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      From Green Buildings to Growing Returns: The Rise of Sustainable Commercial Real Estate

      By SQUAREA Knowledge Hub

      Published: April 30, 2025

      Over 195,000 buildings worldwide are now LEED-certified commercial spaces – a clear signal that sustainable real estate is no longer just an industry buzzword but the future of commercial real estate (U.S. Green Building Council). Investors and businesses are rapidly shifting towards green buildings, recognising that they offer not just environmental benefits but also superior financial returns.

      With the global push for sustainability reshaping commercial spaces, India is emerging as a key market aligning with these trends. As investors and occupiers prioritise carbon-positive buildings, the focus is shifting from why sustainability matters to how it can drive long-term value. At the heart of this transformation lies a globally recognised benchmark—LEED certification. It is often the first step in signalling a building’s commitment to environmental performance and future readiness.

      What is a LEED Certification and Why it Matters

      LEED (Leadership in Energy and Environmental Design) is one of the most recognised global certification systems for eco-friendly spaces and sustainable buildings. It evaluates properties based on energy efficiency, water conservation, indoor air quality, and overall environmental impact

      In India, over 13.26 billion sq ft of commercial space is now classified as green real estate, placing the country among the global leaders in sustainable construction (Indian Green Building Council). LEED-certified buildings are proving to be a key differentiator in the market, offering:

      • Lower operational costs through reduced energy and water consumption
      • Healthier work environments with better air quality and ventilation
      • Higher asset value as demand for green-certified properties grows
      • Stronger investor and tenant preference, with corporate occupiers prioritising sustainability in leasing decisions

      However, while LEED ensures a building meets sustainability benchmarks, investors are now taking a more comprehensive approach by evaluating assets through the lens of ESG principles. Let’s take a closer look at the ESG-driven real estate investment trends.

      ESG: The New Standard in Real Estate Investment

      ESG, short for Environmental, Social and Governance is fast becoming a key metric in real estate investment decisions. Beyond certifications, investors now assess real estate sustainability, long-term operating costs, resilience, and governance frameworks before allocating capital. A recent global survey found that 70% of investors have already adopted ESG criteria in their decision-making, with another 10% planning to do so in the next three to five years (Knight Frank). This shift is driving capital towards ESG-aligned assets, which are increasingly commanding premium valuations.

      The Global Shift Toward Sustainable Development and Its Impact on India

      Major global investment firms are rapidly integrating sustainability and eco-conscious practices into their real estate portfolios. For example:

      The green commercial architecture transition is not just limited to individual buildings but is reshaping large-scale developments, including IT parks and business districts. Several large-scale IT parks and business hubs are incorporating ESG-led designs, offering cutting-edge features that redefine the workspace experience. This momentum is pushing Indian developers to align with international standards, resulting in a new wave of sustainable commercial spaces.

      India’s Expanding Green Commercial Footprint

      India’s commercial real estate sector is already witnessing an accelerated push towards sustainable development. According to Bain & Co, 90% of India-bound investments in the next five years will be influenced by ESG considerations. Moreover, ESG-focused funds in India saw a 76% jump in inflows in FY 2020–21, reaching ₹3,686 crore from ₹2,094 crore the previous year.

      Some notable projects include:

      • Mindspace Business Parks (K Raheja Corp): LEED Gold-certified commercial hubs across Mumbai, Pune, Hyderabad, and Chennai.
      • Surat Diamond Bourse (Gujarat): Achieved IGBC Platinum certification, setting new sustainability benchmarks.
      • DLF, L&T Realty, Tata Housing: Actively integrating green building frameworks into their commercial developments.

      With regulatory backing, rising corporate demand, and investor preference, India’s green commercial real estate market is expected to grow exponentially.

      Defining Features of India’s Sustainable Commercial Spaces

      As Indian developers shift towards green building technology, key sustainability features in new commercial developments include:

      • Smartscape Design: Maximising space efficiency and natural airflow.
      • Greentech Integration: Automated lighting, smart meters, and energy-efficient HVAC systems.
      • Resilient Structures: Buildings designed to withstand climate risks, ensuring operational continuity.
      • Biophilic Design: Incorporating natural elements like greenery, daylight access, and better ventilation.
      • Net-Zero Developments: New-age projects focusing on balanced carbon output and self-sufficiency.
      • Waste Management & Water Conservation: Advanced recycling systems, rainwater harvesting, and wastewater reuse solutions.

