Confusing it may sound, but a project called Delhi One has been launched in Noida by the trend setter of green building concept in India The 3C Company. This mega mixed-use project incorporating residential, commercial, retail and hospitality zones is spread across 12.5 acres at Sector 16-B, Noida.
Real estate markets are inherently vulnerable to prolonged periods where prices deviate from their fundamental value. The features that contribute to this deviation are imperfect information, suboptimal financial markets and supply rigidities. Imperfect information causes buyers to either overestimate or underestimate the fundamental value of real estate assets.
Equity capital inflows touched USD 8.9 billion between January and September, registering a 46% Y-o-Y growth. The strong momentum in deal volume continued, with about 200 deals reported during this period, compared to 151 deals in the same period last year. The average deal size also increased to nearly USD 45 million in the first nine months of 2024 from about USD 36 million in 2023. Mid-sized deals, ranging between USD 10-50 million, represented 56% of the total investment inflows during this period.
RERA is yet again under the scanner after the Supreme Court of India questioned whether it is a rehabilitation center of ex bureaucrats. The functioning and performance of RERA, or rather lack of it, has been challenged at each and every level in now nearly 8 years of its existence. A Track2Realty report. Wait! I am not giving any opinion. My opinion is already there in the public domain. Now the Apex Court in the country, the Supreme Court of India is saying so. I have always maintained that the very purpose of RERA was defeated when the ex-Bureaucrats were made the Chairman and members.
In the post-pandemic era, demand recovery in the office market has been swift, following a steep ‘V-shaped’ recovery trajectory. After subdued demand in 2020 & 2021, leasing activity had fully bounced back by 2022. In fact, since 2022, each year has been witnessing new all-time-high Grade A office space uptake at India level. With strong, consistent demand, average rentals have also surpassed the pre-pandemic levels (2019) across all the six major office markets for the first time in 2024. The rental recovery in the Indian office market, albeit relatively slower than the demand recovery trajectory has finally been fully complete, thus forming an elongated ‘U-shaped’ pattern.
The surge in demand for luxury housing has been primarily attributable to a growing preference among affluent buyers for enhanced amenities and more spacious living areas that complement their multifaceted lifestyles. Moreover, the increasing aspirational class has significantly contributed to the increased demand for luxury properties. Furthermore, the rise in NRI and astute domestic investors in the Indian real estate market has considerably fueled the heightened demand for luxury residences.
During the first nine months of 2024, large deals (>200,000 sq ft) accounted for about 40% of the overall demand. Although a vast majority of these larger deals came from 3PL players, Engineering and FMCG segments also saw considerable large-sized deals. At the city level, industrial and warehousing space uptake in Delhi NCR was also driven by large sized deals, a marked deviation from 2023, wherein leasing activity was dominated by small sized deals. Almost 50% of the deals in the first nine months of 2024 were large sized in Delhi NCR.
‘Evara’ is a plotted development project situated within the 200+ acre integrated Wadhwa Wise City township, nestled in lush tropical green mountains housed amidst nature, but yet within easy access to urban areas like Navi Mumbai and Mumbai. Residents can enjoy a lifestyle hub with vibrant retail plazas, malls, high streets, and a state-of-the-art sports complex. All this in the midst of 53,000 acres of greenery with 70% open spaces and Superior air quality.
Office leasing is likely to record a historic high of ~70 mn. sq. ft in CY 2024 across top 9 cities in India as per current estimates, says ‘CBRE India Office Figures Q3 2024’. The last highest office leasing was recorded in CY 2019 at 66.6 mn. sq. ft. The office demand will be driven by both global and domestic occupiers, who are expected to continue expanding their operations and consolidating their facilities to strengthen their market presence. GCCs are poised to expand significantly in India, accounting for about 35-40% of the total office leasing.
Q3 2024 attracted USD 1.1 Bn inflows, 45% higher over Q3 2023. Office segment drove over half of the investments in Q3 2024, followed by residential with 33% share. Domestic investments accounted for 44% of the total investments during the quarter. Chennai & Mumbai cumulatively attracted 57% of the inflows in Q3 2024. Sustained confidence in Indian economy continued to drive institutional investments into the real estate sector, reaching USD 4.7 billion during the first three quarters of 2024, almost at par with the corresponding period in 2023. Following significant inflows in the first two quarters, Q3 2024 too registered healthy investment inflow of about USD 1.1 billion, reflecting a 45% YoY growth.