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    Pune Commercial Real Estate

    • 5 min read
    • Last Modified Date: February 1, 2024
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    • Pune Commercial Real Estate is currently experiencing significant growth, which is driven by a booming economy and an upsurge in demand for office and retail spaces.
    • Pune, one of the country’s most significant industrial and educational centres, has been named “the most liveable city in India” multiple times. It is referred to as the Oxford of the East because it is home to numerous prestigious academic institutions. 
    • Pune is also widely recognised as the nation’s primary hub for the automotive and manufacturing industries. Because so many IT parks and SEZs have been established there, it is also a well-known IT hub in India. As a result, Pune Commercial Real Estate is growing. 

    Growth of Pune’s Real Estate Industry

    • Pune is ecstatic of the way the local real estate market has grown over the past few years.
    • Based on projections from advisory firm JLL, the Pune real estate market saw investments of $154 million in the first half of 2023; meanwhile, Anarock data shows that the city has seen investments totaling $876 million over the previous five years.
    • This may help you understand the enormous demand for Pune commercial real estate.  Therefore, it should come as no surprise that prices for Commercial Property in Pune close to Koregaon Park in Pune have increased dramatically over the last several years. 

    Top Reasons to Invest in Pune Commercial Real Estate

    Pune is among the top locations for commercial real estate investment for the following reasons:

    Increase in the Number of Startups and Businesses

    Over 3000 startup companies have reportedly registered in Pune. This city is home to the headquarters of numerous well-known brands. An increasing number of startups are registering in Pune because of the city’s favourable business climate. 

    To cut costs on rent, startups frequently need a small office and a shared one. Investors in commercial real estate can take advantage of this demand by setting up Co-working spaces for various startups. Both investors and startups will benefit from this as they will diversify their risk by receiving rent from a variety of sources.

    Pune, which is less expensive than its closest metro counterpart, Mumbai, may provide startups with an ideal business environment at a lower cost which is causing an upsurge of demand for commercial property in Pune.

    Infrastructural Development

    Pune is experiencing rapid infrastructural development. IT centres, road widening initiatives, and metro tracks. Long-term real estate appreciation is being accelerated by this. Future growth of the businesses, properties, and projects expanding adjacent to these development areas will be significant.

    Affordable Property Prices

    Compared to other major cities in India, Pune offers relatively affordable commercial property in Pune. This makes it an attractive destination for businesses looking to minimize their initial investment and operating costs. The overall cost-effectiveness combined with the potential for high returns on investment makes Pune a favorable choice for real estate investors.

    Increasing Demand

    Pune’s commercial real estate market is experiencing a surge in demand due to the city’s growing population and economic activities. The rise in IT firms, manufacturing units, educational institutions, and retail outlets has fueled the demand for office spaces, warehouses, retail shops, and commercial land. Investing in such a dynamic market can provide long-term stability and profitability for savvy investors like you.

    Potential for High Rental Yields

    Pune’s commercial real estate could provide profitable rental returns. Investors can take advantage of the rental market to create a reliable source of income because there is a steady demand for retail and office space. Due to Pune’s reputation as a major business centre, tenants will always be drawn to strategically placed commercial properties.

    Tax Benefits

    Investing in commercial real estate has appealing tax advantages that can greatly increase your overall returns. You can maximise your financial gains while keeping a safe investment portfolio with the help of these tax advantages.

    Diversified Commercial Options

    Pune’s commercial real estate market goes beyond office spaces. The city offers a range of options including retail outlets, shopping malls, hospitality properties, industrial parks, and special economic zones. This diversification allows investors to tap into different sectors according to their investment goals and risk appetite through investment in commercial property in Pune.

    Commercial Real Estate Investment Opportunities in Pune

    Co-working spaces

    Co-working spaces are becoming a more and more popular option in Pune for freelancers and start-ups looking for a cost-effective substitute for traditional office spaces. Co-working spaces provide cooperative work environments, flexible rental agreements, and networking opportunities.

    Rising demand for office spaces

    Pune is home to many manufacturing facilities, R&D facilities, and IT companies, which has increased demand for office space. The need for commercial office space is anticipated to rise in the upcoming years as more businesses establish operations in Pune, thus increasing the demand for commercial property in Pune.

    Retail space for rent

    Pune’s need for retail space is growing as a result of shifting consumer behaviour and rising disposable incomes. Retail space is a profitable investment option because of the high demand for shopping malls, high-street retailers, and supermarkets.

    Potential Hotspots for Investment in Pune

    • Hinjewadi: a centre for IT with steady demand
    • Kothrud: A key location with ongoing growth
    • Baner: Newly developed residential and commercial hub
    • Pimpri-Chinchwad: Infrastructure development and industrial growth
    • Undri: Close to IT hubs and future projects

    Future of Pune Commercial Real Estate

    The city’s strong IT and startup ecosystem are expected to fuel a sustained demand for office space in Pune, according to the market forecast for pune commercial real estate. 

    It is anticipated that the growth trajectory will continue to rise as companies actively search for modern, adaptable, and technology-enabled workspaces. It is likely that co-working spaces and serviced offices will become more popular, appealing to businesses seeking economical and adaptable solution, increasing demand for commercial property in Pune.

    Bottom Line

    Pune’s real estate market is pointing towards greater technological integration, quick change adaptation, and sustainable growth. For homeowners, a new era of efficiency and convenience has been brought about by the rise of smart homes.

    Pune’s real estate trends for 2023 place a strong emphasis on smart technology, affordable housing, and eco-friendly living. The increasing demand is expected to benefit the commercial sector as well.

    If you were looking to invest in commercial real estate, now it’s the time to Invest.

    Real estate investment opportunities are available on the alternative investments platform Assetmonk. Every investor’s needs and interests are met through a range of products, including Growth, Growth Plus, and Yield. We provide investment opportunities in emerging and popular asset classes such as Structured Debt real estate and fractional ownership.

    FAQs

    Q. Are there any upcoming commercial projects in Pune?

    A. Yes, there are several upcoming commercial projects in Pune, catering to the growing demand in areas like Hinjewadi, Hadapsar, and Baner.

    Q. What are the current market trends in Pune’s commercial real estate sector?

    A. The current market trends in Pune’s commercial real estate sector include a growing demand for Grade A office spaces, increased interest from multinational corporations, and the development of integrated commercial complexes.

    Q. How can I find the right commercial real estate investment opportunity in Pune?

    A. To find the right commercial real estate investment opportunity in Pune, it is recommended to consult with a real estate agent or broker who specializes in commercial properties and conduct thorough market research to assess factors such as location, rental potential, and future development plans.

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