Track2Realty: In recent years, the Asia Pacific retail market has boomed on the back of strong economic growth, rapid urbanization and the emergence of a large and prosperous middle class population, CBRE’s latest report The New Age of the Asia Pacific Retail Market reveals. As a result, Asia Pacific is now experiencing an upsurge of new retail construction to meet demand as international retailers flock to the region.
Track2Realty: Sentiment around Indian real estate among both domestic and international investors has improved in recent times, following the election of a new government and also on account of an upturn in consumer demand, says theEmerging Trends in Real Estate® Asia Pacific 2015 report, published jointly by the Urban Land Institute (ULI) and PricewaterhouseCoopers (PwC).
Track2Realty: Investment-grade office space demand slowed down in the first quarter of 2014, with around 6.3 million sq. ft. of Grade A office space getting absorbed across the leading cities of the country. Transaction activity was dominated by the National Capital Region (NCR), Bangalore and Chennai.
Retail chains across the country are signing up for space in a big way, after a long pause that had followed the economic downturn.
Engineering & manufacturing and BFSI occupiers to cumulatively account for ~40% of demand during 2025-27. Repositioning of GCCs as knowledge & innovation hubs will drive ~40% of annual office space demand. Bengaluru dominates demand across most sectors; Hyderabad, Chennai & Pune to gain ground. BFSI occupiers to prefer premium developments, while engineering & manufacturing occupiers are likely to remain cost conscious while expanding real estate.
India continues to experience positive retail growth, attracting foreign retailers to establish a presence in key locations. Charles Tyrwhitt, a men’s luxury fashion brand from the United Kingdom, opened its first store in Ahmedabad. Additionally, Maison Margiela, a French luxury fashion brand, and Franck Provost, a French beauty and wellness brand, entered the Indian market by opening their first stores in Mumbai and Bengaluru, respectively. Other noteworthy expansions include the opening of stores by international brands, such as the Swiss luxury watch brand Breitling and the American luxury fashion brand Michael Kors in Chennai and Pune, respectively. In addition, the Japanese homeware brand Daiso Japan and the skincare and cosmetics brand ILEM Japan also opened stores in Chennai.
Ram Kirpal is a construction worker in Noida. However, this daily wage earner is not a regular employee or even contractual worker with any real estate company or contractor. He goes back to his native place, Purnea in Bihar, on each harvest season and agriculture continues to be his main occupation. He works on construction sites in Noida only when there is no agricultural work back home. He is part of the bigger problem that the Indian real estate faces – labour shortage! A Track2Realty report.
Should businesses continue to operate out of old jaded buildings at the heart of the city? Is it more convenient for the commercial activities to move to the upscale swanky offices on the periphery locations where the cost of doing business per square feet is much lesser? Is ‘Walk to Work’ only a city center reality across the urban pockets? These are the subjects of serious discussions across the built environment of commercial real estate world over, finds Track2Realty.
Isn’t it ironic that in a housing market like India where the predominant demand is for ready to move houses, this segment too has a record unsold inventory standing. As per the statistics, out of the total 7.85 lakh unsold inventory, nearly 20 per cent are ready to move. Mind you! We are only talking about the top 8 cities of India. A cumulative figure of pan-India unsold ready to move housi9ng inventory would look even more scary.
The cost of doing business per square feet has always been challenging in the top 10 cities of India. The ever increasing migration for jobs in these cities have made the housing affordability even bigger challenge. Critics are not cynical when they question as to what extent and till when these cities will continue to be filled up like a soda bottle. Aren’t our metro cities on the verge of a population blast? Come 2021 and Track2Realty analysis believes the infamous Coronavirus in a strange way has shown the way forward.