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5 Most Successful Commercial Real Estate Trends in 2022

March 8, 2022

Commercial space for rent in Bangalore, commercial office rental

The pandemic introduced us to the work-from-home concept and lockdown all across the globe. As a result, the real estate industry saw a noticeable drop, and the rental venture was the lowest in 6 years. As the economy gets better after its subsequent fall in 2020 during the Covid19 Pandemic, 2022 sees a steady improvement in the real estate markets.

Getting into the trends of real estate for the year 2022

Recuperating from the pandemic and learning to synchronize with the regular changes, companies have adopted the hybrid work method. The offices opening up and new leases being initiated bring us foresight that the real estate industry will find its place back by the end of 2022.

1. The rental venture to hike by January 2022

Before normalizing the entire office system, companies are renewing leases and expanding commercial office rental spaces. Leasing activity in real estate is anticipated to boom from January 2022 for the same reason. With improved vaccination programs, companies are calling their employees back to the offices, and the once falling trend in commercial real estate is to reverse from the 1st quarter of 2022.

2. The Lease activity will keep up its magnification

Companies are planning ahead. Senior accountants and financial professionals managing the rentals of a company are taking very steady and measured steps. Businesses are revising their real estate investment assets to pucker the effects of the pandemic. As the changing circumstances glide back to normalcy from the start of this year, the lease activities continue to grow. Real estate experts estimate the growth rate this year to be 5% and expect it to increase in the following quarters.

3. Retail Spaces to Witness a Metamorphosis

The pandemic instigated a work-from-home culture, however, as the economic healing process continues, businesses have become more flexible in their modes of work. The hybrid system mentions that an employee can work from home or office, according to their desire. Thus, the flexible system requires shifting from traditional office spaces to new and more adaptable environments. To remain competitive in the market, embracing these trends and changing as necessary is a given.

4. Demand for Office Spaces to Expand as well

The year 2021 saw a growth of 10% demand for office spaces. The demand for office spaces is to increase by 15-20% in 2022. In addition, this year will see an increased need for office spaces by startups. Even with the concerns of the pandemic, the trend of demand for office spaces is to increase due to flexible work cultures of most firms these days. Office space for rent in Banglore has almost doubled its shares in the overall leasing in the country.

5. Introduction of Hybrid Models pitches the need for office spaces

With work arrangements and hybrid offices becoming a pivotal point, office spaces have regained their regard. They are successfully included in the portfolio of real estate asset management by companies. The year 2022 will see a complete transformation of office spaces into dynamic and smart work environments to facilitate the company with the latest market technology for better workspace management to help with data-driven resolutions.

The bottom line

After two long years, the recovery of the IT sectors has shown the real estate industry light at the end of the tunnel to make things normal and get the business going.

With companies re-entering the business and renting bigger office spaces, we sure have a trend in favor of real estate.

With the rise in liquidity into commercial real estate this year, the demand for co-working spaces and free-hold property is increasing, maximizing the return of the investors.


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