The truth is my friend, no one has a crystal ball. During this lockdown, I participated in many webinars, and in this video, I had collated expert opinions on the Real Estate world post-COVID. If you are someone who follows real estate world keenly then this video is for you, Come-on Lets Jumpin. You might want to read it until the end of this video since all the good things happen at the end, right?
Let’s begin, a leading brand expert says that there are three kinds of Demand panning out because of COVID.
- Demand gets lost forever
- Post-COVID Returning Demands
- And New Demands appear because of COVID
I am going to talk about 4 Major real estate segments and at the end of this video, you will be able to map it to these demands.
I have a question for you? Will you visit a mall or a restaurant or a high street shopping area immediately post Lockdown?
Friends, the Biggest hit is for the Retail Commercial Real Estate world, as you know the malls, restaurants, food courts, resto-bars, pubs, gaming zones, cinema halls are the last ones to open post lockdown. The automobile industry reported ZERO sales across the country for April and its no brainer, many regional brands which were operating month to month with poor cash flows are expected to shut down its operations, This one segment will feel the pressure in the coming months and let us not even talk about the expansions.
In the Office Space segment, there are larger offices in Tech Parks, SEZs and there are Co-Working Spaces. Work From Home has become a norm, we may feel that many companies may downsize its real estate. But experts don’t feel so from that happening much largely. There are many factors as client confidentiality, poor bandwidth issues, home infrastructures etc discouraging large companies to risk on blanket WFH, having said that they also feel that the decisions on expansions are going to be slow, managements of these firms will be having a wait and watch approach.
And for Co-Working spaces, undoubtfully the elasticity is what attracts startups & small businesses which is also a threat considering the social distance to be maintained in the workplaces, it is expected most of these users might wait and watch for sometime before returning to their seats here. Especially many densely packed co-working spaces will have to rearrange their infrastructure and might get stressed on the existing terms with the landlords. Experts say that there would be rent renegotiation and request for deferments of rents. Doubt any further demand on expansions here.
And there are Warehouse and Industrial segments which experts bet on getting greater demands post-Covid considering worldwide emotions cutting back on China’s dependency. There are already governmental reforms en route to grabbing such opportunities, Warehouses expected to mushroom within the city and town limits for the last mile faster supply and this one segment is going to see a phenomenal action in the coming months.
I know you have been wondering about Residential Segment, we have been locked down in our home for how many days now? around 50 days? I have a question for you. Do you ever felt in this lockdown a need for more space? This itself along with WFH is going to create newer demands. There are needs and there are aspirations, the time has come for the aspirations turning out to be needed. I mean every one of us wants a bigger space and an extra room now post COVID. A person living in a 2 BHK now expected to enquire for a 2.5 BHK, a family living in a 3 BHK now prefers slightly a larger 3.5 BHK likewise it goes on expansion mode. With lending rates falling and developers coming out with innovative schemes like book now with 100% refunds, reside now buy later, price protection guarantee, there is going to be enough demand at least in the ready to move in category. Considering WFH buzzing all around, people wouldn’t mind living slightly far away from the workplaces and it is okay for them to travel that extra mile twice or thrice a week. New residential hubs will be created, fresh demand here. If you are considering buying your next lockdown home, this is the best time to buy!
Thank you for reading and hope you liked my article. Comment, like, share and importantly Subscribe to our mailing list.