TRICITY SCO YIELD TRENDS 2023–2026
Overview
SCO (Shop-Cum-Office) assets have emerged as one of the most resilient commercial asset classes in Chandigarh Tricity. Their hybrid nature — ground floor retail with upper floor offices — provides income diversification and tenant optionality that pure office or pure retail assets cannot match.
This report tracks yield performance across 40+ SCO transactions completed between January 2023 and June 2026.
Yield Summary by City
Chandigarh (Sectors 8, 9, 17, 34, 35)
Average gross yield: 7.2–8.8%
Top performers: Sector 17 plaza-facing units with bank or BFSI tenants
Lowest yields: Sector 34 residential-commercial transition zones
Mohali (Sectors 66, 70, 82, Phase 5 market)
Average gross yield: 6.8–8.4%
Top performers: Sector 66 ground floor with national retail tenants
Observation: Premium for corner plots has compressed from 15% to 8% as supply has normalised
Panchkula (Sectors 5, 9, 11, 14, 20)
Average gross yield: 7.8–9.2%
Highest gross yields in Tricity — reflecting relatively lower capital values with comparable rents
Risk note: Tenant quality and lease length require closer scrutiny than Mohali/Chandigarh equivalents
Floor-Level Analysis
Ground floor: 6.5–7.8% gross yield (premium capital value, institutional tenants)
First floor: 7.5–8.8% gross yield (sweet spot for risk-adjusted return)
Second floor+: 8.2–9.5% gross yield (higher yield, shorter leases, more management intensity)
Investment Considerations
SCO assets with remaining lease terms of 3–5 years, national/institutional tenants, and ground + first floor configuration consistently deliver the best risk-adjusted returns. All-cash investors target 7.5–8.5% gross; leveraged buyers can achieve 10–12% equity returns at current rates.
Sachdeva Estates tracks active SCO mandates across all three cities. Contact us for specific unit-level yield data.
