Why Commercial Properties in Gurgaon Are Outperforming Residential Investments

In the past, it was the most popular choice for investors living in Gurgaon. With the promise of steady growth, rent income, as well as a rising demand, was what made it a cult item in the real estate market. However, today the spotlight is shifting towards commercial properties. They have taken the centre of attention. From retail on the high streets to office space that is modern in Gurgaon, the commercial real estate has outperformed homes in terms of return as well as stability. Here's why.

1. Higher ROI That Speaks for Itself

Properties for residential use in Gurgaon could yield rents between 2 and 3 per cent per year; however, commercial properties could yield 6-10 per cent or more, depending on the location and the need. As multinational companies, startup companies, entrepreneurs, and even retail giants expand into Gurgaon, the space demand for commercial properties is not only steady, it's increasing.

2. Corporate Migration and Business Growth

Gurgaon is now the main of tech firms, BFSI firms, and e-commerce bigwigs. This growth has created the demand for top-quality offices, coworking facilities and commercial parks. In the same way that homes serve people, commercial spaces serve industries and businesses rarely shrink with a booming economy.

3. Longer Lease Tenures = Steadier Income

Tenants who live in residential areas typically sign leases for up to 11 months. Commercial tenants, specifically corporate, are required to sign 5-9 year leases that have built-in rent-escalation clauses. This ensures steady income, but it also lowers the risk of vacancy, which makes commercial real estate much more durable.

4. Retail Revolution: Gurgaon's High Street & Mall Boom

The culture of shopping in Gurgaon has drastically changed. Retail locations on the high streets in areas like 29 47, as well as on Golf Course Extension Road, are selling at premium rates. Also, add the increasing popularity of high-end malls as well as mixed-use developments, and retail property performs better than the rest in terms of capital appreciation as well as monthly returns.

5. Government Push & Infrastructure Growth

Starting from the Dwarka Expressway to the Delhi-Mumbai Industrial Corridor, improvements to Gurgaon's infrastructure transform commercial areas into investment hotspots. The government's policies that are favourable to investors, the ease of approval, as well as a surge of FDI for warehousing and retail, enhance the advantages of commercial properties over residential properties.

Although residential properties will forever hold emotional and cultural value, Investors looking for yields, stability, and the ability to scale are noticing commercial property located in Gurgaon to be a better choice. Gurgaon's growth in the economy is in direct correlation with the infrastructure for business, which is a trend that investors shouldn't miss.

If you're interested in exploring the high-potential opportunities for commercial investment located in Gurgaon, TrueAssets Consultancy can assist you in identifying opportunities that are in line with your objectives and will maximise your return.

FAQs

Are commercial properties located in Gurgaon more risky than homes?

Not necessarily. When you lease long-term and have commercial tenants, commercial properties are more stable in comparison to rental homes.

What is the ROI I get from a commercial property located in Gurgaon?

Based on the location and type, you can anticipate an annual yield of 6 to 10, which is usually higher than that for the returns on residential investment.

What kind of commercial properties work best?

High-street retailers, as well as property in mixed-use developments, are doing exceptionally well.

Do I need to have a more substantial budget to invest in commercial projects?

Although ticket prices are typically greater, there are smaller retail stores and office shared spaces, making commercial investment easier to access.