Articles

The Many Advantages of Investing in Commercial Property in Gurgaon

by Mohit Sharma Advance India Projects Limited

Real estate commodities have been considered to be one of the most lucrative investment options available for decades. Whether it’s residential or commercial, investing in a property can be incredibly advantageous for people planning to grow their money. Due to the rapid urbanization and industrialization taking place across India, investing in commercial real estate has become quite popular here. A large number of investors are becoming attracted to the commercial real estate of the nation, especially in the various financially and industrially flourishing regions, such as Gurgaon.  

The new commercial projects in Gurgaon have emerged as an incredibly popular avenue for investment in the region of North India, over the last few years. The well-developed infrastructure and flourishing economy of the city are two of the major reasons for it. This city boasts of having the third-highest per capita income in India and houses offices belonging to some of the leading multinationals. There are several Fortune 500 companies operating in Gurgaon at the current moment. Being a popular spot for setting up an office, many people choose to set up retail stores in the city as well in order to attract affluent customers who have a high propensity to purchase.

Many new commercial projects in Gurgaon developed by renowned realtors can be found here now. These commercial establishments include:  

•    Retail buildings

•    Office buildings

•    Warehouses

•    Industrial buildings

• “Mixed-use” structures, where the property may feature a mix of retail, office, and residential units.

Even though investing in commercial real estate of Gurgaon can be a bit more expensive in comparison to purchasing residential establishments, commercial properties enable the investors to enjoy superior rental income in the long run. These properties have longer lease periods as well. Here are a few of the biggest advantages of choosing to invest in commercial properties in Gurgaon, as well as various other prominent urban centers:

•    Higher yields: When purchasing any property for the purpose of investment, people desire to enjoy the best possible yields from it. Commercial properties are known for delivering a much superior yield in comparison to their residential counterparts. While residential real estate can fetch people around 3-4% yield per annum, commercial properties typically provide people with returns that are no less than 8 or 9%. In many cases, the yields from commercial properties can ideally stretch more than 10% per annum.

•    Valuation: Due to the nature of these assets, commercial properties generally enjoy an incredibly high market valuation. As a result, investors can typically enjoy quite a high resale value from it. This is especially true in case of the commercial projects developed in financially flourishing areas like Gurgaon.  

•   Lesser maintenance expenses:  In most cases, the tenants are the ones responsible for the maintenance, upkeep, and repairs of the commercial properties. However, these duties generally lie on the landlords when it comes to residential establishments.

•    Provides superior hedge against inflation: The commercial rentals are renowned for providing a far better hedge against inflation in comparison to the residential rentals. This can be through the escalations that come along with the rentals, in addition to the possibility of higher appreciation in rent when seeking out replacement tenants, after a tenant has vacated the relevant space.

The above-mentioned factors have significantly boosted the popularity of commercial property investment in Gurgaon, and various other urban centers of the nation.


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About Mohit Sharma Innovator   Advance India Projects Limited

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Joined APSense since, November 12th, 2017, From Delhi, India.

Created on Oct 3rd 2019 01:29. Viewed 448 times.

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