2019 was a turbulent year for the Indian Real Estate industry. Funding was a major issue for many real estate companies. Then there were issues complicated by events like GST and demonetisation, which badly affected the real estate industry.
However, 2019 also saw some bright spots. There was increased focus on transparency and customer-centric approach, on the part of both policy makers and builders. Regulatory framework too underwent significant changes which rekindled customer-sentiments. All of these are expected to put the real estate industry in the cusp of transformation for the better.
TRENDS THAT WILL SHAPE 2020 INDIAN REAL ESTATE
2020 will see some major trends like:
- CO-LIVING SPACES: Millennial have been vocal in their inclination for co-living spaces for the simple reason that they make sharing convenient and more dynamic than rented ones. Already popular in the big cities, they are expected to extend their popularity to Tier-II cities like Indore, Ahmadabad, Jaipur, etc. As per a 2019 report from FICCI & JLL, co-living spaces in India is expected to grow at a CAGR of 17% and touch a whopping Rs 1 trillion by 2023.
- CO-WORKING SPACES: Like co-living spaces, co-working spaces too has seen a spurt in demand, thanks to the growing start-up culture and the rise in gig economy. Further, the growing shift of big corporations towards cost-effective co-working spaces and flexible work-environments, shunning expansive office spaces, is also playing a key role. This concept is expanding to even Tier-II and Tier-III cities. A report by Knight Frank reveals that co-working spaces along with co-living spaces will gain widespread acceptance and give impetus to the organised rental market in cities like NCR, Pune, Bangalore, etc.
- STUDENT HOUSING: Student housing in India has shot-up driven by a host of factors ranging from increasingly rapid migration of Indian youth to the cities, for higher-education and jobs. 2020 is expected to see the Indian Government working on its programme called ‘STUDY IN INDIA’, to attract 30% students in the 18-23 age group and encourage them to seek higher education in India. This will see a spurt in demand for student housing with quality amenities.
- FOREIGN INVESTMENT / REITs: Introduction of Real Estate Investment Trusts (REITs) in India in 2019, is seen as an alternate financing lifeline for many global real estate markets. This is expected to support and shore-up the cash-strapped real estate sector. A market survey report by ANAROCK Data estimates that REITs can attract more than 25 US$ billion in the next 3 years. This is subject to the renting or leasing out of nearly 150 million square feet of commercial space.
- TECHNOLOGICAL INNOVATIONS: Technology’s growing sophistication will play a key role in reshaping the real estate sector in 2020. Smart technologies like AI (Artificial Intelligence), Data gathering, Machine Learning (MI), etc, will all play a prominent role to make real estate sector more sophisticated and responsive to people’s concerns. The quality and timeliness of constructions is also expected to improve by leaps and bounds. Industry experts believe that the Indian smart home market, currently valued at US$ 893 MILLION, will further grow, with more ambitious projects in the works.
Thanks to the growing hazards of climate-change, sustainable and green living will prosper. Green technology and techniques will become the norm and continue to flourish as developers are expected to focus on green technologies, procure raw materials that are eco-friendly, and sustainable environment-friendly construction designs.
Luxury housing will also gain more traction in 2020, with the shift expected to be propelled by demand by new-age buyers with high disposable incomes. New-age buyers will become more specific in wanting luxury homes that promises a holistic living experience.
Among the top Builders and developers in Hyderabad, Fortune Builders & Developers, has all the credentials to meet today’s consumer demands.
Fortune Builders & Developers, with its impeccable track-record and a solid portfolio of landmark residential projects in Hyderabad’s prime locations; plots in Hyderabad; and most importantly, several valued commercial properties in Hyderabad, has built many classic construction landmarks in Banjara Hills, Jubilee Hills, Secunderabad, Marredpally, Whitefield, ECIL, and Kondapur. The company also has a presence in Mumbai and Goa.
Each of them carries the hallmark of Fortune’s unique attributes – creativity, craftsmanship, and comfort value with detailing that guarantees secure living.