      How Sustainable Commercial Real Estate Outperforms Traditional Spaces

      The advantages of sustainable commercial properties extend beyond energy-efficient skyscrapers, they also drive long-term profitability.

      A key distinction on how green buildings drive profits compared to traditional commercial spaces includes:

      Feature Traditional Commercial Real Estate Sustainable Commercial Real Estate
      Energy Consumption High 20-50% lower
      Operational Costs Expensive maintenance Reduced costs due to efficient systems
      Tenant Demand Standard leasing demand High preference from MNCs, startups, and tech firms
      Regulatory Compliance Subject to evolving norms Already aligned with global ESG and green building standards

      Why Investing in Sustainable Commercial Real Estate Now Is a Smart Move

      Sustainability in commercial real estate is no longer just about environmental responsibility, it is a financially sound investment strategy. Green-certified and ESG-aligned properties offer:

      • Higher occupancy rates and tenant retention due to growing demand for sustainable workspaces
      • Lower operational expenses from energy-efficient and resource-optimised designs.
      • Premium asset valuation and marketability, attracting global investors.
      • Future-proof investments with compliance to evolving ESG and regulatory norms.

      At SQUAREA, we connect investors with commercial spaces designed for the future which are sustainable, high-performing, and investment-worthy. Whether you’re looking for LEED-certified properties, net-zero developments, or ESG-compliant assets, our team of dedicated experts can help you secure opportunities that deliver both impact and income.

      Let’s shape a greener, more profitable real estate landscape together!


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      30 April 2025
      Branded Residences in Emerging Markets: Is India Ready for a Luxury Real Estate Boom?

      India’s luxury residential market is undergoing a quiet transformation. Beyond aesthetics and prime addresses, homebuyers today are placing increasing value on identity, trust, and differentiated experiences. This shift is opening up space for branded residences, homes developed in collaboration with global names in hospitality, fashion, and design.

      Branded residences are beginning to resonate with a growing base of affluent buyers who seek more than conventional luxury. As expectations evolve and emerging markets gain prominence, these projects are steadily making their way into mainstream investment conversations.

      The question now is whether India’s evolving market conditions can support a larger branded residential footprint? The answer lies in the numbers, the evolving buyer mindset, and the cities reshaping the future of premium living.

      India’s Accelerating Luxury Real Estate Market

      To understand the rise of branded residences, we must first look at the overall trajectory of the luxury residential market. According to Mordor Intelligence, India’s luxury residential real estate market is expected to grow from USD 44.11 billion in 2025 to USD 118.30 billion by 2030, at a CAGR of 21.81% during this period.

      This growth isn’t just about market size, it reflects a steady shift in buyer confidence. India’s expanding economy, rising incomes, and greater financial awareness are contributing to stronger demand in the premium housing segment. Luxury today is no longer limited to inherited wealth. Luxury buyers include first-generation entrepreneurs, professionals, and investors who are more attuned to global design, service, and lifestyle benchmarks. As this base grows, so does interest in luxury real estate and branded residences.

      Luxury Home Sales and the Shift Towards Branded Living

      The appetite for homeownership, particularly in the upper-mid and luxury categories, has seen a remarkable shift. In 2024, India witnessed record-high residential sales of 302,867 units, an 11% year-on-year increase. Average annual sales during 2022–2024 surpassed pre-pandemic (2010–2019) averages by 63%, underscoring a permanent behavioural change in the housing market (JLL).

      Bengaluru, Mumbai, and Pune led the market, accounting for 62% of annual sales across the top seven cities. This performance highlights not just volume, but rising confidence in premium segments, even amid sustained price appreciation.

      As more buyers prioritise design, privacy, and service-backed living, the jump to branded residences becomes a natural progression. The growing comfort with premium pricing is further opening the door for branded residences.

      Branded Living: Why It’s More Than Just a Name

      This surge in luxury demand isn’t just about size or square footage. Today’s affluent homebuyer seeks experiences that blend design, service, and investment value. Branded residences deliver on all three fronts, offering globally curated aesthetics, hospitality-grade amenities, and the trust that comes with established names.

      For developers, these partnerships elevate brand equity and differentiation. For buyers, they provide:

      • Assurance of quality and service
      • Global design and lifestyle sensibilities
      • Limited inventory and curated communities
      • Stronger resale value and long-term asset credibility

      As demand shifts toward long-term liveability and legacy asset creation, branded residences are emerging as a new language of premium real estate. This shift is being strongly reinforced by one of the most significant drivers of change in Indian real estate, the expansion of individual wealth.

