Residential And Office Transaction At A Nine-Year High

In the year 2022 as many as 3,12,666 residential units were sold across top eight markets of India, registering a growth of 34 per cent year on year (YoY), according to Knight Frank India’s latest report. New home launches also witnessed a 41 per cent increase YoY in 2022. Residential sales were led by Mumbai with 85,169 units, followed by the National Capital Region (NCR) with 58,460 units, and Bengaluru with 53,363 units.

The report further stated that the office sector in India recorded gross office leasing of 51.6 mn sq ft, a rise of 36 per cent YoY. New office space completions also grew by 28 per cent YoY to 49.4 mn sq ft. In terms of the office space demand, Bengaluru led with 14.5 mn sq ft, followed by NCR with 8.9 mnsq ft transacted area during the year.

In 2022, top office markets of India registered total gross leasing activities of 51.6 mn sq ft which was higher by 36 per cent YoY over last year. Interestingly, this is historically the second-best year for office transaction volume with the peak achieved in 2019. While the last quarter of the year was marred with some uncertainty owing to global economic disruptions, the stronger domestic economic environment allowed the office market to remain buoyant. Additionally, as more corporations push for return-to-work policy, demand for office has been steadily rising.

Service sectors like e-commerce, education, healthcare, and logistics companies among others accounted for the highest share at 30 per cent, followed by Information Technology (IT) sector at 22 per cent of the total space transacted during H2 2022. Co-working sector also witnessed a considerable growth in share of total transactions from 18 per cent in H2 2021 to 21 per cent in H2 2022.

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