New Delhi, December 31, 2022: Indian real estate has witnessed a boom in 2022 with a fillip in commercial and residential space construction and absorption. After two years of pandemic-instilled lockdowns and consequent economic slowdown, the year witnessed a fresh infusion of institutional and retail investors into the real estate segment. As demand soared, the year has already seen triple-digit growth in the office and retail segments. With the country emerging as a global manufacturing hub after multinational conglomerates moved out of China, it remains under a positive forecast lens. The ever-rising IT sector and boom in e-commerce led to a paradigm shift in the demand for commercial real estate (CRE) spaces. While the top metros witnessed significant growth in development and consumption, the traction in Tier II cities was also eminent. It is mainly due to the initiatives like Smart Cities Mission and AMRUT (Atal Mission for Rejuvenation and Urban Transformation).
We expect the trend to continue and bolster in 2023, with increased absorption and decreased vacancy rates, strong ROI, more considerable NRI and FDI investment and solidified government initiatives helping infrastructural boost leading to growth in the office space segment. We foresee more traction in Tier-II towns with the rise in employment opportunities and economic activities in these markets. Additionally, with a behavioural shift towards digitization, we will see more people investing in commercial assets through fractional routes. Overall, real estate will remain one of the ideal investment asset classes, and as the pandemic has faded, the commercial market looks to bloom in major cities of the country.
Corporate Comm India (CCI Newswire)