Hyderabad
punching high with Residential and Commercial markets: Knight Frank
Hyderabad
records historic volumes of office leasing at 4.3 msf in H2 2018; Supply also
sees a strong trend
·
Nationally
Office space leasing at historically high, records 46.9 msf in 2018
Knight
Frank India today launched the tenth edition of its flagship half-yearly report
- India Real Estate. The report
presents a comprehensive analysis of the residential
(across eight cities) and office (across
seven cities) market performance for
the period July – December 2018 (H2
2017). The report has established 2018 to be historically best performing year for the commercial
office with leasing crossing 46 million square feet (msf). For the residential
market saw some upward movement in sales velocity but stopped short of being a
year of recovery. Total sales of residential units were estimated to be 242,328
units registering a 6% increase over full year 2017.
Hyderabad is a story of growth in both the commercial and
residential markets. In commercial office market, both supply (19%) and leasing
activities (24%) saw heightened activities, in 2018 over 2018. Commercial
office leasing saw record high transactions of over 4 msf in H2 2018. The
residential market complemented to the sweet success of commercial market.
Supply saw a whopping 54% rise y-o-y in full year 2018 while sales rose by 9% y
-o-y in 2018.
Residential market
highlights for Hyderabad:
· The
sales trend for Hyderabad registered positive growth of 15% in H2 2018 over the
same period last year. The total units sold in this period was recorded at
7,278.
· The
full year 2018 recorded total sales of 15,591 units registering an annual rise
of 9% over last year.
· The
market, while operating on a lower base when compared to other markets, has be
registering steady upward movement in sales velocity, especially post the
demerger from erstwhile Andhra Pradesh.
· New
unit launches in H2 2018 were recorded at approximately 1700 units registering
a growth of 81 % y- o- y over same time last year.
· New
launches for the entire year of 2018 also demonstrated strong trend registering
an increase of 54% over last year. Total new launches in 2018 was estimated at
5404 units.
· After much delay, RERA becomes a reality in Telengana
(new launches slowed down due to teething problems after RERA became a reality
in September 2018.)
· West Hyderabad continues to the largest market
accounting to 84% of the new launches in the city.
· 43%
of all launches were in the affordable and mid category with ticket price of
upto INR 5 mn (50 lakhs). But the majority launches were interestingly
concentrated in the price bracket of INR 5 – 7.5 mn (5- 7.5 Lakhs).
Commercial market
highlights Hyderabad:
· H2
2018 recorded an all-time high leasing volume of 4.3 msf.
· The
total transaction recorded for the complete year of 2018 is estimated at over 7
msf denoting a 24% growth
over last year.
· With
this significant rise in leasing activities in 2018, Hyderabad has emphatically
come closer to larger sized markets such as NCR and Mumbai.
· The
leasing activities were driven IT/ITeS that constituted 44% of the total
leasing, however noteworthy growth was recorded in segments of Manufacturing
(26%) and Other services (29%) including Co- Working spaces.
· Total
new supply in H2 2018 was recorded at approximately 2 msf recording a rise of
70% y-o-y.
· The
total new supply in Hyderabad for full year of 2018 was close to 4 msf denoting
a rise of about 19% y-o-y against 2017.
· Average
rentals grew at 14% with PDB and SBD recording identical rise of 16% in rental
values at the end of 2018.
· Vacancy
crept up marginally settling just over 7% mostly on account of large infusion
of supply experienced in the second half of 2018.
Samson Arthur, Branch
Director, Hyderabad, Knight Frank said “Hyderabad is definitely punching above its
weight and regaining its challenger status to other key markets of India. This
is especially true in case of commercial leasing where the volumes are
comparable to those of NCR and Mumbai. The residential market, backed by
heightened sentiments, has been performing well above the national average. In
context to the residential market specifically, Hyderabad’s infrastructure has
been instrumental in augmenting sales as well as prices. ”
About Knight Frank:
Knight
Frank LLP is the leading independent global property consultancy. Headquartered
in London, Knight Frank has more than 18,170 people operating from over 523
offices across 60 markets. These figures include Newmark Grubb Knight Frank in
the Americas, and Douglas Elliman Fine Homes in the USA. The Group advises
clients ranging from individual owners and buyers to major developers,
investors and corporate tenants. For further information about the Company,
please visit www.knightfrank.com.
In
India, Knight Frank is headquartered in Mumbai and has more than 1,000 experts
across Bangalore, Delhi, Pune, Hyderabad, Chennai, Kolkata and Ahmedabad.
Backed by strong research and analytics, our experts offer a comprehensive
range of real estate services across advisory, valuation and consulting,
transactions (residential, commercial, retail, hospitality, land &
capitals), facilities management and project management. For more information,
visit http://www.knightfrank.co.in/
For further information, please contact:
Piyali Dasgupta (Knight Frank India)
+91 9833571204
|
Dheeraj Mishra (Blue Lotus)
+91 98336 43101
|
No comments:
Post a Comment