Wrap-Up: Bangalore Real Estate Outperforms
Increased commercial activity, an uptick in sales volume, and several infrastructure upgrades in 2018 kept the real estate market in Bangalore much more vibrant and resilient than other cities. After the introduction of key reforms such as RERA and GST, this year was more of a re-calibration for the industry. The growth trend is likely to continue in 2019 as well.
The year 2018 also reaffirmed Bangalore’s pivotal position in the commercial space. According to a JLL report, the city accounted for the highest absorption of office space at 7.9 million sq. ft. in the first nine months of the year. This demand has been primarily driven by sectors such as IT/ITeS, manufacturing, consultancy service, and e-commerce. Consequently, even the residential sector kept up the momentum this year.
So, how did residential real estate fare for the city? RoofandFloor research reveals that about 870 projects were launched in 2018. About 50% of this new supply was in the mid-segment (Rs 40-70 Lakh), followed by 24% in the affordable segment (Less than Rs 40 Lakh) and 26% supply in the luxury segment (Rs 70 Lakh and above).
