Bengaluru: The Most Preferred Destination for Real Estate Investors in 2016
Bengaluru, India, February 23, 2016 (Newswire.com) - According to a research made by real estate investor in India, the property consultants and Royal Institute of Chartered Surveyors (RICS), Indian realty market is expected to see a great revival in 2016. The report says that, more than 70% of the investors are anticipating great sales in the next 12 months. It has to be noted that, Bengaluru has beaten Delhi National Capital Region to become the second most preferred choice of investors, after Mumbai.
The experts say that the demand is mainly because of the incredible growth of commercial real estate segment, which is mainly being driven by private equity (PE) players. According to Juggy Marwaha, the managing director of real estate investor in India South, the private equity investors are very much attracted to Bengaluru as it is a corporatized market with some good quality tenancies. The IT companies are paying decent rents and they occupy the space for good lease terms. Also, it’s a stabilized market where the demand and supply have been kept neck-to-neck.
Bengaluru offers opportunities for Retail Investors too
Yes, it’s not just the place for IT organizations; Bengaluru offers great opportunities for retail investors as well. The retail investors can find affordable commercial spaces in North Bengaluru, which can turn out to be a very good investment, as the area is currently in high demand from start-ups and ecommerce businesses.
Satish B.N, the Executive Director at Knight Frank India, says that North Bengaluru (Hebbal and Thanisandra) has better prospects when compared to East Bengaluru (Brookfield and Whitefield), owing to better infrastructure and metro connectivity.
Higher Price Appreciation in Mid-Range Segment
Juggy Marwaha says that, with the new set of people joining the IT brigade of Bengaluru, the mid-range segment seems to be doing great when compared to the other projects, so the investors can also think of renting out the properties after the purchase. He also says that, demand and availability of customers has been the main reason for the price appreciation.
Yelahanka and Thanisandra are the two main areas in North Bengaluru which are expected to have greater price escalations. Thanisandra is expected to have an escalation of 35% whereas Yelahanka is expected to have about 30%. Hoskote, Nagwara and Kanakpura are a few other areas in North which are good to invest.
This clearly shows that, Bengaluru has been the preferred choice for the real estate investors for the past several years and it seems to continue in 2016 as well.
