IncubexNestaVera to invest Rs 100 crore by 2020 for expansion
Flexible office operator, IncubexNestavera plans to invest Rs 100 crore over the next two years to expand its operations and launch new products. The company plans to touch 1 million sq ft of co-working space over the next 18 months.
The firm will use the money to expand its presence in Bengaluru and enter newer cities such as Hyderabad, Pune and Mumbai. “We have grown significantly in a short span and very excited about the new expansion roadmap lined up ahead of us,” said Priyatosh Ranjan, founder and CEO, IncubexNestaVera.
IncubexNestaVera currently manages 10 office spaces located at prime locations, spread over a total of 3 lakh sq ft in Bengaluru. Presently, the company has around 5,500 seats across multiple locations in Bengaluru. “We are already EBITDA positive and generating positive returns and is targeting Rs 100 crore topline in FY 2019-20,” said Ranjan
The growing demand from large enterprises has made global and domestic flexible office operators like Wework, Cowrks and Awfis to aggressively add new locations to their portfolios.
“Co-working spaces are experiencing a high growth trajectory in India. Flexible workspaces contribute close to 13% of the office leasing in Q3 CY 18. This was around 5% last year. The model has proved for itself as the demand is from multiple end users which include multinational companies to one seater start-up,” said Manas Mehrotra, Chairman, IncubexNestaVera.
According to the latest report by CBRE, Asia Pacific region is forecast to continue to grow rapidly over the next five years, with India emerging as one of the world’s largest coworking markets by 2020. Agile space operators have grown rapidly in recent years, reaching a total footprint of nearly 40 million sq ft as of the first half of 2018 in 16 major Asia Pacific cities including Delhi NCR, Mumbai and Bengaluru.