Construction Industry News
UrbanWrk has recently opened its latest center at Raheja Mindspace in Hi-Tech City, Hyderabad. Spanning an impressive 50,000 sq-ft, this state-of-the-art workspace can accommodate up to 900 seats. The initiative is geared towards catering to a broad spectrum of enterprises with employee strengths ranging from 50 to 500.
In alignment with UrbanWrk’s established reputation, this new center underscores the company’s dedication to delivering flexible workspaces that cater to the evolving requirements of modern businesses and professionals.
The design embodies a sophisticated minimalism, prioritizing functionality and elegance. Upon entering, the ceiling serves as a clear guide to the lounge’s distinct sections, with wooden rafters integrated with lighting providing efficient pathways to the pantry, café, and games area. The flooring is intentionally understated to maintain a focus on the ceiling’s detailed architecture. A cohesive palette of muted tones is employed for the materials and upholstery, reflecting a professional and polished atmosphere. The placement of columns along the corridor is complemented by corner art frames, facilitating a streamlined flow and allowing viewers to engage with the artwork in an organized manner, enhancing the overall corporate ambiance of the space.
Given the market trends and the prospects of entrepreneurial growth in Hyderabad, this workspace indicates UrbanWrk’s forward-thinking approach. As of 2023, Hyderabad’s flexi space market accounted for 6% of the total flexible office domain penetration in India. Further, according to an industry report, the Indian flex space market is expected to reach the 80 million square feet mark by 2026. Thus in the next two years, this segment of the office real estate market would represent a whopping 9-10% of the entire Grade A office stock in the country. The location of this project has been given a strategic thought as it targets a major Secondary Business District (SBD) of the region. It is worth noting that SBDs account for a major chunk of the country’s flex space needs, given their connectivity facilities, proximity to residential areas, and the potential for expanding physical and social infrastructure.
According to the Avendus’s latest report, Hyderabad seamlessly emerges as a thriving hub for flexible workspace solutions, surpassing global counterparts with a net absorption rate of 59.1% from 2015 to Q4 2023. Office rentals in the city have grown at 5% YoY since 2015, remaining competitively priced compared to global markets. Bengaluru and Hyderabad, leading IT hubs, constituted 75% of offices leased by GCCs in 2022, highlighting their global tech prominence.
Hyderabad’s flex workspace demand surged from 22% of total leased seats in 2020-2022 to 8% by 2023, increasing from 35,500 seats in 2020 to 1,67,700 in 2023. Hyderabad’s flexi space penetration rate is at 6.2%, indicating significant growth potential. Grade A office stock stands at 122+ million sqft, with net absorption rising from 0.9 million sq.ft in Q1 2020 to 2.8 million sq.ft in Q4 2023.
The main demand drivers include the tech sector (45%), BFSI (15%), and flex spaces (10%), under scoring Hyderabad’s diverse industry landscape. With increasing start-up activity and a robust tech ecosystem, Hyderabad’s flexi workspace industry is set for continued growth.
Anuj Munot, co-founder and CEO, UrbanWrk, said, “We are pleased to bring UrbanWrk’s distinctive blend of agile workspace and community spirit to Hyderabad with the launch of our center at Raheja Mindspace. This world-class workspace will become an ideal location for professionals and businesses alike who are in search of a dynamic and adaptable environment. We have left no stone unturned to ensure that the infrastructure is equipped with all the amenities needed to run a modern enterprise. As one of the prominent tech hubs, Hyderabad’s growth is likely to be on the rise, in turn accelerating the demand for flexi space, especially from multinational companies. We look forward to riding this growth wave.”
