Popularly regarded as India’s Silicon Valley, Bengaluru leads the pack of IT hubs in India. Pleasant climate, an international airport, and abundance of talent have turned Bengaluru into an international IT destination. It’s no wonder that Bengaluru has emerged as one of the largest contributors to commercial real estate in the country. According to experts, a whopping 26 million sq. ft. of office space will be added to the city by 2020. Continue reading “Bengaluru to Have Additional 26 Million Sq. Ft. of Office Space by 2020”
India’s commercial real estate (CRE) market is growing by leaps and bounds and remained positive in the quarter ending September. The prime office space market continues to be buoyant due to increased investor activity, sustained leasing demand from technology companies and growing leasing interest from occupiers.
According to our market research, office space leasing grew marginally but significantly during Q3 in eight major cities and stood at 10.4 million sq. ft. Even as leasing activity remained upbeat, the office space absorption rose by 2 percent quarter-on-quarter. Continue reading “Office Leasing in Q3 Up in Major Indian Cities”
India’s office market has come of age and has had an impressive run in 2016 and the first half of 2017. Home to some of the most affordable Central Business Districts in the world, Indian cities have outranked global business hubs. In a recent global survey, three Indian cities have been listed for highest yields for prime office space. Tech hub Bengaluru has secured the top position with the highest yield of 10 percent, followed by Gurugram at 9.2 percent and Mumbai at 8.5 percent. Continue reading “Indian Cities Emerge as Most Affordable Office Hubs”
As CRE activity picks up pace across major commercial hubs in India, pre-commitment levels in key office markets have been on the rise indicating persistent demand and occupiers’ interest in commercial spaces. In a pre-commitment deal, a developer leases the office building to corporate occupiers even as the building is under construction. In the current scenario of shortage of quality commercial space supply and increasing pressure on rents, many companies are pre-committing space for future needs and portfolio optimization.
Continue reading “Pre-Commitment for Commercial Space Shows Sharp Rise in India”
Mumbai is set to emerge as one of the top five global office hubs to witness maximum addition to its CRE portfolio over the next 18 months. According to research, around 16 million sq. ft. is expected to be added to Mumbai’s total office footprint of Grade-A stock. The country’s financial capital is expected to add up to 14 percent of its current stock by 2019. Mumbai ranks amongst Shanghai, Mexico City and Beijing as the most promising and sought-after global CRE markets.
Continue reading “Mumbai Among Top 5 Global Office Hubs”
India’s growing economy, regulatory reforms and steady demand from IT/ITeS sector has led to an exponential growth in the commercial space segment. Demand for office space has been on the rise through the first half of 2017 exerting an upward pressure on rental values in certain micro markets of Bengaluru and Pune. Due to dearth of quality Grade A stock, Bengaluru has registered vacancy levels between 8-9 percent leading to a surge in rental values in some micro markets. At the same time, Pune has registered a significant rental growth due to lack of sufficient supply in most micro markets. Here’s a look at the top 5 commercial space markets that have witnessed the highest rental growth this year: Continue reading “Top 5 Office Property Micro Markets with Highest Rental Growth in 2017”