A recent real estate report showed that as the COVID numbers fell, interest in Coworking spaces grew. Delhi NCR was one of the main cities where this trend has been noted.
According to a recent real estate report the gross absorption of office space in the third quarter of 2020 stood at 3.6 million square feet and grew to 4.7 million square feet within a year. It’s been growing ever since and from small start-ups to established multinationals, everyone is weighing the pros and cons of leasing desk space vs an entire office. Let’s take a look at some of the factors contributing to this growing demand for Coworking in Delhi.
4 Reasons Why Demand For Coworking Spaces Continues To Grow In Delhi-NCR
Delhi NCR Is India’s Startup Capital
The entrepreneurial spirit is booming in India and there are over 61,400 recognized startups. Of these, over 5000 startups were founded in Delhi NCR between April 2019 and December 2021. Some of the most well-known Indian startups like Zomato, Swiggy, Paytm and Policybazaar are headquartered in Delhi NCR. With the government pushing a ‘Make in India’ philosophy, the number of startups in India will only continue to increase.
A tight budget is a factor common to most startups. Irrespective of the number of investors an entrepreneur may have, startups are constantly looking for ways to lower their operational costs. Leasing out independent offices is often out of the question.
But, by choosing a Coworking office space in Delhi, they can give their team a professional space to work out of at an affordable cost. The ability to lease out individual desks also makes Coworking spaces ideal for startups with growing teams.
High Rental Cost For Office Space In Delhi
Delhi is among the most expensive cities in India to rent an office. Surprisingly, an office in Connaught Place is more expensive than having an office in San Francisco!
It’s not just startups that can no longer afford offices in Delhi’s Central Business District or Secondary Business Districts but larger firms too are having to rethink and prioritize their expenditures. At the same time, as any entrepreneur will attest, the address on a visiting card does influence the value of a business.
Coworking in NCR seems the ideal solution to this issue. The cost of leasing out a desk at a Coworking unit in Noida, Gurgaon, Saket or Mohan Cooperative Area, etc. is quite budget-friendly. Another reason for the growing Coworking space demand in these areas is because Coworking offices are more likely to be on main roads and accessible from metro stations. Even if an entrepreneur could afford an office in Saket, it would probably be on a side road and parking may be a problem. Thus, startups are more likely to make a favourable impression on clients visiting them in a Coworking space.
Delhi Was Badly Hit By COVID And Companies Are Shifting To A Hybrid Work Arrangement
While COVID has affected every part of the country, Delhi NCR was one of the worst-hit. While a lot was written in newspapers about personal losses, businesses faced tough times too. The lockdown made everyone rethink the way they operated as well as operational costs. Work from home proved a good stop-gap arrangement but not a feasible long-term solution. A growing number of companies are moving towards adopting a hybrid work arrangement. This allows only those employees who have critical work in the office to come in. Everyone else can continue to work remotely from satellite offices. A Coworking space in Delhi is ideal for such arrangements.
Flexibility is one of the biggest drivers of Coworking space demand in light of hybrid work arrangements. Companies can choose to rent a workspace for as few as a couple of hours or as long as they need. They can rent out a single desk or ten. Thus, there’s adequate space for everyone on the team.
Commuting Is Difficult And Coworking Helps Retain Talent
When it comes to commuting in Delhi, the traffic is notorious. Traveling by the Metro is a better idea but during peak office hours, finding a foothold can be a challenge. With COVID still around, there’s also a safety aspect that makes people hesitate before getting onto the Metro. As a result, when people look for jobs in Delhi, they tend to look for offices in the vicinity of their homes. For a business, this limits the talent available.
A Coworking space can help overcome this challenge. An organization could have a Shared office space in Saket and a Coworking space in Noida. Thus, employees no longer need to commute across the city. They can log in to their computers at the closest Coworking space. Companies are finding that this system makes their hiring process easier and lowers attrition rates.
The above points clearly illustrate why co working space is in demand in Delhi. If you’re looking for a Coworking space for your company, take a look at the locations and services offered by The Office Pass (TOP). All Coworking spaces are equipped with ergonomic furniture, air conditioning and a range of facilities to keep you comfortable. Choose between Coworking spaces in Delhi, Noida and Gurgaon and experience the benefits for yourself. To know more reach out to us at 08999 828282.
