Developers’ housing focus deepens office space shortage: Knight Frank | Industry News

India’s top developers are prioritising residential projects over commercial developments such as office and retail projects, with several firms eyeing higher margins and quicker returns from the housing segment, according to a report by real estate consultancy Knight Frank and the Confederation of Indian Industry (CII).

“Across India’s prime micro-markets, residential capital values per square foot (PSF) have significantly outpaced those of comparable commercial projects, sometimes by more than two to three times,” the report stated.

This growing valuation arbitrage has made residential developments more attractive on a pure return-on-investment basis.

“Developers, particularly those with limited capital or a higher