Sector Report • Currently Rs 40 lakh crore. 124 lakh crore by 2034. expected to reach.
The demand for residential and commercial real estate is increasing rapidly in the country. In the coming 10 years i.e. by 2034, the real estate market of the country is expected to grow more than 3 times to reach Rs 124.58 lakh crore. Presently it is worth Rs 40 lakh crore. According to the latest report by industry organization CII and property consultant Knight Frank, due to rapid economic growth, the country’s residential market is estimated to be worth Rs 75.7 lakh crore and office space market to be worth Rs 10.4 lakh crore by 2034. The share of the real estate sector in the country’s total GDP is expected to increase from the current 7.3% to 10.5%.
Increase in demand for office space
Global Capability Centers (GCCs) Apart from flexible offices, co-working spaces, due to increasing demand in the IT sector, about 170 crore square feet of office space will be required in the next 10 years. There are currently around 1,700 GCCs in the country. By 2034 their number will reach 2,880.
7.8 Demand for houses will rise in the next decade the
68 percent 15-64 years old population of
70 cities more than 10 lakh the country will be
9.5 percent ✓ High and ultra high net worth will be
42.5 percent population will start living in cities.
Tier-2-3 cities are promoting the growth of real estate sector.
Tier 2 and 3 cities of the country have a major contribution in increasing the growth of the real estate sector. According to the report, by 2024, 70 cities of the country will have a population of more than 10 lakh. 42.5% of the population will live in cities. Due to this, there is expected to be a sharp increase in demand and supply of residential and office real estate even in medium cities. These include Bhopal, Indore, Lucknow, Vadodara, Kanpur, Nagpur, Cities like Raipur are included. Due to availability of comparatively cheap property and cheap labor, infrastructure development is happening rapidly here. Apart from this, IT and service industry is also growing rapidly in these cities. Recognizing the potential of Tier 2 cities, leading companies and industries are making significant investments in cost-effective infrastructure, office space, warehouses, co-working spaces and retail centers in these areas. Attracted by the rising incomes of the growing middle class, many companies are now planning to expand their operations in these cities.
Real estate will increase by 209.1% in 10 years.
10.5% share in GDP by 2034.
Source- Dainik Bhaskar
