BENGALURU: Peripheral Business District (PBD)-East region in Bengaluru has turned into a hub for office space leasing and residential spaces. According to India Real Estate report released by Knight Frank, a global property consultancy, Whitefield saw about 145 per cent increase in transactional volume with regard to office spaces in the first half of this year as compared to the first six months of 2018.
“There has been a 26per cent hike in office space leasing in Bengaluru. Due to upcoming Metro connectivity, MNCs continue to express interest in Whitefield. As for the residential market, PBD-East saw a 510per cent increase in new launches of properties followed by 217per cent in North Bengaluru,” said Shantanu Mazumder, senior branch director, Bengaluru.
Previously, Whitefield and nearby areas were badly hit due to ongoing Metro work and road widening, However, as it has now progressed, buyers are back, according to the report.
“Co-working spaces take 20per cent of the share and will grow in the coming years. HSR Layout, Electronics City and Bannerghatta areas which fall under PBD- South hold 39 per cent of the co-working spaces in the city,” he added.
Flexible co-working spaces saw 39per cent increase in the first six months of 2019 as compared to the first half of 2018. With residential market, South Bengaluru saw most number of new units launched. The city as a whole registered a 34per cent upsurge in new residential units launched.
“Areas such as Kanakapura Road, Electronics City and Sarjapur saw high sales of residential units. However, the overall residential prices in Bengaluru have remained stagnant with only the north and east
Bengaluru getting costlier,” Mazumder said.
As per the pan-India report, Yelahanka, Hebbal, Thanisandra and Hebbal have become more expensive along with KR Puram, Whitefield and Marathahalli. Despite having the most residential units popping up, there was no significant price rise in the south region.
“One of the reasons prices as a whole have not seen a major increase in residential sector in Bengaluru is the ongoing Non-Banking Financial Company crisis which has impacted home buyers seeking loans. It has also impacted the real estate sector as banks do not lend to construction firms,” Mazumder explained.
Even with residential properties, co-living spaces, senior retirement homes and student housing which fall under the category of shared spaces is becoming more popular.
“Ban on construction not the solution to water crisis, rainwater harvesting will help”
Over the state government’s proposal to ban construction owing to water crisis, Shanatanu said,” I don’t think banning of construction will solve the existing water crisis in Bengaluru. If it is banned for five years, what happens in the 6th year? When construction is allowed again, prices will skyrocket.” “Instead of the proposal to ban new constructions, the government should make it mandatory for every developer to incorporate rainwater harvesting systems and sewage treatment plants in their designs. Fears of day zero and acute water crisis cannot be ignored. We need to focus on sustainable development,” he added.