Real estate is a significant contributor to the growth of the entire economy and is expected to add approximately 13 per cent of the country’s GDP by 2025. The sector has also been subsidised and contributed by significant government initiatives such as RERA and GST, enabling the investors to pore substantial investments in the commercial property in India that further improves the conditions of the country. Talking about the business environment, the retail real estate sector is considered a prime benefactor.
The real estate market, including retail and hospitality, is also advancing significantly with India’s growing infrastructure needs.
The Indian commercial sector is predicted to be accelerated by large scale investments by prime investors.
The economic growth of the country drives demand for commercial property. All the significant initiatives, urban development policies, and economic growth contribute to the order for the real estate sector.
The rising demand
The demand is constantly changing with the dynamic market for the needs and requirements of the investors. In recent times, the investors have modified their buying and investing behaviours, which substantially has changed the builders focus. More and more businesses are concentrating on offices that cater to the activities and eco-friendly solutions that encourage creativity.
Offices have become more relaxed where employees’ wellbeing and sustainability are the focus. The significant investors are showing interest in business parks, high street, retail, office spaces modernised to reduce stress.
The contemporary office spaces are featured with multifunctional spaces, integrated technology, open spaces and other collaborative environments to make a healthy environment. The commercial sector is picking up the momentum in the metropolitan cities, especially Delhi NCR, driven by the IT/ IteS sectors.
Primary Reasons to Invest in Commercial Property
1) To ensure steady cash flow: Commercial real estate properties help yield more income than stocks and other bonds. Commercial property gives you income stability and enjoys a higher return on investment than other investment options.
2) Excellent appreciation value: Commercial properties are believed to be an excellent appreciation value compared to other types of assets. The proactiveness of Digitalization has made significant improvements and increased the desirability of the investment.
3) A secure Investment option: A property investment is known to have a solid intrinsic value. Investing in the right property at the right location always keeps you safe from cash inflow loss, even during times of no occupancy. Investing in commercial real estate supports the safest and the most secure type of real estate investment.
4) Builds Substantial equity: Equity is the measure of value an investor has built up over a while. The investor can build equity quickly with commercial real estate. It gives steady and relatively high returns. The significant benefit of the commercial property is the appreciation value of the asset.
Undoubtedly, commercial properties have always offered excellent appreciation value compared to other asset types. Proactive management and making cost-effective improvements can improve the desirability of the asset.
Commercial properties have seen the rise in recent years, driven by affordability, price stability, availability of options and other significant benefits.
In 2021, the market is expected to see close to 38 million sq. ft. of new project completions, while net absorption is likely to hover across 25-30 million square feet, surpassing the net absorption levels witnessed during 2020.
The offices resuming over significant markets builds the confidence and commitment of corporates to get back to the office.
Maasters Infra Group also focuses on delivering projects that fulfil the investor’s requirement, catering to all the best services with the latest technologies and thoughtful infrastructure. Their vision is to continue envisioning the design and constructing the most outstanding landmarks and structures to contribute tangibly to regional and national developments. The critical focus of Maasters Infra Group is to protect, preserve, and secure the living environment.