Office Space Leasing In India To Grow By 22% In 2021
What has been the impact of pandemic on Indian commercial Realty?
Arvind Nandan, Managing Director, Research and Consulting, Savills India. “Though 2020 brought a pause to the growth momentum in office absorption, markets have steadily improved in the recent months. The pandemic-induced slowdown has created some clear distinction between cities. The decline was less severe in tech-driven cities, while those markets that are historically more diverse in terms of their demand base, the impact was much sharper. But the important thing is that most markets survived without a crash in prices or unmanageable vacancy levels. This is likely to bode well for investor confidence.”
What is your forecast for CRE going forward?
Anurag Mathur, CEO, Savills India. “We expect the office real estate market to improve in 2021 as it continues to attract interest from occupiers as well as investors, despite the disruption caused in 2020. Boosted by positive government reforms and improvement in economic activity, we are certain that office space absorption will pick up soon. Several corporate occupiers have revived their expansion plans as more and more people start returning to offices and business starts to pick up.”
How do you see the recovery and growth in this segment across cities?
Naveen Nandwani, Managing Director, Commercial Advisory and Transactions, Savills India. “2021 would be an interesting year for the office market. For cities like NCR and Mumbai, we expect it to be a year of recovery and regaining lost ground. Meanwhile, for tech cities like Bengaluru and Hyderabad, it will continue to be a year of expansion and growth.”