India’s office-space market is on fire. In reaction to this tidal wave, a new kind of Real Estate Investment Trust (REIT) has been created to capitalize on this wave. The country’s Global Capability Centers (GCCs) are growing at over 30% a year. Today, approximately 1,800 of these centers are in active operation through the public, private, and academic sectors. Knowledge Realty Trust CEO Shirish Godbole wished the company and market’s debut good fortune. They credit this success to an increasing demand in the marketplace for their office-space and confidence in the growth of GCCs.
The listing of the REIT is a tactical move to capitalize on India’s surging need for office space. This increase has been spurred by the country’s strong economic development and by the expanding existence of multinational firms in the market. As businesses seek modern and flexible workspaces, the rise in demand for office properties has created an attractive environment for real estate investments.
Godbole expressed optimism about the sector’s future, stating, “The current momentum in India’s office-space market offers promising opportunities for growth.” He says that office space needs are rising. Furthermore, the growing popularity of GCCs will help fuel the industry’s positive growth trends. In addition, Godbole pointed out that he sees very few competitive threats on the horizon, which bodes well for future investors looking at Godbole’s stable outlook.
This REIT listing comes at a time when investor interest in India’s commercial real estate is at a peak. According to analysts, the rapid expansion of GCCs is a key factor fueling this growing interest. These research and development centers impact few ways—enhancing job creation and improving economic impact of India.
The “Inside India” segment on CNBC has been covering these developments, broadcasting relevant insights from Monday to Friday between 11:00 AM and 12:00 PM SIN/HK, or 05:00 AM to 06:00 AM CET. This program further demonstrates the changing economic dynamics in India and how they are shaping the Indian real estate market.
India’s office space demand continues to remain robust. At the same time, GCCs are on the rise, which makes the recent REIT listing all the more likely to capture investor attention. Armed with optimism from industry titans such as HP’s Shirish Godbole, the market seems poised for continued strong growth over the next few years.