Environment
Is Indian real estate heading towards a tectonic shift?
Published
10 years agoon
By
admin
CII-JLL report on real estate sector released during the CII WR Real Estate Conclave 2015 talks about the trends in Indian real estate sector.
The on-going transition within the real estate sector offers us a foretaste of what the near future beholds. We foresee sweeping changes in the way real estate developers conduct their business, particularly looking at the innovative practices and agility of certain new breed of developers.
Corporate real estate teams will have to become more adept and skillful in order to make the most of the upcoming transition, and bring to light a rewarding portfolio for their companies. For homebuyers, the recent changes and future transition will bring about a more transparent market that is not just sensitive to their needs, but also sensitive towards the ecology at large. The report highlights on various components of real estate:
Office
The trend of companies migrating to office spaces in suburbs – driven by a combination of cheaper rents and lesser commute times for workforce – has risen sharply over the last decade. Not only the location-independent IT/ ITeS companies but other sectors too are setting up office spaces in secondary business districts (SBDs) and peripheral business districts (PBDs).
The migration is driven by occupier demand for large IT parks and office projects in SBD and PBD precincts. PBD has seen the biggest jump in the share of office stock, rising from 28 per cent in 2004 to 47 per cent in first half of 2015. While the share of SBD in office stock has remained stable over the last several years at around 43 per cent of the total office stock, CBD has witnessed a severe attrition of occupiers and a decline in fresh supply of office space that has led to a significant drop in its share of office stock from about 33 per cent in 2004 to 10 per cent in first half of 2015.
Delhi-NCR has witnessed the most spectacular emergence of alternate business districts in Gurgaon and Noida. Mumbai has been an exception to the trend of office migration to PBD due to lack of supporting infrastructure and connectivity. However, the city witnessed a steady shift in office stock from prime CBD areas to SBD precincts.
When it comes to occupier profile, the share of IT/ITeS sector in leasing volumes has declined from 48 per cent in 2005 to 32 per cent at the end of second quarter in 2015. This lower absorption, though, is compensated to a large extent by new-age sectors such as eCommerce. While space absorption declined in the manufacturing sector, it increased in export-driven sectors of healthcare and bio-tech. Banking, financial services and insurance (BFSI) has been relatively stable through the last decade.
Retail
Malls are seeing a lot of churn in recent years. On an average, when business is good, churn rates of around 15-18 per cent have been recorded. In India, the range was 4-8 per cent in well-managed malls during the initial years. Poorly performing retailers exit malls midway through their lease contracts or landlords initiate churn to improve their portfolio of tenants at some locations while at unviable locations, retailers are driving the churn. Contract periods have shortened to 2-5 years today from 9-20 years seen in the mid-2000s.
The overall vacancy rate today stands high at ~20 per cent in retail malls across major Indian cities. On the contrary, malls that run successfully have vacancies of not more than 10 per cent, with a selective few ones operating near full capacities. In recent years, we have seen bad malls beginning to succumb to the business viability stress and giving up hope. Consequently, these malls are either converting into Grade-B office spaces or getting demolished to make way for a new asset class in real estate.
In the near future, few more malls are expected to withdraw from the retail realty business as a result of which, the business of average and good performing malls will improve. This is a much-needed course correction, which will continue to happen for some time. JLL research estimates around 14 malls to withdraw from retail operations, having combined mall space of 3.5-4.5 million sq ft.
Residential
Unable to sell expensive homes in a sluggish market, builders across India are making smaller apartments without lowering the price per square feet and compromising on the quality of product. In the last five years, we have seen average apartment sizes falling across all major cities of India.
Mumbai Metropolitan Region (MMR) witnessed the maximum fall in apartment sizes on annualised basis, along with Bengaluru, Chennai and Kolkata. Other cities also witnessed varying degree of fall in median apartment sizes. The dynamics of apartment sizes have a tale to tell – that developers are paying conscious attention to consumers? requirements.
The fall in average apartment sizes across all top seven cities is a clear indication that developers intend to make houses affordable for buyers by reducing average apartment size instead of reducing the capital values.
Transition of the 4Ps
The last 10 years have been quite dynamic, as each of the fundamental 4Ps of real estate – Players, Processes, Product and Places – witnessed a plethora of changes. Players: From local domination, large and well-capitalized developers are expanding to build pan-India portfolios. This trend will only grow further as the market matures and weaker players get weeded out for lack of capital, corporatisation and technical prowess.
The sector would witness a period of consolidation wherein large, well-capitalised developers would gain market share by either purchasing assets or acquiring smaller players.
Processes: Today, about 80 per cent of buyers in top cities such as Mumbai, Delhi, Bangalore, Chennai, Pune, Hyderabad and Kolkata are salaried employees. They prefer taking a home loan but cannot afford cash payments. This has resulted in property transactions increasingly becoming legitimate and more transparent. Almost all newly developed residential properties can be bought with 100 per cent white money. Many resale properties too are available without the cash component. Government?s move to raise punitive action against illegal transaction will further help reduce cash dealings.
