Commenting on the upcoming event, Sandeep Runwal, President of NAREDCO-Maharashtra and Managing Director of Runwal Group, expressed his enthusiasm, stating, “The Second Edition of the NAREDCO Maharashtra Real Estate Forum 2023 promises to be an insightful and influential gathering that will shape the future of Maharashtra’s real estate sector. With a lineup of esteemed dignitaries and industry experts, the event is set to foster growth, innovation, and collaboration in this dynamic field.”

‘I look forward to seeing you all at the Second Edition of the NAREDCO Maharashtra Real Estate Forum. Together, we can build a stronger, more resilient, and prosperous real estate sector for Maharashtra and the entire nation,” Runwal further added.

This real estate forum will discuss various issues such as government policies, private equity funding, real estate financing, navigating commercial and retail growth, future of redevelopment among others.

The Real Estate Forum, an annual gathering unites the titans of the real estate sector on a common platform. The previous edition of the NAREDCO Maharashtra Real Estate Forum, held last year, achieved remarkable success, drawing over 600 professionals from the real estate and allied industries. It marked a turning point as it was the first major industry gathering post the COVID-19 pandemic. Eminent figures, including government ministers, financial veterans, and real estate luminaries, showed unwavering support for the sector’s development and the state’s progress.

Distinguished senior government leaders will grace the occasion with their presence, sharing insights into the state’s real estate development. Among them will be Smt. Valsa Nair, Additional Chief Secretary, Housing; Shri. Sanjay Mukherjee, Metropolitan Commissioner, MMRDA and Shri. Praveen Darade, Principal Secretary, Environment.

The annual conference will also feature prominent figures from the financial sector, including Vipul Roongta, MD & CEO of HDFC Capital; Rajiv Sabharwal, MD & CEO of Tata Capital; Vishal Kampani, non-executive Vice Chairman of JM Financial Ltd; and Ashish Mohta, Sr. Managing Director at Blackstone, who will share their valuable perspectives on the sector’s outlook.

Notably, the event will witness the participation of senior stalwarts from the real estate industry, including Niranjan Hiranandani of Hiranandani Group, Irfan Razack of Prestige Group, Atul Ruia of Phoenix Mills Group, Rajan Bandelkar of Raunak Group, Atul Choradia of Panchshil Realty, Abhay Chandak of Chandak Group and many more.

As a cherished tradition, the evening session will feature His Grace Shri Gaur Gopal Das, who will impart valuable life lessons.

Also Read: Shapoorji Pallonji Real Estate signs Shahid and Mira Kapoor to endorse its VANAHA project in Pune

The post NAREDCO Maharashtra to launch nation’s first RealTech Fund to support start-ups and innovations ecosystem in real estate sector appeared first on Square Feat India.

Unicorns, or startups with a valuation of USD1 billion or more, are likely to occupy about 14 million sq feet of office space by 2024, a two-fold rise from the current level. This is led by large offices that unicorns are likely to lease across major markets of Bengaluru, and Delhi NCR. Unicorns are likely to lease an average of about 2.7 million sq feet of office space annually across 2022-24 across the top six cities, a three-fold increase from the preceding three years. 

“India has already seen about 15 new unicorns so far this year. At the same time, we are now staring at a funding slowdown in the space which is likely to be a short-term blip. We are likely to see enquires coming back into the market in a few months for flex space, as well as traditional space, especially from fintech, e-commerce and logistics startups. Offices become even more crucial for startups wherein they are trying to set up and inculcate culture for the organization. Startups with a clear business model and good corporate governance will continue to grow and expand as the country’s digital economy is strong. On the whole startups (unicorns+non-unicorns) are likely to occupy 78 million sq feet of office space by 2024, a 16% increase from 2021,” Ramesh Nair, Chief Executive Officer, India and Managing Director, Market Development, Asia, Colliers.

Bengaluru top startup hub, followed by Delhi-NCR 

Ø  Bengaluru remains the top startup hub with a 34% leasing share during 2019-22, with Koramangala, HSR and Indiranagar being the preferred locations for startups. A well-developed ecosystem, deep technology talent, and a culture of entrepreneurship are major factors attracting startups here.

Ø  Delhi-NCR is amongst the fastest-growing market in terms of leasing by startups. Delhi-NCR witnessed a three-fold increase in leasing by startups during 2021 on a YoY basis. The region benefits from being a catchment for education institutions in North and East India, and strong infrastructure.

Ø  Mumbai has seen certain pockets of startup activity over the years. However, relatively higher rentals, and high cost of living are often seen as deterrents by early-stage companies.

