Grade A offices of about 120 million sq ft can be refurbished in top six cities: Report

NEW DELHI: Grade A office buildings of about 120 million sq ft, which is more than 15 years old, can be refurbished in top six cities (Bengaluru, Chennai, Delhi-NCR, Hyderabad, Mumbai, Pune), according to a recent report by Colliers.

“The cost of conducting due diligence of a property is less than 0.3% of the project cost. As developers and investors venture into new geographies and asset classes, Due Diligence can help them risk-proof their prospective projects,” said Jatin Shah, managing director, Technical Due Diligence, Colliers India.

Real estate due diligence can capture a slice of the 300 million sq ft pie of existing and upcoming commercial office buildings. The top six cities are seeing a strong pipeline of office buildings in the next 2-3 years, with about 180 million sq ft of Grade A office stock in various stages of construction.

The report, in detail, showcases how due diligence can help various stakeholders take precautions to safeguard their investments.

Upgrading old office buildings will help in gaining more traction from occupiers, increase the value of the building with increased building longevity, according to Shah.