Over-supply has been oft-repeated blame game for slow property absorption across the country. However, in most of the cases this over-supply is a misunderstood term. In a country where the housing shortage is huge, any mention of over-supply is misleading in the first place. In most of the property markets, it is the demand & supply mismatch which is termed as over-supply.
This policy ‘trishul’ brought about a paradigm shift in the way Indian real estate does business and laid the groundwork for improved transparency and efficiency in the sector. However, while end-user and investor confidence were rekindled for real estate, it did not exactly set the industry on fire with renewed interest.
Affordable housing was given the much-coveted infrastructure status, and the very definition of affordable housing has been tweaked to accommodate more inventory under this key category. Moreover, the previously highly speculative markets of NCR and MMR have been tamed and are, in fact, leading the thrust of affordable housing today.
Currently, there is 4.0 million sq ft of operational Grade A office stock and an additional 5.7 million sq ft of new supply scheduled through 2021. As per Colliers Research, occupiers are considering North Bengaluru for expansion and consolidation as infrastructure improves in the area and supply becomes available.
Construction consultancy firm, Linesight has opened offices in Mumbai. Linesight intends to focus on Mumbai, Pune, Bangalore and the Hyderabad metro cities of India as part of its expansion plans in the region.
While crossing through the MG Road of Bengaluru, I accidentally came across a project by Bhadra Landmark called Bhadra Legacy. MG Road, as we all know, is the Pin Code Number 1 of the city. It is the heart of the city and the first choice of the business travellers, celebrities of the city, NRIs & HNIs and the skylines of the place is dotted with the top-end hotels. The strategic importance of the place can’t be debated.
Gross leasing activity is recorded at 50 million square feet in 2018, highest in last eight years driven by buoyant leasing in Bengaluru and NCR. Compared to the previous year, gross leasing increased by 17% as occupiers continued to expand and consolidate. The top 3 sectors contributing to gross leasing were IT-ITeS with 43%, flexible workplaces with 14% and BFSI with 12% share.
As per the statistics, the Exhibition had 20 000+ visitors 8,000+ VIPs and 200 foreign exhibitors; altogether about 150 orders of intention were signed; the transaction amounts reached up to USD 1.2 billion. Ninety percent of the exhibitors were satisfied with the Exhibition, which was also highly praised by relevant government departments and industry.
The Shapoorji Pallonji Group has announced its entry into National Capital Region (NCR) with the launch of its first residential project under the aspirational housing brand ‘Joyville’ in Gurugram (Sector 102). This is the fourth project under Joyville brand following Kolkata, Virar and Pune, respectively.
With high expectations from 2018, it was anticipated that the teething problems around policy initiative introduced in 2017 (RERA and GST) would ease out by the end of the year, bringing a new order of transparency and efficiency.