Demand for residential rental properties up in Coimbatore

With the lockdown restrictions lifted, demand for residential rental properties is up in Coimbatore.

According to C.R. Shiva Kumar, president of Coimbatore Association of Realtors, there are many who are shifting to independent houses. "There is improvement in demand for residential rental properties. People want to shift to independent houses. There is a slight shift in residential rental value too. Another area of demand is farm houses," he said.

"But, we do not know how long this trend will last," he added.

According to a property consultant here, rental deals are happening, though the time is longer. The demand continues to be high for industrial and warehouse properties. The rental value has also not changed much for this segment. One area that is affected is commercial and retail space, the source said.

Mr. Shiva Kumar said many occupiers want to renogiate agreements in the case of commercial and retail spaces. They are asking for rental discount or review of the existing agreement. For warehouse and industrial space, specific corridors have become popular and demand for space in these areas is high in Coimbatore district.

Despite the demand in these verticals, nearly 14 % of the total inventory of rental space is vacant here, say sources. Normally, about 9 % will be vacant. Now, another 5 % to 7 % is vacant, they add.