The trend of outsourcing of architecture, engineering, interior and contractor practices to globally-renowned agencies in an effort to make Indian cities stand-out and reflect their recently-acquired prowess is catching up.
Products: Construction quality and techniques have evolved over the years, starting from early-2000s. Projects completed before 2000 mostly had older design and no amenities. The buildings had no element of sustainability – energy efficiency, water harvesting system, security systems, advance safety norms, etc. With various advanced construction techniques and innovative designs to improve the quality of projects, developers have attracted more IT and MNC occupiers into their projects.
Places: As incremental space for new entrants is getting limited in cities like Bengaluru and Pune, the Indian IT sector, which has dominated office space occupancy for almost a decade, is now exploring new cities for expansion or creation of new bases. The necessity to exert tight control on occupancy cost and maintain cost-competitiveness is prompting IT/ITeS firms to scout for alternate destinations that have abundance of skilled manpower.
Simultaneously, there is a wave of infrastructure improvements happening in tier-II and tier-III cities, which are fast getting connected with today?s major metros. This is helping cities like Chandigarh, Visakhapatnam, Vijayawada, Mysore, Kochi, Coimbatore, Tiruchi, Bhubaneswar, Ahmedabad, Gandhinagar, and Jaipur as the new centres of choice for setting up large-scale IT office infrastructure.
"Indian real estate has undergone a lot of change in the last 10 years. As its core sectors – office, retail, residential and industrial – evolve, the latest Whitepaper by JLL Research tracks the industry?s transition and reveals the key trends in this journey," said Anuj Puri, Chairman, CII WR Real Estate Conclave 2015.
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Reclamation of Used Oil for a Greener Future
Published
2 weeks agoon
June 16, 2025By
admin
In this insightful article, KB Mathur, Founder and Director, Global Technical Services, explores how reclaiming used lubricants through advanced filtration and on-site testing can drive cost savings, enhance productivity, and support a greener industrial future. Read on to discover how oil regeneration is revolutionising sustainability in cement and core industries.
The core principle of the circular economy is to redefine the life cycle of materials and products. Unlike traditional linear models where waste from industrial production is dumped/discarded into the environment causing immense harm to the environment;the circular model seeks to keep materials literally in continuous circulation. This is achievedthrough processes cycle of reduction, regeneration, validating (testing) and reuse. Product once
validated as fit, this model ensures that products and materials are reintroduced into the production system, minimising waste. The result? Cleaner and greener manufacturing that fosters a more sustainable planet for future generations.
The current landscape of lubricants
Modern lubricants, typically derived from refined hydrocarbons, made from highly refined petroleum base stocks from crude oil. These play a critical role in maintaining the performance of machinery by reducing friction, enabling smooth operation, preventing damage and wear. However, most of these lubricants; derived from finite petroleum resources pose an environmental challenge once used and disposed of. As industries become increasingly conscious of their environmental impact, the paramount importance or focus is shifting towards reducing the carbon footprint and maximising the lifespan of lubricants; not just for environmental reasons but also to optimise operational costs.
During operations, lubricants often lose their efficacy and performance due to contamination and depletion of additives. When these oils reach their rejection limits (as they will now offer poor or bad lubrication) determined through laboratory testing, they are typically discarded contributing to environmental contamination and pollution.
But here lies an opportunity: Used lubricants can be regenerated and recharged, restoring them to their original performance level. This not only mitigates environmental pollution but also supports a circular economy by reducing waste and conserving resources.
Circular economy in lubricants
In the world of industrial machinery, lubricating oils while essential; are often misunderstood in terms of their life cycle. When oils are used in machinery, they don’t simply ‘DIE’. Instead, they become contaminated with moisture (water) and solid contaminants like dust, dirt, and wear debris. These contaminants degrade the oil’s effectiveness but do not render it completely unusable. Used lubricants can be regenerated via advanced filtration processes/systems and recharged with the use of performance enhancing additives hence restoring them. These oils are brought back to ‘As-New’ levels. This new fresher lubricating oil is formulated to carry out its specific job providing heightened lubrication and reliable performance of the assets with a view of improved machine condition. Hence, contributing to not just cost savings but leading to magnified productivity, and diminished environmental stress.
Save oil, save environment
At Global Technical Services (GTS), we specialise in the regeneration of hydraulic oils and gear oils used in plant operations. While we don’t recommend the regeneration of engine oils due to the complexity of contaminants and additives, our process ensures the continued utility of oils in other applications, offering both cost-saving and environmental benefits.
Regeneration process
Our regeneration plant employs state-of-the-art advanced contamination removal systems including fine and depth filters designed to remove dirt, wear particles, sludge, varnish, and water. Once contaminants are removed, the oil undergoes comprehensive testing to assess its physico-chemical properties and contamination levels. The test results indicate the status of the regenerated oil as compared to the fresh oil.
