Hyderabad declared as India's top commercial real estate destination
Real Estate

Hyderabad declared as India's top commercial real estate destination

Hyderabad exceeded Bengaluru as India’s top commercial real estate (CRE) destination in terms of gross office space demand during the July-September quarter this calendar year, since occupiers focused on large block deals, particularly from the BFSI sector and flexible workplace operators.

As per Colliers, after an average performance in Q2 2021, Hyderabad developed as one of the most resilient cities in terms of demand-supply dynamics.

For the first time, Hyderabad had the highest share in leasing volume at 2.5 million sq ft (MSF), exceeding Bengaluru. But, on a year-to-date (YTD) basis, India’s silicon valley is the market leader.

Overall, the top six cities of India recorded about 10.3 MSF of office gross absorption in Q3 this year, the highest volume registered since Q1 last year. IT-ITeS driven cities of Bengaluru, Hyderabad, and Pune estimated 62% of the gross absorption in Q3 this year.

Managing director for office services (south India), Colliers, Arpit Mehrotra, told the media that the development in Asia is driven by cities as much as nations. Bengaluru and Hyderabad should be the fastest and third fastest-growing cities of Asia, respectively, over 2022-24. While Bengaluru has always been the blue-eyed boy of CRE, Hyderabad has displayed a large amount of potential and improved by leaps and bounds, particularly in the last decade.

A refreshed and planned focus on the city’s infrastructure, talent availability, relatively better prices, proactive state government and favourable state policies have added to Hyderabad’s CRE growth story.

The state plans to create multiple integrated projects across the city to keep enhancing its real estate momentum. In the last few years, technology giants like Apple, Google, Facebook and Amazon have joined this market, leading to tremendous economic development.

In the Hyderabad market, BFSI and flexible workplace sectors took the maximum share in leasing accounting for 66% of the total demand.

The micro-market of Rai Durg witnessed the maximum leasing traction estimating 53% of the overall demand, while Hitec City provided 40%.

Hyderabad was additionally the top market in terms of office space supply during Q3 this year. The quarter observed the highest supply since Q2 2020 at 10.8 MSF in Q3 2021, with Hyderabad and Pune providing the maximum share at 29% and 25%, respectively.

Image Source

Hyderabad exceeded Bengaluru as India’s top commercial real estate (CRE) destination in terms of gross office space demand during the July-September quarter this calendar year, since occupiers focused on large block deals, particularly from the BFSI sector and flexible workplace operators. As per Colliers, after an average performance in Q2 2021, Hyderabad developed as one of the most resilient cities in terms of demand-supply dynamics. For the first time, Hyderabad had the highest share in leasing volume at 2.5 million sq ft (MSF), exceeding Bengaluru. But, on a year-to-date (YTD) basis, India’s silicon valley is the market leader. Overall, the top six cities of India recorded about 10.3 MSF of office gross absorption in Q3 this year, the highest volume registered since Q1 last year. IT-ITeS driven cities of Bengaluru, Hyderabad, and Pune estimated 62% of the gross absorption in Q3 this year. Managing director for office services (south India), Colliers, Arpit Mehrotra, told the media that the development in Asia is driven by cities as much as nations. Bengaluru and Hyderabad should be the fastest and third fastest-growing cities of Asia, respectively, over 2022-24. While Bengaluru has always been the blue-eyed boy of CRE, Hyderabad has displayed a large amount of potential and improved by leaps and bounds, particularly in the last decade. A refreshed and planned focus on the city’s infrastructure, talent availability, relatively better prices, proactive state government and favourable state policies have added to Hyderabad’s CRE growth story. The state plans to create multiple integrated projects across the city to keep enhancing its real estate momentum. In the last few years, technology giants like Apple, Google, Facebook and Amazon have joined this market, leading to tremendous economic development. In the Hyderabad market, BFSI and flexible workplace sectors took the maximum share in leasing accounting for 66% of the total demand. The micro-market of Rai Durg witnessed the maximum leasing traction estimating 53% of the overall demand, while Hitec City provided 40%. Hyderabad was additionally the top market in terms of office space supply during Q3 this year. The quarter observed the highest supply since Q2 2020 at 10.8 MSF in Q3 2021, with Hyderabad and Pune providing the maximum share at 29% and 25%, respectively. Image Source

Next Story
Infrastructure Transport

Railway stations in Prayagraj undergo major passenger facility expansion

The Railway Board Chairman and CEO, Satish Kumar, conducted an extensive inspection on Saturday alongside the General Manager of Northern Railway and the officiating General Manager of North Central Railway. Their visit focused on various ongoing projects at multiple stations across the Northern and North Central Railway zones, with particular attention to enhancing facilities for the upcoming Maha Kumbh. During the inspection, Chairman Kumar reviewed the construction of a vital bridge over the River Ganga, specifically between Jhunsi and Prayagraj Rambagh. This bridge is expected to significa..

Next Story
Infrastructure Transport

Madurai-Thoothukudi broad gauge line works under review

The construction of the Madurai-Thoothukudi broad gauge line, which includes the crucial Melmarudur-Tiruparankundram project, is currently under careful review. This update comes from Southern Railway's assistant public information officer, J Kumarasubramanian, following an RTI inquiry made by a concerned citizen, Dayanand Krishnan. The new broad gauge line is projected to cover a total length of 143.5 km, with the initial 18 km stretch between Milavittan and Melmarudur completed and sanctioned by the Commission of Railway Safety on March 8, 2022. While substantial progress has been made on t..

Next Story
Real Estate

DLF expects Rs 26,000 cr from super luxury project in Gurugram

Realty giant DLF is projecting impressive revenue of Rs 26,000 crore from its newly unveiled super-luxury project, The Dahlias, situated in the heart of Gurugram. Ashok Tyagi, the Managing Director of DLF, shared these insights during a recent conference call with market analysts, highlighting the project's potential amidst rising demand for high-end residential properties. The Dahlias project spans an expansive 17 acres and is set to feature approximately 420 ultra-luxury apartments, each boasting a minimum size of 10,300 square feet. This ambitious development has already garnered significan..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000