Growing buyer interest and established IT baseproviding a Necessary Boost to City’s Housing Market
CBRE South Asia Pvt. Ltd., India’s leading global real estate consulting firm, today shared an overview of Bengaluru’s residential real estate market in 2016. According to CBRE, Bengaluru led residential sales in Indiain 2016 with a 27% share as against 25% in 2015. The city’s share of new residential supply during the year was 24%, as against 26% the previous year. A robust commercial sector (the largest office market in the country), growing IT/ITeS populace and strong buyer sentiments were established as the key drivers for the trend. Further, the Southern markets of Bengaluru, Chennai and Hyderabad remained resilient in 2016 and accounted for more than 50% share of the overall housing sales in the year.
Recognizing the strong demand for residential real estate in the city, coupled with improving consumer sentiment, CBRE organized the 8th edition of CBRE PropFair 2017 in the city. This is the first time the event is being organized in Bengaluru, after witnessing great success in Pune and Hyderabad earlier this year. Held at the BBMP Exhibition Grounds from 5th – 7th May, 2017, the event will provide home buyers with the best housing options available across the city. The 3-day exhibition was inaugurated by Ram Chandnani, MD, Advisory & Transaction Services – India, CBRE South Asia Pvt. Ltd. and the city’s top residential real estate developers.
Mr. Anshuman Magazine, Chairman, India and South East Asia, CBRE said, “Bengaluru’s status as India’s Silicon Valley, coupled with a strong commercial real estate development and leasing activity is having a positive impact on the city’s residential market. With developers focusing on quality and timely delivery of projects, the overall buyer sentiment seems to be improving. With various affordable housing projects also planned across the city, we can expect a further boost for this market in the near future.”
Speaking about the city’s housing market, Mr. A. S. Sivaramakrishnan, Head, Residential Services – India, CBRE South Asia Pvt. Ltd. said, “Similar to trends witnessed across other key markets, Bengaluru has seen housing demand primarily focused in the mid end/high end segment. Across some micro-markets, the affordable segment has also witnessed traction. While buyer sentiment has been cautious in the recent past, the overall market dynamics for the city remains positive. This has resulted in Bengaluru being the most suitable residential destination for buyers besides continuing to be one of the top cities driving demand and supply in the sector.”
On the first day itself, the event saw more than 5000 footfalls. With over 200 projects being showcased by the top 60 developers in the city, CBRE PropFair is expected to witness more than 15,000 visitors during the three-day event.
Going forward, the city’s positive commercial real estate development, implementation of policy initiatives, coupled with a robust social and physical infrastructure, and growing talent pool especially in the IT/ITeS segment, is expected to support the growth of the housing market in the city.
Realty Bytes: Bengaluru Leads Residential Sales in 2016 with 27% Market Share: CBRE
