Q: Hey I've heard recently that many people are interssted in setting up offices in Hyderabad now. What exactly is causing this demand for office space all of a sudden in Hyd?
Hey in Jubilee Hills, retail property values range between Rs 90,000 to 2 lakh per sq ft. In CBDs, it costs about 3,500- Rs 10,000 per sq ft. Rental values range between Rs 30,000 60,000 per month, which is much greater than other commercial localities.
There is going to be a 50% increase in the value of commercial oproperty in hyd, this very year. Main reason is that there are many IT SEZs coming up, about 40 of them.
Many posh localities are there in Hyderabad like Banjara Hill, Begumpet, Tarnaka and Jubilee Hills that have a big supply of commercial properties. Capital prices usually range between Rs 80,000-2 lakh per sq ft.
I think the good infrastructure is what is drawing people here. Also Hyderabd has a suitable climate, a number of entertainment centres that attracts a young IT population.
What will occupy most office space is BPOs, call centers, software offices and back offices of financial institutions. The state government is making more space available for this purpose by freeing up more land in the outskirts of the city
Just like this commercial property demand increase, even demand for luxury villas is increasing to a large extent. Investors and developers both, don't want to go in to invest in things like flats because it gives them easy and meagre returns.
A lot of international investors are expected to contribute largely to the commercial real estate market of hyderabad. That's why as of now, many developers are interested in developing office properties all over the city.
the cost of inputs is quite low in hyderabad, especially when it comes to skilled manpower. A lot of people will benefit from these number of job opportunities that this transformation will bring.
Commercial property sector is witnessing a major boom right now in Hyderabad. Mainly it is because of the IT explosion. Hitech city isn't called Cyberabad for no reason..
Hyderabad became a huge city with a number of multinational companies, it hubs and biotech companies. That's why there is suddenly so much demand for property here.