Co-working operators account for 11% space absorption in B'lore, 19% in Delhi NCR
New Delhi: Co-working space operators accounted for 11 percent of the gross take-up of about 0.4 million square feet in Bengaluru in the first quarter (January-March period) of 2020, according to a report by Colliers India.
The real estate consultancy estimates that co-working players will slow their expansion in the coming six months.
The players accounted for 19 percent of the gross absorption in Delhi-NCR market with about 340,000 square feet. The demand for overall office market began to slow down in the second quarter because of the lockdown. According to the consultancy, the fundamentals in the long term for the office market remain strong. The demand for office space is expected to be driven by IT and BPM (business process management) industries.
The co-working spaces will be the main beneficiaries as companies across the country will look at flexible offices in uncertain business environment.
Co-working industry has been growing at break-neck speed in the country for the past 2-3 years and there many domestic as well as foreign operators now in India. The foreign players usually have scale and are able to expand very fast. However, things changed drastically in the wake of the corona virus and the lockdown.