Office space consumption rose in Hyderabad in July to December
Office space consumption rose in Hyderabad in July to December (representative image)
Hyderabad: Office space transactions stood at 4 lakh sft during the six months period of July to December (H2) of 2020, according to a study by real estate consultant Knight Frank India.
The office space consumption was 38 lakh sft in the same period a year ago. However, these transactions registered a whopping 640 per cent quarter-on-quarter jump during October-December 2020 period, signalling revival in the commercial real estate sector in the City of Pearls.
On Wednesday, Knight Frank India launched the 14th edition of its flagship half-yearly report - India Real Estate: H2 2020 - which presented a comprehensive analysis of the office and residential market performance across eight major cities for the July-December 2020 (H2 2020) period.
In Hyderabad, BFSI sector office space absorption recorded a 248 per cent YoY growth in H2 2020, which is yet another sign of optimism on the Hyderabad's realty.
Samson Arthur, Branch Director-Hyderabad, Knight Frank India, said, "Hyderabad office market saw a significant revival in Q42020 (October-December). Despite pandemic impact, rentals remained resilient and office demand is now seeing a recalibration of size and design. With news of vaccine coming in, global companies have commenced execution of their lease plans. Managed-office operators are bridging the gap between developers and occupiers by offering bundled services which is likely to stimulate the office story further".
He further added that the office segment got a booster with Goldman Sachs announcing its Hyderabad entry during Covid. "With the presence of Amazon's Data Centre, inquiries in this segment also have increased. Going forward, new sectors such as the automotive and electric vehicles segments show great promise. Ease of doing business in Hyderabad enabled by progressive governance added to availability of land and presence of institutional developers is encouraging existing enterprises to grow". It is also the reason why city is attracting new investments, he said. Residential sales grow 127 per cent in Q42020 compared to Q32020, he added.