A growing economy fuels demand for quality housing across various segments.

Sarveshaa SB, Chairman & MD, BHADRA Group

What are the key real estate market trends to look for in 2024-25?

The Indian residential real estate market is transitioning to a more measured pace of growth in 2024-25. After a robust year with sales growth exceeding 25%, analysts at India Ratings and Research (Ind-Ra) predict a moderation in price hikes. Property prices are expected to rise by around 5% annually, a significant slowdown compared to the 22% increase witnessed in the previous year. This moderation is attributed to two key factors: a ‘high base effect’ where the previous year’s strong growth makes significant further increases less likely, and an anticipated surge in new housing projects entering the market, which will increase competition and potentially stabilize prices. Sales are also likely to see a similar trend, with pre-sales growth settling in the 8% to 10% year-on-year range.

Despite the moderation, the market is expected to remain stable and experience healthy demand. Continued government focus on affordable housing initiatives and infrastructure development in tier-II and tier-III cities is likely to bolster homebuyer interest, particularly in the mid-income and upper mid-income segments. This shift in focus towards affordability is expected to be a key driver of the market in the coming year. The premium and luxury segments will see a pick up amongst growing aspirational and HNIs homebuyers, the overall outlook for the Indian residential real estate sector in 2024-25 remains positive, characterized by stability and a focus on catering to the needs of homebuyers.

What are the emerging trends in the commercial real estate market? How do you view the buying trends among customers?

The Indian commercial real estate market is set for an exciting chapter in 2024-25. Rising demand from the IT sector, start-ups, and a robust economy will fuel growth. This demand, coupled with limited prime office space, is expected to create a seller's market with potentially higher rental prices. To navigate this, expect businesses to prioritize cost-effectiveness and seek flexible lease options or co-working spaces that offer scalability.

Innovation will be another key driver. Demand for modern office spaces that promote employee well-being and collaboration, alongside the rise of e-commerce, will fuel the growth of co-working spaces, warehousing, and data centres across the country.  With a tech-driven approach gaining traction, virtual tours and online platforms will revolutionize property hunting and leasing processes.

What are your plans for the year 2024-25? Which are the key projects coming up?

At BHADRA Group, we've always believed in putting our customers at the heart of everything we do. It's this very principle that's driven our success and built the trust we share with our valued homeowners. And as we look towards the coming year, I'm thrilled to announce that we have some truly exciting plans in store for the residential sector.

We've been working tirelessly behind the scenes, listening to your needs, and understanding your aspirations for your dream home. Whether you're a young professional starting your journey or a growing family seeking more space, we're committed to providing you with exceptional living spaces that reflect your unique needs. Our upcoming project will showcase the best of BHADRA Group's philosophy – a blend of quality construction, innovative design, and an unwavering commitment to exceeding expectations.

We shall keep you updated for some truly special announcements in the coming months. We, at BHADRA Group, are confident that these upcoming launches will redefine customer-centric living in the Indian residential market, and we can't wait to welcome you home.

What are the key market challenges faced by real estate developers?

The Indian real estate market is brimming with exciting opportunities. A growing economy fuels demand for quality housing across various segments. This allows us to create a diverse portfolio catering to a wide range of buyers. Additionally, the rise of sustainability awareness presents a chance for us to champion eco-friendly practices and create lasting value. At BHADRA Group, we're embracing advancements in technology to enhance customer experience and streamline operations.

However, challenges exist. Rising costs and a complex regulatory landscape can strain project budgets and timelines. At BHADRA Group, we're constantly innovating and working with partners to mitigate these challenges and ensure affordability for our customers.

The key to success lies in understanding customer needs. Today's homebuyers seek integrated communities that promote wellness and a sense of belonging. We're actively incorporating smart technologies, green practices, and fostering a sense of community to meet these evolving preferences. By staying agile, innovative, and deeply customer-centric, BHADRA Group is well-positioned to capitalize on these opportunities and deliver exceptional living spaces that redefine Indian real estate.

How do you look at the emerging opportunities in real estate market? 

You see the growing economy fuels demand for quality housing across various segments. Young professionals, families, and even seniors seek well-designed living spaces. This allows us to create a diverse portfolio catering to this broad audience. Furthermore, the rise of sustainability awareness presents a chance for us to champion eco-friendly practices. We're looking to incorporate energy-efficient designs, and responsible waste management for future generations. Technology is also transforming the industry, with virtual tours, online tools, and data-driven marketing changing how we connect with buyers. At BHADRA Group, we're embracing these advancements to enhance the customer experience and streamline operations.

The key to success lies in understanding and exceeding customer expectations. Today's homebuyers seek integrated communities that promote wellness, sustainability, and a sense of belonging. This opens doors for us to design holistic living experiences with smart technologies, green practices, and ample community spaces. By actively listening to our customers’ desires, we can build trust and long-term relationships. These are just some of the exciting opportunities I see. By staying agile, innovative, and deeply customer-centric, BHADRA Group is well-positioned to capitalize on these trends and deliver exceptional living spaces that redefine Indian real estate.