Mumbai, April 4
The office market across top seven cities in India offers an estimated Rs 45,000 crore (approximately $5.3 billion) opportunity in retrofitting (improving the existing building design and engineering, integrating new technology, enhancing user experience, and incorporating climate-adaptive features and capabilities) and upgrading existing buildings, according to a report on Friday.
Approximately 62 per cent of India's Grade A office stock across top seven cities, equivalent to 530.8 million square feet (sq ft), requires upgrades – spanning from light to moderate to deep interventions.
The Silicon Valley of India leads in office retrofitting opportunities offering the largest potential among major Indian cities, with 155.9 million sq ft of Grade A stock, requiring an estimated Rs 14,410 crore in upgrade spends.
This presents both a challenge and an unprecedented opportunity for stakeholders across the industry, said the JLL report.
The focus of this transformation opportunity is primarily headlined by four key markets - Bengaluru, Delhi NCR, Mumbai, and Hyderabad - which account for about 81 per cent of the total capex spend.
These four markets also represent about 75 per cent of occupier activity in the country and, thus, need critical developer and investor interventions to keep office assets ‘relevant’.