The residential sector recorded a nine-year high in sales volume in the first half of 2022 (January–June 2022). The sector saw annual growth of 60 per cent compared to the first half of 2021 from 99,416 to 158,705 housing units across the top eight cities, according to a report by Knight Frank India.
With 26,677 units sold, Bengaluru is the third-largest residential market in the country, after Mumbai (44,200), and National Capital Region (29,101). The weighted average price of residential units in Bengaluru increased by nine per cent year-on-year (YoY) to ₹5,358 per sq ft with South Bengaluru remaining the largest market accounting for 38 per cent sales.
Bengaluru tops commercial segment
Bengaluru also topped the list in the commercial segment with growth in office transactions during H1 2022. The city registered 7.7 million square feet, followed by NCR with 4.1 mn sq ft of office transactions. The overall office transactions were recorded at 25.3 million square feet (mn sq ft), a growth by 107 per cent year-on-year (YoY).
“We expect the strong momentum in office leasing in Bengaluru to continue in 2022-23 as the physical occupancy rates are expected to pick up in the coming months. The ‘back to office’ trend will ramp up the demand for readily available stock. Furthermore, hiring activity, especially in tech, global captives, start-ups will encourage large occupiers to proceed with the expansion of office space,” said Shantanu Mazumder, Executive Director, Bengaluru, Knight Frank India.
Bengaluru’s hiring activity increased by 35 per cent during Jan-May 2022, predominantly led by the Information Technology sector said the release.
Knight Frank India, a property consultancy, launched the 17th edition of its flagship half-yearly report - India Real Estate: H1 2022 – which presents a comprehensive analysis of the residential and office market performance across eight major cities for the January – June 2022(H1 2022) period.