Planning to expand your business – the commercial space is looking up. The good news is that the commercial segment in real estate is upbeat and demand for commercial office space on rent or on sale is picking up. The process of stabilization has now begun over the last few weeks. Company which were hesitant earlier and now looking up to expand to viable location. According to a study by a reliable source, absorption between 4-5 million square feet of commercial space was witnessed in the first quarter of 2009, which was higher than fourth quarter of 2008.
Noida, an acronym of New Okhla Industrial Development Authority), is, undoubtedly, one of the most developed commercial hubs of India. In fact, the growing number of offices and mall complexes has given a facelift to residential space in Noida as well. Till some time back, Noida, due to its association with east Delhi was not considered as developed as its counterparts like Gurgaon.
India emerging as the IT capital of the world with Noida as its main operational center has led to the rise in demand for commercial property for rental office space in Noida.
With the coming of newer IT complexes, malls and multiplexes, Noida is witnessing unprecedented growth in the commercial arena. There are many companies which at first used to operate in the metropolitan regions but are now spreading more in the periphery region. Due to its proximity to the National Capital, Noida attracts many corporate to invest in its commercial space.
Presence of a multitude of IT companies in Noida adds to the value of commercial spaces here. Major office spaces in Noida are situated around Sector 18, the most happening location in the city. These commercial spaces on rent are given out to prospective investors and are occupied by several corporate and IT companies.
Demand for commercial property in Noida is skyrocketing and this is however the best time to make handsome investments. Industry connoisseurs see a phenomenal growth in the near future. With better infrastructure and world class facilities, commercial properties in Noida are the most sought-after.
Noida, which is one of the few planned industrial townships in Asia, is known for its commercial buoyancy. Besides the industrial use, there is as much as 20 per cent of the total available space, which is used as commercial, and the development is overwhelming.
The best factor about the commercial office space in Noida is that it is basically spread across various sectors and not clustered in one particular area. Sector 1 to 6, 10, 16, 16A (Film City) 18, 51, 52 and 57 to 62 are the sectors that boast of hip markets, larger-than-life malls and office space while a lot of commercial avenues have also come up in sector 21, 28, 29, and 37.
These sectors enjoy popularity not only because of their commercial buoyancy but also because of their close proximity to the National Capital. In fact, these sectors are also considered as posh areas for living.
According to a report, the resale rate of property in Noida (both offices and retail outlets) ranges from Rs 2,500 to 18,000 Sq. ft and the rental values range from Rs 75 to Rest 300 per Sq ft (rates may vary from sector to sector and according to the market situation).
Gauging the growing demand of the market, several Grade A buildings are being developed such as the Express Tower.
(Sector-16A), Express Tower (in pipeline), and Logix Park which is under construction at Sector 16. A lot of premium developers are coming up with promising residential and commercial property all over Noida.
Premium-quality retail space in Noida basically depends upon Centerstage (Sector-18), Shopprex mall (Sector-61), Centerstage (Sector-18) and Spice in Sector-24. Now, a huge project is being developed as Corundum Building in Sector 62, which can provide accommodation to as many as 300-400 shops.
All the premium commercial complexes in Noida such as Ocean Complex, Ocean Plaza, Ocean Heights, Vishal Chamber, JOP Plaza, Ansal Fortune, and Krishna Apra Plaza etc. are located in Sector18, which is one of the most happening markets of Noida. The first and second floors of these complexes are usually occupied by banks, insurance companies, real estate builders and agents and offices of professionals such as lawyers and chartered accountants. However, prices being location-sensitive vary considerably. A sector that boasts of high-quality commercial space will definitely be high-priced. Similarly, those sectors which don't have much to offer commercially will come under the low price band.
As per a research, the capital rates for Grade A building or premium commercial property in Noida varies from Rs. 8,000 to 17,000 per sq ft. and rental value varies from Rs. 80 to 150 per sq ft (rates may vary as per different sector). Property values for Grade B buildings, like JOP place (Sec-18), Ansal Fortune Arcade, commercial plazas and all local offices, etc vary from 8,000 to 15,000 per sq ft for purchase and 80 to 120 per sq ft for rent.
However, there is significant variation in prices in Noida real estate depending upon the floor, location profile and availability.
In short, it has a lot to offer to its residents (because of the plethora malls this NCR Region offers) and also to those who are looking for buying or leasing commercial property in Noida. Also, because of the improved infrastructure, remarkable connectivity through DND Flyway, and the coming of Metro, Noida has definitely become the most sought-after commercial gateway.
So, invest in a property now in Noida to get the best returns later.