According to data from a recently published report, Bengaluru saw a 1,005% increase in its total urban built-up area between 1973 and 2017, emerging as home to over 15% of the population living in Karnataka. From making software exports worth Rs 16 crore in 1991, the city contributed such exports worth Rs 6.3 lakh crore in 2022, as per the report, titled Liveability Index.
The report, released by a leadership network known as ‘CiRE’ (Corporates in Real Estate), notes that the city is a major hub for employment in the country and a centre of focus for realest ate development. The report found that the city accounted for 20% of India’s tally of commercial leases last year.
Corporate real estate In 2022, Bengaluru absorbed 12.5 million sqft of office space, with 12-14 million sqft expected to be added to the current inventory of 8-7 million sqft by the end of this year. The previous year also witnessed an addition of 8.5
Around 1.3 million sqft of space was added to the city’s retail market in 2022 and 65-70% of these spaces were occupied at the time of completion, indicating good demand for quality retail space, the report interpreted.
The report’s findings state that while the rents of corporate and retail spaces have remained steady during the past 2-3 years, from the prepandemic year of 2019 till late 2021, corporate rentals saw an upward rise in value in 2022 owing to a “sustained and positive” investment outlook.
The report suggests that their network anticipates further rental appreciation due to “sustained pre-leasing activities”. It concludes that Bengaluru is expected to remain the top performing market in India because of its investment ecosystem and infrastructure projects such as Satellite Tow n Ring Road, Peripheral Ring Road, Bengaluru suburban rail project and others that are in transit. Retail rentals have remained mostly unchanged except in a few main roads.
