GUJARAT REALTY POISED FOR PROGRESS

BY Realty+

The real estate leaders of the state deliberated on the emerging trends and the foreseeable challenges in the real estate of Gujarat and were unanimous that while real estate market is booming, certain government policy changes could give further impetus to the sector and the customer confidence.

Ravin Bhojani, Senior Director- Advisory & Transaction Services, CBRE remarked, “There has been a major shift in real estate demand in Gujarat from residential to new asset classes. While, homebuyers are choosing premium residence, there is a growing demand for Grade A commercial spaces and industrial parks. Our research reports indicate an upward curve in the housing sale projections driven by overall development in the state. More than 70,000 units were sold in the first quarter of 2022 and sales continue to increase.”

Adding further Kamal Singal, Managing Director & CEO, Arvind Smartspaces expressed, “A great momentum in the residential sector in cities like Ahmedabad, Bengaluru and Pune has been observed. Luxury segment especially is doing phenomenally well. The shifting of businesses from other states to Gujarat sector also augurs well in terms of job creation and boosting real estate demand. Builders must strategize well to keep this momentum up by using digital means for enhanced customer experience and simplifying the process of buying and selling. Given the changing times and consumer requirements, we need to strengthen our research to deliver products as per market demand.”

Abhishek Bhutani, MD Ahmedabad & Industrial, Cushman & Wakefield added, “Warehouse leasing has significantly picked up momentum in Gujarat. The industrial real estate demand too has seen a bounce back with Gujarat becoming a preferred market for manufacturing occupiers with leasing spread across all submarkets evenly. With upgraded lifestyles and shifts in buying patterns, homegrown capital investments are sketching a favorable ecosystem. Capital investment are on an upward trend. The next stage is all about newer developments in the commercial, residential and other realty asset classes.”

Paras Pandit, Chairman Managing Director, Sheetal Infrastructure said, “Demand across the three housing segments of affordable, mid-income and luxury in the state have seen a radical leap in the figures post pandemic. Higher investment trend in the luxury homes category is setting a new record for Gujarat realty. In addition, with infrastructure connectivity increasing, more micro markets are seeing real estate growth and demand.”

Pavan Bakeri, Managing Director, Bakeri Group expressed his views, “Given the economic growth and presence of employment generating sectors, people from other states have been migrating to cities of Gujarat. This has resulted in an upward graph in terms of real estate investments. In the residential segment, the impact of increasing interest rates has not been much of a deterrent and sales have been consistent. What has emerged as the new demand from buyers is the eco-friendly buildings across residential and commercial segment.”

Yash Shah, Founder & CEO, The Address elaborating on the commercial real estate mentioned, “There are enough opportunities for real estate players to co-exist and grow in a city like Ahmedabad that is fueling the development of Gujarat. Retail and office space occupiers are looking for flexible options and investors are thinking of good ROI on their investments, both of which are now available in Ahmedabad. The future of data centers in Gujarat too appears promising.”

According to Viral J. Shah, Secretary – CREDAI Ahmedabad GIHED, “With hardly any new launches during the lockdown, the stock of older commercial properties is getting allocated in a standardized fashion. The rising construction cost is likely to push up the real estate prices at least by three to five percent. But, looking at the significantly large investment figures in Gujarat in the recent past, I believe that this region is poised to grow at ten percent for the next three years. Wise and timely expansion plans in a city like Ahmedabad will especially drive the commercial sector in the state.”

ACCORDING TO THE ESTIMATES BY GIHED-CREDAI, AT LEAST 50 NEW COMMERCIAL PROJECTS ARE BEING LAUNCHED IN AHMEDABAD, THIS IS EXPECTED TO ADD AT LEAST 80 LAKH SQUARE FEET OF COMMERCIAL SPACE IN THE CITY, WITH INVESTMENTS TO THE TUNE OF RS. 5,000 CRORE. 

THE COMING YEARS ARE EXPECTED TO SEE MORE GROWTH COURTESY, STATE’S FOCUS ON INFRASTRUCTURE DEVELOPMENT AND NEW HOUSING SUPPLY BY CITY-BASED DEVELOPERS PLANNED IN BOTH AFFORDABLE AND LUXURY CATEGORIES.

Tags : Real Estate Leaders Trends Challenges Ravin Bhojani Senior Director- Advisory & Transaction Services CBRE Kamal Singal Managing Director & CEO Arvind Smartspaces Abhishek Bhutani MD Ahmedabad & Industrial Cushman & Wakefield Paras Pandit Chairman Managing Director Sheetal Infrastructure Pavan Bakeri Managing Director Bakeri Group Yash Shah Founder & CEO The Address Viral J. Shah Secretary – CREDAI Ahmedabad GIHED Ahmedabad