Is saal office kharidu, Shop lu ya aur Ek Flat?
A very Happy New year to all my readers.
Let me start with the first blog of the decade with “What to expect from the Pune market this year.”
As we enter the new decade starting from 2020, the dynamics of Pune real estate is changing drastically. Once considered as the greatest growing residential real estate market, Pune has entered into an altogether different tangent. The holistic Western region of the country and the historically rooted city of Maharashtra has turned into a retailers Paradise. Punekars have now started talking more about brands. The commercial real estate has now started picking up, although the figures are not singing about it yet. If the organised retailers are to be believed, Pune is amongst the top performing markets for them in the country.
So, what to expect this 2020 and what are retail sales to do with a real estate buyer?
Well! It is already understood and accepted that the chances of real estate appreciation in the current scenario is somewhat dicey unless you intend to hold it for a long-term. The best way to value your investment is to have an assured rental and assured rental can be given only by a stable occupier. A stable occupier is the one who actually earns from his business as no one will burn his pockets and keep paying you the rentals.
The rental yield is anytime higher in commercial as compared to residential. Now with the retail market booming, it becomes a better time to invest in shops or offices this year as compared to the residential ones.
Please note that this applies to those who have already invested in their first or second house and not for those who are living in rentals.
Some of the most frequently asked questions for retail real estate investments:-
- Should I buy a shop or an office?
- Is it the right time to buy an office space?
- Where should I buy an office in Pune?
- Is it good to invest in Baner?
And the answers to the above are:-
The best regions to invest in commercial spaces in Pune in 2020 would be the following:
- Balewadi
- Baner
- PCMC – on the old Mumbai Pune highway
- Wakad
- Hinjewadi
- Kondhwa
- Dhanori
- Moshi
- Kharadi
- Kiwale
I have selected the above areas keeping in mind the
following important points:
- Affordability
- Rental returns with respect to the investment
- Brand of builders working in those areas
- Future prospect of the areas
- Population growth in the area
The new decade shall see more of malls and multiplexes entering these areas.
And with better organised retailers like Westside, Croma, Zara, Reliance retail, Aditya birla retail, Playboy lounge, Inox, PVR, Decathlon, Absolut barbeque etc. entering and expanding in Pune & Pimpri Chinchwad markets, the buyers should expect consistent rentals from these brands. Not to mention the smart buyers should be able to en cash this opportunity immaculately by investing and reinvesting.
Well Punekars might have just found their new gold mine in this new decade.
So friends it’s “Abhi nahi to kabhi nahi”. Just keep a check on your EMI calculations to avoid any setbacks.
Also remember commercial real estate investments work on the philosophy of “More risk More Profit”.
#Note:
- Always invest in a RERA registered property only.
- Read all offer documents carefully when dealing with retail brands.
- All commercial real estate investments should be done only under the guidance of an expert consultant.
Please like share and give your comments on the blog.
You may feel free to write to me for any discussions about your real estate investments.
Signing off for now.
Your favourite blogger.
Akhil Chatrath