      India’s Growing Wealth Base and the Future of Branded Real Estate

      The demand for branded residences is closely tied to the rise of India’s affluent population. According to the Knight Frank Wealth Report 2024, the number of ultra-high-net-worth individuals (UHNIs), those with a net worth of USD 30 million or more, is projected to grow by 50%, reaching nearly 20,000 individuals by 2028 (Knight Frank). For this segment, real estate is not merely a purchase, it’s a portfolio decision. A branded residence appeals because it combines three key dimensions that they increasingly prioritise:

      • Trust in global names
      • A consistent experience standard
      • Future asset appreciation

      This shift is further reinforced by projections from NAREDCO and Housing.com, which estimate that India’s branded residences segment will touch USD 5 billion by 2025 (NAREDCO). The segment’s expansion has been driven not just by rising disposable incomes but by the growing aspirational appeal of globally branded homes, offering a combination of design, trust, and legacy that traditional luxury formats often lack. Notably, this demand is no longer limited to metro cities alone, with emerging markets steadily becoming hotspots for brand-aligned living.

      Why Emerging Markets Are Now in Focus

      While Mumbai and Delhi continue to dominate luxury headlines, it is India’s emerging markets that are fuelling the next wave of growth. Cities like Pune, Hyderabad, and Ahmedabad are now delivering luxury at global standards, with the infrastructure, talent density, and buyer profiles to support it.

      Pune, in particular, has become a hub for branded homes. Projects such as Trump Towers Pune, YOO Pune, YOO Villas, and FashionTV-branded residences have already proven the city’s readiness for design-led global partnerships. With improved connectivity, rising launch volumes, and a more discerning luxury buyer base, cities like Pune are offering the perfect intersection of aspiration and affordability.

      India’s luxury real estate story is entering a new phase, defined by maturity, investor confidence, and global alignment. And as India continues to grow in affluence and urban sophistication, branded residences are set to become a defining feature of the next wave of luxury living.

      At SQUAREA, we specialise in helping investors and end-users access India’s most iconic branded residences. Whether you’re seeking a globally designed home, a strategic long-term asset, or a lifestyle that reflects your achievements, our team is here to guide you with detailed market insights. You can connect with us at hello@squarea.io or call +91 90 9641 9641 to explore exclusive opportunities in India’s evolving luxury real estate landscape.

      30 April 2025
      Beyond the Brand Name: What Makes a Branded Residence Truly Worth the Investment?

      The luxury real estate market is evolving, and at its forefront is the rise of branded residences. These sought-after properties are developed in collaboration with global names in hospitality, fashion, and design. Making these homes go beyond architecture and amenities, they offer a lifestyle, a legacy, and a distinct identity.

      Initially a niche concept, branded residences have now moved into the mainstream. According to Savills, the number of such developments has increased by over 150%, with approximately 700 completed projects worldwide and an additional 600 in the pipeline expected by 2030.

      This momentum isn’t limited to traditional luxury markets. Buyers in emerging economies are also drawn to the assurance of quality and global recognition. And with Knight Frank forecasting 12% annual growth through 2026, it’s clear that branded residences are gaining lasting traction. As the category matures, it’s important to understand what truly sets branded residences apart from conventional luxury homes.

      Distinctive Features of Branded Residences: Value Beyond the Brand

      While the brand name lends immediate appeal, what truly justifies the premium that investors pay for these residences is the end-to-end value delivered throughout the ownership lifecycle. Differentiating factors like these add to the long-term value of branded residences:

      • Brand Association: Affiliation with globally recognised names such as Four Seasons, Aman, Armani, or Versace enhances a property’s appeal, assuring buyers of design excellence, service consistency, and long-term value.
      • Design Excellence: These residences often feature bespoke designs that reflect the brand's ethos, offering a unique aesthetic experience.
      • Premium Amenities: Residents enjoy access to exclusive facilities such as concierge services, wellness centers, and private clubs, elevating the living experience.
      • Professional Management: Ongoing maintenance and service standards are upheld by the brand, ensuring long-term value retention.
      • Global Brand Benefits: Many branded residences come with loyalty perks or special access to other properties by the same brand, adding extra value for frequent global travellers.
      • Legacy Appeal: Buyers often see these homes as long-term family assets, properties they can pass down, making them more emotionally valuable and less likely to be sold quickly in downturns

      These elements collectively contribute to the allure of branded residences, making them a preferred choice for discerning end-use buyers and investors.

