Society shops in ACE Hive represent one of the greatest opportunities to invest in commercial real estate in these markets. Located within the 100 acre integrated township on Yamuna Expressway, the retail spaces will provide investors with numerous investment strategies to maximize returns with minimum risk, regardless of financial capability.
Investment Types for ACE Hive Society Shops
- Buy-to-Rent Investment Strategy
- Possibility of Rental Yield: Society shops can generally earn rental yield between 6-10% annually compared to typical residential return of 2-4%. ACE Hive is part of a residential township that will provide a captive customer base of residents, which will drive foot traffic and rental demand for multiple shops.
- Stable Tenants: Society shops frequently accommodate utility tenants, such as grocery stores, pharmacies, cafes, or convenience stores which will have longer lease terms than high street or mall-based tenants, therefore, reducing tenant turnover and providing consistent income.
- Capital Appreciation Investment
- Location-Driven Appreciation: ACE Hive's location near the Noida International Airport (30 minutes), Buddh International Circuit (2 minutes), and future infrastructure projects, such as Film City and the Olympic Park, makes it primed for significant capital appreciation. The location also features big names, including Patanjali, Vivo, Microsoft, and Samsung, which is an additional contributing factor in determining long-term value appreciation.
- Township Integration Benefits: ACE Hive is part of a 100-acre integrated development entity, benefitting from organic appreciation and increasing occupancy levels at the township level. The built-in residential community consisting of multiple thousands provides increasing demand for retail services over time.
- End-Use Investment for Business Owners
- Pre-set Customer Base: For those entrepreneurs who prioritize immediate business viability, ACE Hive has 380 units, with sizes starting from 500 sq. ft. that can accommodate a variety of business forms, from small boutiques to large-format stores. These isles have double-height shops with flexible floor-plans that create great visibility and branding potential.
- Operational Benefits: While managing society shops often comes with lower property management costs than high-street retail, this is a result of utilities (security, building cleaning and maintenance) and infrastructure upkeep being the responsibility of the township management. Business owners can then focus on growing and profiting, rather than day-to-day utilities management.
- Portfolio Diversification Investment
- Commercial vs. Residential Balance: With commercial properties typically delivering 13-15% annual returns versus 8-9% for residential, ACE Hive allows investors to diversify their portfolios with higher-yield assets. The lower volatility of society shops compared to traditional commercial spaces provides stability within a growth-oriented investment mix.
- Mixed-Asset Strategy: ACE Hive's combination of retail, food courts, multiplex, gaming zones, and banquet halls creates multiple revenue streams within a single investment, reducing dependency on any single business category.
- Financial Investment Structure
- Entry Investment: Units start at INR 1 Cr with flexible payment plans and a 10% booking fee held in escrow until possession, providing investor protection and payment flexibility.
- Financing Advantages: Commercial property loans for society shops are readily available, though they require higher down payments compared to residential properties. However, the superior rental yields typically justify the higher initial investment requirements.
- Market Positioning and Returns
- From a comparative angle, while residential properties in the Delhi NCR typically yield between 2-3%, a society shop in a commercial market yields between 6-9%. As a result of ACE Hive's prominent location within an integrated township development with world class amenities, it sits on the higher end of this range.
- Growth Potential: With the accelerated development of the Yamuna Expressway corridor, along with nearby forthcoming infrastructure projects and corporate investment, ACE Hive is positioned for both strong rental return and also capital growth over time.
- Investment Recommendation
Society shops at ACE Hive cater to a wide range of investors’ objectives, from the conservative investor seeking rental returns with a stable income stream, to the investor that is looking for growth through capital appreciation. The integrated township project at ACE Hive, and its location with amenities is ideal for exit-strategies both purposely for financial investors and business end-users.
ACE Hive could meet your needs whether you are building a commercial real estate portfolio that is centered on income, considering diversifying your portfolio away from residential, or planning to open your own retail business. ACE Hive has the amenities, consumer base, and potential to provide you with a solid investment strategy with less downside risk than the traditional commercial real estate space.
If you would like, please give ACE Hive a call 9268900800 to discuss investment options based on your objectives and risk profile.