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Mumbai best for realty investment, says studay
A study by Knight Frank has said that Mumbai is the best city in India for commercial real estate investment, with returns of 12-19 per cent likely in the next five years. Bangalore and Delhi-National Capital Region (NCR) come second and third on the list, with returns of 12-12 per cent and 8-11 per cent, respectively, according to the report.
In Mumbai, central and suburban business district (SBD)-west have grabbed the top two spots, according to Knight Frank. Office space in Mumbai had more than doubled between 2008 and 2012 from 47.4 million sq ft to 95.1 million sq ft. But demand remained bleak, the report said. Vacancy rose sharply from 4.3 per cent in 2008 to 23.2 per cent in 2012, and office rentals declined 10-40 per cent during this period.
Delhi-NCR was the biggest office market in India with 110 million sq ft, out of which 88 million sq ft was occupied, IT said. Information technology and information technology-enabled services (IT/ITeS); manufacturing; banking, financial services and insurance (BFSI) and other service sectors accounted for 42 per cent, 22 per cent, 15 per cent and 21 per cent, respectively, of the occupied office space. The report covered 33 business districts.
Bangalore was one of the key office markets in southern India. A number of industries such as manufacturing, automobile and biotechnology have a stake in the economy of the city. But the IT/ITeS sector was the primary driver for office space demand, said the report.
A study by Knight Frank has said that Mumbai is the best city in India for commercial real estate investment, with returns of 12-19 per cent likely in the next five years. Bangalore and Delhi-National Capital Region (NCR) come second and third on the list, with returns of 12-12 per cent and 8-11 per cent, respectively, according to the report. In Mumbai, central and suburban business district (SBD)-west have grabbed the top two spots, according to Knight Frank. Office space in Mumbai had more than doubled between 2008 and 2012 from 47.4 million sq ft to 95.1 million sq ft. But demand remained bleak, the report said. Vacancy rose sharply from 4.3 per cent in 2008 to 23.2 per cent in 2012, and office rentals declined 10-40 per cent during this period. Delhi-NCR was the biggest office market in India with 110 million sq ft, out of which 88 million sq ft was occupied, IT said. Information technology and information technology-enabled services (IT/ITeS); manufacturing; banking, financial services and insurance (BFSI) and other service sectors accounted for 42 per cent, 22 per cent, 15 per cent and 21 per cent, respectively, of the occupied office space. The report covered 33 business districts. Bangalore was one of the key office markets in southern India. A number of industries such as manufacturing, automobile and biotechnology have a stake in the economy of the city. But the IT/ITeS sector was the primary driver for office space demand, said the report.