The retail realty sector in India is closely tied with the retail industry. India, being the fifth largest destination in terms of retail markets in the world, naturally has a strong realty market for retail as well. With continuous growth registered by the e-commerce market and robust investments in the retail sector, the Indian retail realty market is expected to grow widely in the coming years too.
Why is investing in commercial shops a good option?
In the real estate market, buying a residential property that is to be self-occupied is not as much of an investment. However, investing in a second property (with a motive to earn from it), commercial spaces, or retail realty spaces can fetch you great returns on your investment.
Now, while individuals with high net-worth may be able to invest in more than one residential property and consider their capital gains, other investors might find property investments that yield a steady income to be more lucrative.
Recently, with growing demands for commercial spaces across big cities like Noida and Gurgaon, investing in commercial spaces has become a preferable option. However, not all investments in commercial spaces have to be plush. For people who find big commercial projects a little too expensive, shops and retail spaces make for an appropriate investment option.
Given the economic and demographic strengths, the retail market presents a better picture in big cities than it does in the smaller ones. That being said, for someone wanting to earn some good money, by investing in commercial shops for sale in Noida or in any other metropolitan, makes complete sense.
Things to consider when investing in shops or retail spaces
Innovative spaces – Innovative spaces are quite the rage at present in the real estate market in India. Mixed-use projects are also among such developments that are the outcome of innovation. These projects offer a mixture of residential, commercial, and retail spaces all at one place. Mixed-use projects have earned a good name in rapidly developing cities, so if you are interested in buying shops in Noida, this would be a good place to start.
Ownership model – Generally, for investors who do not want to throw all their money into one single project, or those who don’t have enough capital for a big-sized project, a strata-sale model works out well. Here, developers sell out unit shops independently to buyers and investors. Investors will be free to find tenants without any obligation of the developer.
Other than the above, if you choose to buy a shop in Noida with a purpose to set up business there, don’t forget to do your market research, as this will give you an idea about the type of retail that will fetch you good returns. For instance, in case of mixed-use projects, shops dealing in food and beverage, stationary, flowers, and medicines have been observed to do well.