The real estate market is facing a lot of ups and downs due to several reasons such as GST, different taxations imposed by the government, deliveries by the developers etc. When it comes to commercial real estate market, the real estate-consulting firms believe that properties in NCR region have great chances to revive by leasing the premises. The residential real estate market has slowed down pretty much in past few years though. It too has chances to grow like commercial real estate, which has responded greatly in recent times and has captured the market firmly.
Leasing the commercial properties in NCR
Commercial properties in NCR have seen some great figures in terms of growth. It is the leasing of properties that have bucked up the trend. The growth of recent years has increased by a great percentage when compared to previous few years. There are several reasons behind this growth. Firstly, the infrastructure is much advanced and modern than previous projects by the developers. Secondly, the rent for leasing the property is very low in and around Noida region when compared to the prices of rental in Gurugram.
Though Noida is preferred over Gurugram by many corporate offices for its cheap lease rates, Gurugram is still known for being a hub of corporate offices. Out of the total area available for office space leasing, Noida occupies only 23% while Gurugram leads by capturing 63% of the total market.
With new projects launched by developers in NCR regions, there has been a sharp increase in rental values. If we talk about Gurugram then MG road and Golf course road is the most preferred location for commercial purpose. The other areas, which are nearly significant, are Sohna road and golf course extension. Though they are less popular but still hold a lot of commercial value in near future.
The current real estate trends in NCR
- The new metro route that connects Noida and Greater Noida have brought new possibilities of commuting. This would improve the rentals and make it convenient for new office setups.
- There has been a huge advancement in leasing the office space the year 2017-2018. If considered for half yearly i.e. six months, the space leased out is much more when compared to records from previous years.
- The lease rates being steady and affordable have decreased the vacancy level to a great extent. The micro markets in Noida and Gurugram are equally doing well.
- Availability of large developer floors at Noida-Greater Noida expressway has attracted many MNC’s such as Dell, TCS, City bank, NEC technologies etc.
- DLF cyber hub in Gurugram and Sector 62 along with Noida-Greater Noida Expressway in Noida will see a significant growth in real estate.
- With increased activities in commercial properties, there are good chances for growth in the residential estate.
Thus, real estate market is moving forward with a slow growth currently. Commercial projects are doing way better when compared to residential projects. Hope both the sectors will get a chance to grow rapidly in the coming years.