Hyderabad has the highest leasing rate in the country Today, Hyderabad
City dwellers are not just buying houses, they are recently investing in commercial and office structures. These tend to have a higher rental income compared to house rents. The office market is moving in line with their expectations. Hyderabad has surpassed Bangalore for the first time in office leasing. Mumbai and Delhi are in the next positions. CBRE recently released its 2019 first-quarter report. Industry sources say this positive impact on the housing sector will last for two to three years. Demand for this specialty has grown significantly as a result of recent corporate scandals.
The real estate sector in Hyderabad has been on a growth path for three to four years as compared to other cities. The supply of home and office space is high along with the demand. With the availability of skilled employees, recognition as a livable city along political stability, new companies are being set up here. With this, office leasing is increasing every year.
- Leasing increased from 11 lakh sq ft in the first quarter of 2018 to 35 lakh sq ft by the return of the year.
- If 1.28 crore square feet of office space is leased in 9 cities across the country, a quarter of it will be registered in Hyderabad.
In IT Corridor-2 .. Gatchibauli and Kondapur areas come under IT Corridor-2. Here is a huge SEZ, which outscored the rest of the cities in the first quarter of 2019 with the leasing of two IT companies.
- Real estate consultancy firms consider Rayadurg, Nanakranguda, Manikonda, and Kokapeta areas as the extended IT Corridor-2. Surrounding real estate activity has increased with the medium sez in Kokapeta.
In other cities.
- Growth slowed in many cities. Leasing in Bangalore has dropped from 55 lakh sq ft last year to 25 lakh sq ft this year. The capital area of Delhi has been reduced from 21 lakh sq ft to 16 lakh sq ft. Leasing in Fune fell from 10 lakh to 9 lakh sq ft.
- 15 lakh sq.ft. From 21 lakhs. In Chennai, it has increased from 11 lakh to 15 lakh sq ft.
- Leasing of office space
(In the first quarter of 2019)
City sq. Ft
Hyderabad 35 lakhs
Bangalore 25 lakhs
Mumbai 21 lakhs
Delhi 16 lakhs
Chennai 15 lakhs
Madhapur in IT Corridor-1, along with high-tech, office rents in IT Corridor-2 have also gone up. Rents here range from Rs 65 to Rs 70 per sq ft. Rents have increased somewhat compared to last year. An increase of 2 to 5 percent was recorded.
- Rent of ‘Grade A’ type office space in Central Business District areas like Somajiguda, Begumpet, Panjagutta is up to Rs.50 per sq. ft.
- Non-IT Grade A type office rent in Banjara Hills, Jubilee Hills, Ameerpet, Himayat Nagar is up to Rs. 46 per sq. ft.
- Grade A IT office rent in Uppal, Pocharam, Shamshabad is up to Rs.32 per square foot per month. Half of the IT corridor is available for rent here. The government wants IT companies to set up new companies here. With the arrival of these, the development of the respective areas will be possible.
With American companies.
- Most of the leases are by IT companies. Then there are companies in the engineering and manufacturing sectors. These companies have leased over one lakh square feet. Most of the IT came from American corporate companies.