Work from home culture may mute demand for office space: Ind-Ra study

Commercial real estate to show a stable performance in financial year, says report

Demand for office space may not increase due to the "long-term impact" of people working from their homes in the coronavirus pandemic, said a report by India Ratings and Research (Ind-Ra) on Wednesday.

The report expected commercial real estate to show a stable performance in financial year 2021-22 (FY22). “Office space providers with mature, let-out portfolios are likely to see steady rent collections and few defaults on lease terms. The situation of retail space providers is gradually improving from a low base, and Ind-Ra expects normalisation of the business over the next 12 months.”

A double-digit growth in India’s GDP in FY22