By Soniya Gaonkar on Nov 19, 2021 6:41:06 PM
According to reports, Tata Consultancy Services (TCS) recently announced the end of the Work from the Home era for its employees. The company reportedly asked its employees to return to their deputed locations by Monday, November 15. TCS's move to end the WFH era may lead to many other companies replicating the decision and calling back their employees to work from the office. While it is good news for many who've been waiting for offices to open, it also signifies a potential boost to India's commercial real estate space.Pandemic's Impact on Commercial Real-Estate in India
India's commercial real-estate sector wasn't an exception to COVID-19's impact on the business world. India's real-estate business, which was otherwise scaling new heights before the pandemic, plummeted in terms of figures and landed in a situation that perhaps, no one would have imagined a couple of months before the first lockdown. Many companies had to shut down their offices. Many of them had to give up their rented office space and ask people to work from home. As a result, commercial property owners, who otherwise used to earn hefty rents, were left in despair!
As per an industry report, from January to June 2021, office occupancy in six prominent cities across the country stood at around 10.9 million square feet, which indicated an almost 38% decline compared to the corresponding months in 2020.
In H1 2021, among India's prominent cities, Pune recorded a leasing activity of roughly 0.9 million square feet, following Chennai, which stood slightly up at 1.1 million square feet. Bengaluru (4.0 million square feet) and Mumbai (2.0 million square feet) competed a bit better in the league.
To sum up, although IT and the BFSI kept up with their demand for office spaces, the impact was adequately harmful to shatter projections and scare commercial space owners about the future.
The Market is Gradually Blossoming – Right Time to Invest in Commercial Spaces
The first and the second wave wreaked havoc on the business world. However, the world, which learned many things from the previous spells, came up with a vaccine to combat the projected third wave. It ushered in a sense of trust, hope, and security among everyone.
Additionally, increased awareness about the pandemic and adherence to safety measures helped gradually reduce the number of cases. Besides, unlocks in multiple phases helped the world get back on track. As a result, many startups and SMEs resumed offices earlier this year.
The above are healthy signs for the real estate industry. Soon, they can lead to a surge in demand for office spaces, which will help India's commercial real-estate sector blossom as it did before the pandemic. Therefore, the situation indicates that this is the right time to invest. Being an early starter and investing before everyone does can refer to the strategic advantage of being one of the first to offer commercial spaces on rent or lease to prospects.
Kohinoor World Towers (KWT) – The Commercial Property Worth to Invest in Pune
While investing at the right time is necessary, investing in the right place is equally significant from the standpoint of RoI and sustainability. KWT, a massive upcoming business center in PCMC, Pune, is slated to prove itself to be a significant investment hub. It holds promise for everyone who plans to invest in commercial estate after the pandemic.
KWT offers multi-sized office spaces to address the needs of various businesses, such as retail, IT, etc. It will benefit companies from the viewpoint of location (proud address!), business opportunities, accessibility, availability of qualified workforce, infrastructural development, amenities, and many others.
The market is gradually opening, and helping companies revive. On the other hand, with the end of the WFH era, the business world is projected to develop a considerable requirement for commercial spaces soon. Having one, especially in KWT, can help you leverage upcoming potential business opportunities and optimize your returns.
Similarly, as a company looking for a commercial space in Pune and PCMC, tapping opportunities and enjoying commercial and strategic benefits, this is the right time, and KWT is the right place to invest!
For details, connect with KWT at +91 20 6764 1818.