Noida A Growing Commercial Hub In NCR
In the past couple of years, Noida is leading the way in NCR region compared to Gurgaon by big companies, which has boosted the market sentiments
With a strong commercial base and proximity to the capital city Delhi, Noida has emerged as one of the most sought-after commercial hubs in entire NCR.
The evolving infrastructure is one of the reasons why the city is preferred by the investors. A modern well-designed office space plays a vital role in the growth of an organization. It significantly impacts on health, satisfaction, wellbeing, organisational efficiency, and productivity. Major IT/ ITES companies are focusing on future-ready, completely integrated, A+ grade InfoTech hub for their office requirements. Nowadays, they look for various aspects of office space to promote wellness among employees. In fact, such office spaces are amply available in Noida.
Noida is witnessing stupendous growth in terms of infrastructure, economy, and commercial development the property investors can get better return on investment at the years to come.
“In the past one year, Noida is leading the way in NCR region compared to Gurgaon by big companies, which has boosted the market sentiments. Sector such as IT/ ITES are driving the demand as they are prime drivers of leasing activity, these companies are pursuing a hybrid work model post the pandemic. The demand for commercial real estate is likely to grow in coming times as companies are looking to reopen office spaces for the workforce.”
Corporates’ first choice
“In the recent past Noida has become the foremost choice for corporates in Delhi NCR. The credit goes to its superb infrastructure, connectivity, security, reputed educational institutions and superior planning in comparison with other parts of Delhi NCR. Noida is extremely affordable on the parameter of living expenses. At the same time, running businesses and hiring manpower is easy and affordable for corporates. The connectivity in the region is all set to touch new height due to upcoming International Noida Airport at Jewar, upcoming Suferfast train station near expressway and related infrastructure.”
“A thriving base for IT-ITeS and electronics manufacturing companies, efficient connectivity with Delhi, cutting-edge services at reasonable rates, and an expansive residential base owing to a lower cost of living has given Noida and Greater Noida significant impetus as the next commercial destinations in Delhi NCR. The infrastructure has grown many-fold in the recent years. From the world-known Yamuna Expressway, Magenta Metro Line, NH-24 expansion, and rapid development of Greater Noida West, there are lots of projects that are known to fuel the development of the region to large extent. The film city, and the international airport have also contributed to their emergence as commercial centres, posing substantial competition to Gurugram, which has dominated this market for over a decade. The increased Metro connectivity is boosting the market, while the workforce finds the most reasonable and high-quality living in this NCR micro market. What Noida has to offer is that it is an appealing destination, owing mostly to infrastructure and accessibility.”
An IT hub
Noida has been considered as one of the most preferred locations for IT companies hunting for affordable office spaces coupled with superior connectivity. A flourishing base for IT ITeS and electronics manufacturing companies coupled with easy and affordable connectivity with Delhi, state-of-art services at competitive rates and an expanding residential base have given major boost to Noida. Noida has established itself as a hub for IT-ITeS/ technology/ electronics/ start-up firms, owing mostly to large and inexpensive availability of manpower. Noida is renowned as one of Asia’s largest planned industrial townships, and it is no longer a stereotypical industrial district, but rather the epicentre of India’s rise as an economic giant. The growing relevance of food and beverage is becoming a differentiator for malls.
The upcoming Jewar Airport has attracted many homebuyers and increased the demand for shopping centres and other commercial hubs.
“Delhi-NCR overall recorded gross leasing of around 2.5 msf during the third quarter of 2021, a significant q-o-q growth of 40% and Noida contributed 44%. It is a well-planned city with every sector within reach from the nearest metro station and roads being well lit. Superior infrastructure coupled with an excellent metro network and other civic developments makes Noida a faster-growing commercial investment. Noida is the most affordable commercial hub in NCR with rentals being around Rs 50 psf on leasable area, which is approximately 35% cheaper compared to Gurgaon. Large floor areas and lower rental values as compared to Gurgaon have been the primary factors for companies moving into Noida market.”
As of Q3 2021-Noida market has a total supply of around 35 msf with a vacancy of around 30% with YTD net absorption of 0.4-0.5 msf. Around 8-9 msf of future supply is expected soon.
“Noida is one of the fastest growing destinations in India for business and commercial activities. Government initiatives like the recently declared Noida, Greater Noida and Yamuna Expressway through the Electronics Manufacturing Zones on the National Capital region will bring in higher investments. Big companies already have their units operational in the bordering areas. Hence, Noida is on the urge of becoming the next IT hub in India, a bigger and better addition to cities like Bangalore and Hyderabad. Popular MNCs like Adobe, IBM, Headstrong, Sapient and others are permanently based here; boosting the retail sector to come in and have a greater input. Noida is rated as the third largest market for office spaces. It is closely competing with Bangalore and Hyderabad and is expected to surpass them soon. The cost-effective rental pricing of the office spaces is one of the most highlight aspects for increasing commercial participation in Noida. The already improved Metro network is a great transport option, and it is only going to get better with added projects and investments. Not to forget; the road connectivity on both the local and highway levels are very good; this saves a lot of time, money and resources for businesses favouring Noida as their next destination to expand.”
Source – Times Property