Tag: Crisil Ratings

CommercialLatest Stories

Pune Office Leasing Declines, Rents Rise Amid Supply Shortage

PUNE: Demand for office space in Pune saw a decline in the first quarter (January-March) of 2026, with net absorption dropping to 1.1 million sq. ft. from 2 million sq. ft. in the same period last year, according to Anarock data. Experts believe this decrease stems from the strong leasing activity in 2025, rather than a structural slowdown. P. Vilas, head of operations at Knight Frank India’s Pune branch, mentioned that although leasing has slowed down, Global Capability Centers (GCCs) still play a significant role in driving demand, accounting for 55% of Pune’s office market, well above the 47% average…

CommercialLatest Stories

Grade-A office vacancy could drop 50 bps this fiscal: Crisil

NEW DELHI: Vacancy rates in India’s Grade A commercial office space are projected to decrease by approximately 50 basis points, landing between 15.5% to 16% by the end of the current fiscal year, as forecasted by Crisil Ratings. This reduction is anticipated to stem from robust net leasing growth and the completion of ongoing projects. Notably, vacancy rates have consistently dropped by around 50 basis points annually over the past two fiscal years. Net leasing is expected to rise by 6-7% this fiscal, largely driven by flexible workspace operators responding to increased occupier demand. Additionally, global capability centres are predicted…

CommercialLatest Stories

Crisil Forecasts 16-18% Growth in Flexible Workspace by FY28

NEW DELHI: India’s flexible workspace sector is projected to see a capacity increase of 16-18% in FY27 and FY28, reaching 140-145 million sq ft, as reported by Crisil Ratings. This segment has experienced significant growth over the past three financial years (FY24-FY26), fueled by rising demand from small to mid-sized global capability centers (GCCs), domestic companies, and startups. The market share of flexible workspace operators in net absorption rose from 14-15% in FY24 to around 20% in FY26, with expectations to hit 25% in the next two fiscal years. The report estimates that operators will add 15-20 million sq ft…

Latest StoriesResidential

Crisil: FY27 Housing Sales Growth to Slow to 4-6% Amid High Prices

NEW DELHI: Crisil Ratings predicts that residential real estate sales growth will moderate to 4–6% in FY27, following a robust post-pandemic surge, as rising property prices affect demand. After achieving a compound annual growth rate of 26% in sales value from FY22 to FY25, growth is projected to slow to 5-7% for FY26. Gautam Shahi, director at Crisil, remarked, “The ongoing rise in housing prices is likely to lead to stagnant demand growth of 0–2% in FY27, despite supply continuing to outpace demand.” Inventory levels are anticipated to increase to 3.2–3.4 years in FY27, compared to under three years in…

IndustryLatest Stories

Crisil: REIT Gross Asset Value to Surge 35-40% This Fiscal

NEW DELHI: According to Crisil Ratings, the gross asset value (GAV) of domestic real estate investment trusts (REITs) is projected to rise by 35-40% by the end of fiscal 2027, up from September 2025, driven by new asset additions and the introduction of another REIT. Stable rental income growth, along with diversification and regulated leverage, will support steady credit profiles. REITs generally grow their asset base either through the development of new projects—limited to 20% by regulations—or by acquiring existing operational assets. Gautam Shahi, director of the firm, stated, “Currently, under-construction assets make up just 5% of total GAV for…