HYDERABAD’s IT and Extended IT Corridor witnessing increasing demand for Flex Spaces; CBRE closes Hyderabad’s biggest Flex deal for 2021 with Smartworks
Hyderabad’s flex stock till Sep 2021 stood at ~6 Mn Sq.ft which is expected to grow at a rate of 15% for the next 2 years
Hyderabad: CBRE South Asia Pvt. Ltd., India’s leading real estate consulting firmannounced thebiggestflex deal of Hyderabad in 2021 with Smartworks at Aurobindo Galaxy.
With businesses evaluating new working models that keep workplace flexibility at the centre, the 232,000 sq. ft offering will help balance employee benefits and business profitability as companies resume normal operations.
As of September 2021, India’s flex stockstood at ~39 Mn Sq. ft, with Hyderabad accounting for ~6 Mn Sq.ft. The city further expected to see 15% flex stock growth in the next 2 years following the increase in demand for IT and extended IT corridors. Major growth drivers over the last year for the city have been the need for cost effective and flexible solutions, evolution of hybrid working and hub-and-spoke solutions and the increased adoption of managed office solutions by large enterprises.
As the established leader, CBRE applies a 360 approach to developing and delivering flex offerings to clients basis diverse business needs. Our flexible office solutions provide are tailored to evolvingneeds to cater to future growth amid uncertain market conditions – combining both traditional leases and coworking/serviced for bespoke solutions to suit diverse needs. Withthe largest market demand and supply share for flex transactions in the country, CBRE India has represented over 800 occupier clients in around 1300 flex deals. Along with helping key operators acquire almost 7.6 Mn SF of fresh space across the country,major corporate occupiers have also leased almost 86,000 workstations through CBRE India in the last 5 years.
Mr. Anshuman Magazine, Chairman & CEO – India, South East Asia, Middle East & Africa, CBRE said that “Hyderabad’s real estate market has proven to be extremely resilient over the last year and we at CBRE are optimistic that the markets steady growth will continue in the future as well. It gives us immense pleasure to be the advisory and transaction partner on such a deal as it stands a testimony of our market leadership and the sector growth. Our experience, intelligence and focus around the flex sector along with having a dedicated practice demonstrates our commitment and earnestness towards this space.”
Mr. Ram Chandnani, Managing Director, Advisory & Transactions Services, India, CBRE said, “The role of the workplace has changed significantly over the last year. Companies are becoming more successful in changing their strategies to ensure business continuity and are effectively leveraging potential changes in work styles. Hyderabad’s commercial market is making great progress especially when we consider office spaces, and the outlook looks promising. We are glad to add another testament to the CBRE and Smartworks relationship. We will continue to be at the forefront of assisting our clientele in Hyderabad and the country.”
MR. Neetish Sarda, Founder- Smartworks, said, “Our rapid growth and expansion in Hyderabad over the last three years is driven by strong market fundamentals and an uptick in demand for flexible workspaces post-COVID. Our follow on expansion at the state of the art facility, Aurobindo Galaxy, is in line with our growth plans led by strong pre-leasing commitments from enterprises looking at fully-serviced flexible office solutions. This new facility is India’s largest tallest pre-cast tower, tech-enabled, thoughtfully- designed with smart features, collaborative spaces and world-class amenities. We appreciate the hard work and efforts by the CBRE team in helping us identify the right asset at the most strategic location as we continue to expand our footprint in the city.”
Excellent infrastructure, favourable government policies, and robust office space take-up by MNC occupiers has established Hyderabad as one of the top-performing commercial real estate markets in India.