The report from Jones Lang LaSalle Meghraj enlists the ‘star’ micro-markets in terms of a series of real estate and infrastructure parameters  In another attempt to create ‘real value’ for property developers, occupiers and investors, global property consultant Jones Lang LaSalle Meghraj (JLLM) has come up with an exclusive report based on the Indian commercial real estate sector. Entitled as ‘The Seven Stars of India - India’s best-performing micro markets for occupiers’, the report is a detailed research exercise aimed at highlighting the most favourable office micro-markets for Indian occupiers. The report has been released today by the Real Estate Intelligence Services (REIS) division of the property consultant.
The enlisted ‘star’ micro-markets score highest by virtue of a winning combination of high real estate development, coupled with a well-developed support infrastructure and sustainable social and business environment.
“With India’s economic recovery well under way, its commercial real estate market is beginning to stabilise,” says Abhishek Kiran Gupta, head (Research and REIS operations) of JLLM.
Speaking on the report, Mr Kiran Gupta further states, “Apart from charting the current lucrative micro-markets in terms of commercial real estate, the report also affirms that the commercial property landscape will remain favourable for tenants in 2010, and that landlords will have greater influence towards the beginning of 2011.”
This closing window of opportunity for occupiers indicates that they would be well-advised to proactively seek attractive leases in the near term, since office rents are in the process of bottoming out.
More on report
In addition, the exclusive research report offers various invaluable insights. Consider the following:
Ø The changing strategies for commercial occupiers in 2010, factoring in a dynamic market movement
Ø A relative comparison of the top 16 office micro-markets of India’s tier I and II cities on a series of real estate and infrastructure parameters
Ø Expected behaviour of the aforementioned micro-markets over the coming 30 months, thereby hinting a new map of opportunity for occupiers across the country
Commenting on the recent developments in the commercial realty segment, Mr Gupta said, “Rental values have been corrected up to 40% across markets, and have in fact reached 2005-06 levels in many geographies. This represents a plateau of opportunity for occupiers in the medium term. Relocation and consolidation will continue through 2010, and more occupiers will look at outright purchase rather than leasing options. There will also be an increased focus on integrated projects with multiple asset classes. Contrary to what is popularly believed, the IT/ITeS sector continued to dominate leasing activity in the first quarter of 2010. In fact, almost half of the demand for office space in this period was absorbed by the IT/ITeS sector alone.”
Earlier in April, REIS released an update on the Indian property market, entitled ‘State of the Nation’ covering the recent trends in office, retail and residential real estate and the global economic scenario.
Jeeta Bandopadhyay |
