The real estate industry is steadily evolving in India and there are several trends that will gain momentum over the next 2-3 years according to experts. Here are some of them-
- Commercial/Office Sector- Companies are steadily embracing new technologies such as data science, AI, big data and so on. As a result, back-end and other regular company processes are now being automated. Analytics is now playing a huge role in boosting commercial operations. Short-term employee movement will be seen over the next few years although some new jobs will also be created. Commercial space occupiers will desire shifting to a model that focuses on retention of talent as opposed to efficient space usage and cost reduction. This will lead to companies choosing prime workplace areas and they will be taking realty decisions while taking into account long and short term requirements.
- Residential/Housing Sector- RERA and GST have not just ushered in transparency into the sector and made developers accountable, they have improved buyer sentiments. The housing segment will now be dominated by end users and the demand for ready to move properties will continue in the short term. Developers will attempt to clear out inventory and affordable housing will be the biggest growth driver for the sector. More incentives are expected to boost the affordable housing space including greater land availability, incentives for developers and relaxation in development regulations along with swifter policies. Technology will be used more to lower costs of construction and the market will only see more credible and organized players operating after the impact of RERA. Several joint venture projects and consolidation in the sector are also forecasted by experts.
- Retail Sector- The major cities like Mumbai and Delhi-NCR have always been major retail hubs but other cities like Pune, Bangalore, Chennai and Hyderabad are expected to witness retail growth over the next few years. There should be more retail development in the South as per experts.
- Warehousing- Warehousing will be a major segment for global real estate with several players entering this sector across multiple segments. GST will lead to a market which is more consolidated and efficiency will be the guiding principle for setting up warehousing spaces. Institutional funding should be flowing into this sector along with multiple capital sources from credible national level players.
