Commercial Office space leasing is believed to grow by 30–35 per cent in the year 2022, based on the demands seen over the last few months.
Despite the arrival of the Omicron variant disturbing the revived real estate market, property developers believe commercial leasing is on track to reach pre-pandemic highs by 2023.
“Overall, we estimate net absorption to rebound strongly, recording a 30–35 per cent growth to reach 29–31 million square feet (MSF) levels by the end of 2022, in line with the decadal average. Overall, the office story is looking very promising in the year ahead.” said Badal Yagnik, managing director, tenant representation, Cushman & Wakefield
Now, when companies are gradually moving towards the pre-pandemic normal, bringing employees back to offices, they is still working along with the “work from home” model. Fresh demand across the top eight cities are expected to reach 45–46 MSF in 2022, almost 13–15 per cent growth on an annual basis, which would also be 30 per cent higher than the previous year on average. Also read – Noida A Growing Commercial Hub In NCR.
Cities like Bengaluru, Mumbai, Delhi-NCR, and Hyderabad will continue to be the most sought after real estate properties the in 2022. “We expect markets such as Noida and Navi Mumbai to perform well, with growing interest from tech companies to set up larger centres. Pune and Chennai are also expected to bounce back strongly with growing occupier interest,” said Badal Yagnik
In addition to everything, demand at present in the top eight cities has crossed 35 MSF, surpassing the pre-covid years.
“Demand from other sectors such as BFSI and consulting is also likely to show some improvement even as other sectors such as ecommerce, manufacturing, and healthcare gain more strength. Rents are likely to remain stable with an upward bias, particularly in prime office markets driven by mark-to-market renewals and new deals in premium quality projects,” said JLL. Also read – 5 Ways to Invest in Indian Real Estate for Big Returns.
Many major IT companies have settled and are operating from outside India and are expanding their employee base to new heights. For the year 2019, the IT sector saw a quarterly average of 7 MSF, in terms of office consumption compared to 15 MSF across all sectors.
Going by the words of international property consultant Knight Frank, the pandemic and subsequent lockdowns have forced commercial office spaces to become future ready. For example, Wave O ne, office spaces, which were built on the very idea of being future ready and prepared for any epidemics or pandemics.
“The office space consumption by the IT sector fell considerably during the lockdown-impacted Q2 and Q3 of 2020, with total space leased amounting to 2 MSF during this six-month period. However, with a return to normalcy in Q4 2020, the space take-up by this sector rose sharply to 8 MSF. From Q1 to Q3 2021, the IT sector leased a total of 8 MSF,” said Knight Frank. Also read – Best Top Location for Commercial Investment in Noida.
Wave One Office Spaces is located in Sector 18, the upcoming commercial hub of Noida, and is attracting many companies and businesses looking to start their new offices in the area. Also read – How to Choose the best Commercial Property in Noida?
Facilities at Wave One
- Spacious open space
- Soundproofing rooms and conference rooms
- Advanced security features
- 2800+ car parking spots
- Green atmosphere
- Future ready office spaces