      Investment Perspective: Branded vs. Non-Branded Luxury Homes

      From an investment standpoint, branded residences often outperform their non-branded counterparts. On average, branded residences command a 30% premium over similar non-branded properties (Savills). In emerging markets, this premium can be even higher. For instance, in certain regions, branded residences have achieved premiums of up to 54% compared to non-branded developments (Savills).

      Beyond initial pricing, branded residences tend to offer:

      • Higher Resale Values: The brand's reputation can lead to increased demand in the secondary market.
      • Stronger Rental Yields: TProperties managed by reputable brands often attract premium tenants willing to pay higher rents for quality and service.
      • Lower Vacancy Rates: The comprehensive amenities and services reduce turnover and maintain consistent occupancy.

      These factors make branded residences a compelling option for investors seeking both capital appreciation and steady income streams. As global investors recognise these advantages, India’s luxury buyers are also moving in a similar direction.

      India's Embrace of Branded Residences

      India’s growing base of high-net-worth individuals, rising disposable incomes, and a younger, globally aware population are reshaping the demand for luxury real estate. Branded residences are increasingly favoured by this new-age buyer, not just for their exclusivity but for the trust and lifestyle assurance that global brands bring. This paradigm shift has resulted in cities like Mumbai, Pune, Delhi NCR, and Bengaluru to witness a steady rise in such developments. Pune, in particular, is emerging as a hotspot for branded residences. Developments like YOO Pune by Philippe Starck, YOO Villas and Trump Towers Pune exemplify the city's potential to host world-class luxury projects. These residences offer opulent living spaces along with a lifestyle aligned with global standards.

      Branded residences go beyond the name on the façade. They blend thoughtful design, five-star service, and long-term value into one cohesive offering, making them far more than luxury addresses. For today’s buyers they represent a rare combination of lifestyle enhancement and investment clarity. It’s this duality that sets them apart.

      At SQUAREA, we believe that investing in a branded residence is not just about owning a prestigious home, it’s about making a strategic choice that aligns with your aspirations and lifestyle. Our team offers tailored insights and access to India’s most exclusive branded residences, helping you move beyond the brand name and into a truly meaningful investment. For personalised assistance, reach out to us at hello@squarea.io or call +91 90 9641 9641. Let's explore the possibilities together!

      30 April 2025
      Commercial Real Estate in Pune: Key Areas and Market Trends to Watch in 2025

      Once known primarily for its academic institutions and automotive base, Pune has steadily transformed into one of India’s most active and tightly held commercial real estate markets. This evolution has been shaped by the city’s expanding tech ecosystem, the rise of Global Capability Centres (GCCs), and growing interest from multinational occupiers across sectors like IT, BFSI, and consulting.

      In terms of performance, Pune has consistently outpaced peer markets on office space absorption, rental stability, and institutional-grade development. And in 2025, with over 10 million sq. ft of new Grade-A supply in the pipeline, it is not just maintaining investor confidence, it is actively shaping the next phase of growth among India’s Tier 1 commercial corridors (Cushman Wakefield).

      Where is this growth concentrated, and what are the key trends driving it? Here’s a closer look at Pune’s core investment zones and evolving market dynamics that provide the answers.

      Key Investment Areas in Pune’s Commercial Real Estate Market

      Commercial demand in Pune is concentrated across select micro-markets that offer the right combination of location advantage, infrastructure readiness, and premium-grade supply. These include both well-established and emerging micro-markets.

      Secondary Business District East (Kharadi, Viman Nagar, Yerwada, Kalyani Nagar)

      SBD East continues to dominate Pune’s commercial landscape, accounting for the highest net absorption in Q1 2025 at 1.12 million sq. ft. It also accounted for 45% of all leasing activity in Pune, supported by strong early bookings and large office deals from BFSI and flexible workspace companies. Despite robust new completions of around 1.65 million sq. ft, rentals held steady at an average of ₹98.84 per sq. ft/month, reflecting healthy demand. The area remains attractive due to its proximity to Pune Airport, established residential catchments, and connectivity to CBD zones. (Cushman Wakefield)

      Where is this growth concentrated, and what are the key trends driving it? Here’s a closer look at Pune’s core investment zones and evolving market dynamics that provide the answers.

