Monday 2 October 2017

The Future of REIT’s in India and its impact the commercial real estate market

Currently, there is about 160 msf of Grade A office space that is scheduled to be ready between 2016 and 2019 in the top 8 cities i.e. Mumbai, Delhi-NCR, Pune, Bangalore, Hyderabad, Kolkata, Chennai, Ahmedabad. These cities already account for about 415 msf of Grade A operational office spaces as of December 2015. This completed inventory gives REITs an opportunity to generate an estimated rental income of USD 5.4 billion, added to which the upcoming Grade A supply between 2016-2019 gives a potential incremental rental income of USD 2.5 billion by 2019.


The commercial real estate market in Noida has shown an upsurge in last few quarters. Moreover, the state government is going to develop a mobile & technology manufacturing hub around Noida and Greater Noida. Area wise, WTC Noida is WTCA's largest operating WTC, second to Beijing, China. The project is being developed by Viridian RED. These developments have encouraged many MNCs to shift their base to Noida. One such shift happened last year when Vivo Mobile, a mobile handset manufacturer shifted their operations to WTC Noida.

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Viridian Red

Viridian RED is highly awarded and recognized for its development of mainstream global landmarks and related ecosystems that deliver growth...