Why Employers Prefer Noida To Gurgaon

Noida and Greater Noida is attracting attention of office space occupiers. Both the micro-markets are witnessing expansion in terms of office spaces. The two areas are on the growth path and struggling with problems such as connectivity issues and uninterrupted power supply. But despite these, the two markets are garnering interest.  The rentals in Noida are lower than Gurugram. This is one of the main reasons that attracts IT companies.

Recently, 3 Pillar Global, a USA-based IT company planned to expand its offices in Noida from 300 to 450 seats over the coming one year. “Noida is convenient for us. Being a relatively new company, we keep our costs low and in Noida, we get good talent and adequate space to do our work. We are looking at a 50 per cent increase in the workforce over the next 12 months, all in Noida,” Maria C Izurieta, CFO, 3 Pillar Global, told Times of India.

Also, both markets are witnessing new infrastructural projects that will boost the demand for commercial as well as the housing sector.

Infrastructural projects coming up in Gurugram

The new super expressway will take you from Gurugarm to Jaipur in around 120 minutes.

Palwal-Manesar E-Way is a 53-kilometr long expressway that will decongest NCR.

Work amounting to Rs 900 crore has been initiated on the National Highway-8 to ease traffic.

The government got 12 new National Highways approved in the State.

Infrastructural Projects Coming Up in Noida

Faridabad-Noida-Ghaziabad Expressway will boost connectivity.

Elevated Roads will connect various sectors of Noida to the city center of Noida.

Metro corridors will come up in Greater Noida.

The city would see its first tram service.

Noida more accessible?

Although both the markets are witnessing new infrastructural projects. Let's see what makes Noida more accessible for office buyers than Gurugram.

Comparatively low prices

The first one in the list is the comparatively low prices. As per analysts, although prices in Noida and Greater Noida have increased over the past two years and the rates vary within the range of Rs 50 and Rs 55 per sq ft in Noida and Greater Noida, rental rates in Gurugram varies within the range of Rs 70 to Rs 75 per sq ft. This helps companies to save around Rs 20 per sq ft.

The cost of living is low in Noida. This reduces the cost of talent in Noida. As a result, the market is preferred among office space occupiers.

Also read: Here's Why Greater Noida West Is A Promising Real Estate Hub

Availability of inventory

The second reason in the list is that Noida has large availability of inventory. The city has ample space unlike Gurugram which is about to reach its saturation point. The city has a good supply of office spaces. As per the leading real estate consultancy, the period ranging from October-November-December 2016, has seen office space absorption of around 4, 50,000 sq ft. Along with this, approximately 3,50,000 sq ft of office space absorption took place and that too in the period varying from January-February 2017.

Proximity to Metro stations

The third one in the list is the proximity of the two cities to Metro stations. Companies prefer Sector 63, Sector 117, Sector 135, Sector 25 and Sector 79 because employees can commute easily because of metro connectivity. Whereas connectivity is a big problem in Gurugram. Recently, SalezShark, a tech-based customer relationship management (CRM) company shifted its corporate office from Gurugram to Noida. The company shifted to Sector 132 because of lower rent rates and easy pick and drop facilities facilitated by the presence of the nearest Metro station.

Also read: Greater Noida Authority's Online Plot Allotment System: How It Works