India’s property development market is in a present state of latent puberty. Around 16% of property development projects and 31% of built-up spaces have been embroiled in legal disputes. These numbers were based on the findings of the Maharashtra Real Estate Regulatory Authority. This is understandably troubling for people who invested in flat houses and other building projects. However, the future of the property market in India is not as bleak as previously believed.
Affordable Housing Direction –
Over 100 realtors have taken the task of building affordable housing projects to meet surging demand. One of them, Surat Municipal Corporation, will be having at least two affordable housing projects in the next 30 months. This follows the announcement of government subsidy for realtors that focus on affordable housing projects, and is welcome news for property investors looking to buy, and for homeowners aiming to make a profit. The affordable housing directive will also help the property buyers who invested in property developers that filed for bankruptcy.
Attention Toward Co-Working Spaces –
Workspace has always been at a premium for highly congested areas like Mumbai and Jaipur. To address this, there is now a planned uptick in co-working spaces aimed toward entrepreneurs and young professionals. 37% of commercial property projects in Bengaluru are focused on creating co-working spaces, according to the market report of Cushman & Wakefield. This trend will be helpful for small businesses and entrepreneurs who are looking for flexible and affordable spaces. Co-working spaces stimulate further growth with the freelance community. It is a community that is steadily blooming with the millennial set of workers in India who will be property buyers in the future.
Warehousing Expansion For Businesses –
The warehouse property industry is also experiencing a positive trend. Hiranandani Communities, a Mumbai-based luxury property developer, is planning on developing new industrial-scale warehouses over the next three years. This is according to its owner Niranjan Hiranandani. Their goal is to provide spaces for businesses in cold storage industries. It also targets companies with large-scale employee bases. This is to help provide safer and more accessible industrial spaces for them — something that India’s worker industry sorely needs.
The realm of property development will always have a sort of ebb and sway when it comes to growth. While a decline has been experienced, there is no denying that India is now poised towards a strong upward turn in the housing market. Investors and property buyers alike should continue to watch the industry closely. That way, they can see what comes of this new and positive direction.