Office Absorption: Noida Ahead of Gurugram
The real estate market of Noida has maintained the top ranking in the 4 following quarters as the best performing micro-market in the Delhi NCR in terms of net office space absorption. According to JLL India, the Delhi NCR have experienced net absorption of 1.07 million sq. ft. (MSF) in the January-March 2021 quarter, up 5% from the last quarter, with Noida accounting for 55% of the net absorption and Gurgaon for 38%. Since April-June 2020, Noida has constantly outperformed Gurgaon.
Commercial developments and office spaces have become increasingly important as the population of Noida's newer neighborhoods have expanded. Following residential acceptance, demand for office space has surged, as office spaces in East Delhi are almost filled and do not fulfil modern aspirations for ultra-tech and posh offices.
Last year, a rising Indian digital payment company took 5.50 lacs sq. ft. at Sector 98, Noida Greater Noida Expressway, Noida to consolidate six offices. Another corporation consolidating in Sector 62 is a South Korean global corporation. They took almost 3 lacs square feet.
The commercial real estate market is at a halt in general, with demand for Grade A office space stable. The office leasing segment of the commercial real estate market's demand indicators has also remained stable. Due to the second wave all over the country, companies have sustained to focus on employee comfort & security; the bigger sense of responsibility has led offices that formerly worked from confined spaces in city centers to look for luxury & spacious offices in the best locations and buildings in NCR.
As a result of its better road and metro connectivity, affordable housing, Grade-A offices, affordable rentals, and upcoming international airport and logistics hub, Noida is appealing to enterprises. Due to COVID, many businesses decided to divide the number of staff in one office among different locations, letting them increase their reach.
Providing more information real estate experts say, "The amount of lease holding in previously-operational properties has mostly followed former trends. Some commercial office occupiers, instead, are reducing their space requirements, generating demand for as much as small workspaces. Because of a steady channel of assets becoming online shortly, the demand-supply disparity could temporarily widen."
The amalgamation of cost arbitrage and lesser pricing for the same services is a captivating combination. Noida is also developing day by day, with distinct business and residential zones presenting people with a sense of arranged development. With Metro corridors, the transportation issue has also been addressed. Builders established commercial hubs with specialized office spaces in answer to demand as the best choice for people who worked from home or in shared working space. Starting from 300 square feet, office space is inexpensive for start-ups and businesspersons on a fixed budget.