      Key Investment Areas in Pune’s Commercial Real Estate Market

      Commercial demand in Pune is concentrated across select micro-markets that offer the right combination of location advantage, infrastructure readiness, and premium-grade supply. These include both well-established and emerging micro-markets.

      Secondary Business District East (Kharadi, Viman Nagar, Yerwada, Kalyani Nagar)

      SBD East continues to dominate Pune’s commercial landscape, accounting for the highest net absorption in Q1 2025 at 1.12 million sq. ft. It also accounted for 45% of all leasing activity in Pune, supported by strong early bookings and large office deals from BFSI and flexible workspace companies. Despite robust new completions of around 1.65 million sq. ft, rentals held steady at an average of ₹98.84 per sq. ft/month, reflecting healthy demand. The area remains attractive due to its proximity to Pune Airport, established residential catchments, and connectivity to CBD zones. (Cushman Wakefield)

      Central Business District (Bund Garden, Koregaon Park, Camp)

      The Central Business District accounted for approximately 9% of Pune’s leasing activity in Q1 2025, with net absorption of around 0.23 million sq. ft. Although vacancy levels are higher here at 21.5%, the area remains relevant for corporates preferring centralised locations. The CBD continues to attract corporates and flexible workspaces looking for premium addresses. (Cushman Wakefield)

      Peripheral Business District West (Hinjewadi, Baner, Wakad)

      Home to Rajiv Gandhi Infotech Park and large Special Economic Zones (SEZs), PBD West remains Pune’s core tech employment belt. Known for scalability and affordability, it’s also a rising zone for coworking, GCCs, and high-spec business parks such as Blue Ridge SEZ.

      Emerging Nodes (Pimpri-Chinchwad, Hadapsar, Balewadi)

      Locations like Pimpri-Chinchwad, Hadapsar, Mundhwa, and Balewadi are gaining ground among startups and investors looking for smaller-format leased spaces. Developments like Kohinoor World Towers in Pimpri-Chinchwad, Amar Pristine 81 in Mundhwa, are attracting both occupiers and individual investors for their competitive pricing. These nodes combine modern infrastructure with competitive pricing and are increasingly being viewed as Pune’s next wave of commercial growth.

      Together, Pune’s micro-markets offer a well-balanced ecosystem, ranging from high-yield institutional corridors in the east to tech-driven expansion zones in the west, and emerging nodes primed for future growth. This spatial differentiation is a key reason why Pune continues to outperform in both leasing velocity and absorption volumes. The strength of these zones is backed by data from 2024 and Q1 2025, Pune has recorded historic highs in new supply, absorption, and occupier activity across segments. These market metrics reinforce Pune’s stature as one of India’s most resilient and investment-worthy commercial hubs.

      Pune’s Commercial Office Market Performance: Key Trends from 2024-2025

      According to Knight Frank India, Pune witnessed a 19% growth in office leasing in 2024, with activity totalling 8 million sq. ft, reflecting broad-based tenant expansion across IT, BFSI, and coworking sectors (TOI). In Q1 2025, the momentum further accelerated. Pune added a record 3.2 million sq. ft of new Grade-A office supply, a 90% increase over the previous year. While this did push the vacancy rate to 11.23%, the city remains India’s second-tightest office market, behind Bengaluru (Cushman Wakefield). This strong absorption, diversified demand, and influx of global-grade assets paint a clear picture of where Pune is headed.

      What Lies Ahead: Pune’s Commercial Outlook for 2025 and Beyond

      With 10 million sq. ft of new space expected in 2025 and 11 million in 2026, Pune is entering a growth phase led by institutional developers and occupier-led demand. Notably, Trump World Center, a 1.6 million sq. ft branded commercial project, is now under development, offering both strata and leased office space. This marks the entry of international branding into Pune’s commercial skyline and highlights growing investor sophistication (TOI).

      What makes Pune stand out is its balance of fundamentals:

      • Lower entry prices than Mumbai or Bengaluru
      • Consistent rental yields across SBD and PBD corridors
      • Diverse tenant base, including IT, BFSI, and GCCs

      At SQUAREA, we help investors capitalise on Pune’s accelerating commercial real estate cycle. Whether you're looking to acquire income-generating leased assets, explore premium office investments, or enter future-ready growth corridors like SBD East or PBD West, our team offers unmatched access and strategic insights. You can reach out to us at hello@squarea.io or call us on +91 90 9641 9641.