Depending upon the status the oil is further supplemented with high performance additives to bring it back to the desired specifications, under the guidance of an experienced lubrication technologist.
Contamination Removal ? Testing ? Additive Addition
(to be determined after testing in oil test laboratory)
The steps involved in this process are as follows:
1. Contamination removal: Using advanced filtration techniques to remove contaminants.
2. Testing: Assessing the oil’s properties to determine if it meets the required performance standards.
3. Additive addition: Based on testing results, performance-enhancing additives are added to restore the oil’s original characteristics.
On-site oil testing laboratories
The used oil from the machine passes through 5th generation fine filtration to be reclaimed as ‘New Oil’ and fit to use as per stringent industry standards.
To effectively implement circular economy principles in oil reclamation from used oil, establishing an on-site oil testing laboratory is crucial at any large plants or sites. Scientific testing methods ensure that regenerated oil meets the specifications required for optimal machine performance, making it suitable for reuse as ‘New Oil’ (within specified tolerances). Hence, it can be reused safely by reintroducing it in the machines.
The key parameters to be tested for regenerated hydraulic, gear and transmission oils (except Engine oils) include both physical and chemical characteristics of the lubricant:
- Kinematic Viscosity
- Flash Point
- Total Acid Number
- Moisture / Water Content
- Oil Cleanliness
- Elemental Analysis (Particulates, Additives and Contaminants)
- Insoluble
The presence of an on-site laboratory is essential for making quick decisions; ensuring that test reports are available within 36 to 48 hours and this prevents potential mechanical issues/ failures from arising due to poor lubrication. This symbiotic and cyclic process helps not only reduce waste and conserve oil, but also contributes in achieving cost savings and playing a big role in green economy.
Conclusion
The future of industrial operations depends on sustainability, and reclaiming used lubricating oils plays a critical role in this transformation. Through 5th Generation Filtration processes, lubricants can be regenerated and restored to their original levels, contributing to both environmental preservation and economic efficiency.
What would happen if we didn’t recycle our lubricants? Let’s review the quadruple impacts as mentioned below:
1. Oil Conservation and Environmental Impact: Used lubricating oils after usage are normally burnt or sold to a vendor which can be misused leading to pollution. Regenerating oils rather than discarding prevents unnecessary waste and reduces the environmental footprint of the industry. It helps save invaluable resources, aligning with the principles of sustainability and the circular economy. All lubricating oils (except engine oils) can be regenerated and brought to the level of ‘As New Oils’.
2. Cost Reduction Impact: By extending the life of lubricants, industries can significantly cut down on operating costs associated with frequent oil changes, leading to considerable savings over time. Lubricating oils are expensive and saving of lubricants by the process of regeneration will overall be a game changer and highly economical to the core industries.
3. Timely Decisions Impact: Having an oil testing laboratory at site is of prime importance for getting test reports within 36 to 48 hours enabling quick decisions in critical matters that may
lead to complete shutdown of the invaluable asset/equipment.
4. Green Economy Impact: Oil Regeneration is a fundamental part of the green economy. Supporting industries in their efforts to reduce waste, conserve resources, and minimise pollution is ‘The Need of Our Times’.
About the author:
KB Mathur, Founder & Director, Global Technical Services, is a seasoned mechanical engineer with 56 years of experience in India’s oil industry and industrial reliability. He pioneered ‘Total Lubrication Management’ and has been serving the mining and cement sectors since 1999.

The Indian cement industry has reached a critical juncture in its sustainability journey. In a landmark move, the Ministry of Environment, Forest and Climate Change has, for the first time, announced greenhouse gas (GHG) emission intensity reduction targets for 282 entities, including 186 cement plants, under the Carbon Credit Trading Scheme, 2023. These targets, to be enforced starting FY2025-26, are aligned with India’s overarching ambition of achieving net zero emissions by 2070.
Cement manufacturing is intrinsically carbon-intensive, contributing to around 7 per cent of global GHG emissions, or approximately 3.8 billion tonnes annually. In India, the sector is responsible for 6 per cent of total emissions, underscoring its critical role in national climate mitigation strategies. This regulatory push, though long overdue, marks a significant shift towards accountability and structured decarbonisation.
However, the path to a greener cement sector is fraught with challenges—economic viability, regulatory ambiguity, and technical limitations continue to hinder the widespread adoption of sustainable alternatives. A major gap lies in the lack of a clear, India-specific definition for ‘green cement’, which is essential to establish standards and drive industry-wide transformation.
Despite these hurdles, the industry holds immense potential to emerge as a climate champion. Studies estimate that through targeted decarbonisation strategies—ranging from clinker substitution and alternative fuels to carbon capture and innovative product development—the sector could reduce emissions by 400 to 500 million metric tonnes by 2030.
Collaborations between key stakeholders and industry-wide awareness initiatives (such as Earth Day) are already fostering momentum. The responsibility now lies with producers, regulators and technology providers to fast-track innovation and investment.
The time to act is now. A sustainable cement industry is not only possible—it is imperative.

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