Demand for co-working spaces on rise in Hyderabad
The city’s vibrant entrepreneurial sector coupled with highly competitive real estate prices has led to a rise in demand for co-working office spaces, particularly along Hyderabad’s upscale IT corridor. Such is the rush that major players in the market confess, they are aggressively looking at expanding their already large footprint in the city soon – some hoping to add another 50,000 to 1 lakh square feet (sq. ft.) to their kitty.
Predictably, IT and ITeScompanies apart, even financial service providers, design firms, creative agencies, media houses etc are seen lapping up this ‘managed’ office space offer. A key reason: affordability. According to rough estimates, the rate-card of most of these firms range between Rs 10,000 and Rs 15,000 (on an average) per seat per month.
“Often, clients do not have the capital to invest in real estate. They just want to walk into a ready office. That these spaces offer flexibility and do not demand long-term commitment, works well. Also, it’s a very cost-effective model,” said Veera Babu, managing director (Hyderabad), for the real estate services company Cushman & Wakefield. It is the “entrepreneurial spirit” of the city that’s the biggest driving force behind it, Mr Babu adds.