Mumbai office space to cross 100 mn sq ft in 2014

Mumbai's commercial real estate (CRE) stock is estimated to cross the 100 million square feet mark by the 4th quarter of 2014. The current stock stands at 87 million square feet. When it touches the 100 million square feet mark, the vacancy rate is going to hover at 22.2 per cent. When the city's supply of CRE reaches this milestone, the three largest micro-markets will be SBD North with 22 million square feet, Thane and Navi Mumbai with 21 million square feet and the Western Suburbs with 16 million square feet, say reports.

At that point, the two other heavyweight CRE markets - Bangalore and Delhi NCR - will have 86 million and 89 million square feet respectively. Interestingly, the United States has 12 cities with over 100 million square feet of commercial property stock. New York is the largest office market with 444 million square feet, followed by Washington, DC with 327 million square feet and Chicago ranking third with 235 million square feet. Other markets with commercial real estate stock in excess of 100 million square feet include Bay Area, Los Angeles, Boston, Dallas, New Jersey, Houston, Philadelphia, Atlanta and Denver.

In Europe, Paris - the largest office market in the world - has 569 million square feet of commercial office stock.