Hyderabad to see an addition of 35-38 mn. sqft business parks, 1.3L residential units
HYDERABAD: In the next two to three years, Hyderabad is poised to witness an addition of about 35-38 million square feet of high-quality business parks, according to a report on Friday. This will be fuelled by a robust business environment in the state, global corporations entering Hyderabad, establishing outsourcing centres, back offices, research and development (R&D) facilities, and regional headquarters.
Also, Hyderabad is expected to experience the launch of more than 1.3 lakh residential units in three years. The expansion of the technology sector and industrialisation in Hyderabad has led to a predominant concentration of residential development in the western part of the city. Now, northern, eastern, and southern parts of Hyderabad's will attract mid-segment home buyers.
The escalating demand for office space has led to a surge in supply, particularly along the city’s IT corridor. Consequently, the city's investment-grade office stock surpassed 100 million sq. ft in 2022 and crossed 119 million sq. ft by the end of the July-September quarter, a significant increase of 63 per cent from 73 million sq. ft stock in 2019.
Hyderabad stood among the top 3 cities dominating office space leasing in the January-September period at 6.6 million . sq. ft., with 35 per cent year on year increase. Key sectors that drove absorption included life sciences, BFSI and technology, said real estate consultancy CBRE in a report titled ‘From now to next: Tracing Hyderabad’s real estate dynamics’.
A gradual return-to-office acceleration is expected to boost leasing momentum in the city, although concerns about global headwinds persist. With infrastructure in place, occupiers would continue to focus on the IT corridor for their office requirements. The need to support hybrid and distributed working would continue to drive demand for flexible spaces.
“Hyderabad's, with a thriving talent pool, positions it as a key investment destination. The evolving real estate landscape, both in the office and residential sectors, calls for strategic planning and agile decision-making,” said Anshuman Magazine, chairman and chief executive officer– India.
