active micro-markets in the region. The Golf Course Extension Road micro-market accounted for around a fifth of the leasing by technology occupiers. Commercial real estate is proving to be a far more appealing investment option for both individual and institutional investors following the recovery from COVID shocks. The demand has skyrocketed, and the upward trend could lead to better days ahead.
Source : Business News This Week