While metro cities remain the core hubs for startups, non-metro cities are seeing growth in startup leasing as well as flex space take-up due to low cost of living, reduced CAPEX and work from anywhere trend. Emerging hubs such as Jaipur, Ahmedabad, Indore, and Coimbatore are likely to witness a rise in flex space and startup occupancy as entrepreneurs are increasingly leveraging these locations to launch operations.

Also Read: Startups to lease 29 mn sq ft space during 2022-24

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By Varun Singh

Leading diversified professional services and investment management company Colliers (NASDAQ and TSX: CIGI) released its joint report with CRE Matrix, ‘Startups Scale Up’, stating that startups are expected to lease about 29 million sq feet between 2022 to 2024, a 1.3 times increase from the 2019-2021 period.

The demand will be led by fintech and logistics startups as they have gained momentum post pandemic due to increased digital adoption and e-commerce boom, and hold a healthy pipeline in potential unicorns list. Additionally, increased digital adoption, availability of a deep talent pool, favourable government policies and funding options from venture capitalists are steering growth of startups.

“Increased entrepreneurship and rapid growth of startups has been one of the most remarkable trends in Indian office space. Startups are the fastest growing occupier group among other occupier groups, and currently occupy 10% of the office space. This has created numerous opportunities for office space providers to rethink and reposition their workplace offerings to attract diverse set of occupiers. As startups pick up pace, landlords need to consider the business life cycle and work preferences of the startups to capture the real estate demand from startups to drive more value.” Said, Ramesh Nair, CEO, India & Managing Director, Market Development, Asia, Colliers.

“About 30 mn sq ft office space in India is occupied by co-working or flex players. We believe a large share of this is occupied by start-ups. Therefore, anecdotally, start-ups currently occupy more than 49.7 mn sq ft. Our internal forecasts peg the start-ups occupancy to be about 78 mn sq ft of office space + 20-22 mn sq ft in flex spaces by 2024, totalling to about 100 mn sq ft by 2024. Within this start-ups segment, the Fintech niche aces all others as the leader in terms of number of start-ups, occupied office spaces and growth. We anticipate other sectors such as Ed-tech, Logistics, Healthtech, Proptech to catch-up soon.” said, Abhishek Kiran Gupta, CEO & Co-founder, CRE Matrix.

Bengaluru top startup hub, followed by Delhi-NCR
Bengaluru remains the top startup hub with a 34% leasing share during 2019-21, with Koramangala, HSR and Indiranagar being the preferred locations for startups. A well-developed ecosystem, deep technology talent, and a culture of entrepreneurship are major factors attracting startups here.

Delhi-NCR is amongst the fastest-growing market in terms of leasing by startups. Delhi-NCR witnessed a three-fold increase in leasing by startups during 2021 on a YoY basis. The region benefits from being a catchment for education institutions in the North and East India, and strong infrastructure.

Mumbai has seen certain pockets of startup activity over the years. However, relatively higher rentals, and high cost of living are often seen as deterrents by early-stage companies.

While metro cities remain the core hubs for startups, non metro cities are seeing growth in startup leasing as well as flex space take up due to low cost of living, reduced CAPEX and work from anywhere trend. Emerging hubs such as Jaipur, Ahmedabad, Indore, Coimbatore are likely to witness rise in flex space and startup occupancy as entrepreneurs are increasingly leveraging these locations to launch operations.

Plug and play office providers to benefit as startups eye on NextGen office spaces with flexible lease terms

Office space providers need to adapt to cater to the needs of start-ups and their workplace preferences. As startups focus on creating collaborative culture, demand for well designed, fully managed spaces will increase. Flexible lease terms, minimal lock-ins and security deposits will also be an important parameter for startups while leasing space. This will create ample opportunities for flex space providers in metro and non metro cities. Affordable locations close to city centres with expansion options are likely to be preferred by startups.

“Government’s push towards digitization and ease of doing business has provided a big boost to the startup ecosystem. The sector has also piqued the interest of investors that has helped the segment scale up creating numerous opportunities in office space. In the years to come, we will see a lot of changes in workplace designs with more focus on space design, amenities, technologies and customization.” says Vimal Nadar, Senior Director and Head of Research, Colliers India.

Last three years have seen significant activity in leasing by startups. Continuing this momentum, startups are likely to occupy 78 million sq feet of office space by 2024, accounting for 13% share from a mere 2% share in 2010. As of 2021, while global companies continue to dominate Indian office space occupying more than 60%, growth of startups has been highest, currently occupying a sizeable share of 10%.

Also Read: CIDCO lottery date for 5,730 homes in Taloja changed

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