Top and Most Expensive Office Locations in Asia-Pacific
Connaught Place in New Delhi and Bandra-Kurla Complex (BKC) in Mumbai have been listed among the top and most expensive office locations in the Asia-Pacific region.
Connaught Place: As offices have become hotter here, the number of street-marketers may increase.
Survey Findings by Cushman & Wakefield
According to Cushman & Wakefield’s annual survey titled ‘Office Space Across The World 2013’, Connaught Place in New Delhi and Bandra-Kurla Complex (BKC) in Mumbai are included among the most expensive office locations in the Asia-Pacific region. Surprisingly, the list omitted Nariman Point from the top 10 list.
Office Space Costs
As per the global real estate consultant’s report:
- Connaught Place, with a yearly cost of $162 per sq. ft., stood second in the top 10 list of the region and fourth in the worldwide list.
- BKC, with $82 per sq. ft. of yearly cost, ranked eighth in the list.
Meanwhile, Nariman Point, traditionally one of the most expensive office locations in India, was not included in the top 10 list.
Comments by Sanjay Dutt
Connaught Place emerged as the fourth most expensive office location in the world. This is primarily due to the shortage of office space in the area, said Mr. Sanjay Dutt, executive MD at C&W.
Offices in Connaught Place are costlier than ever now.
Reasons for High Rentals
Rentals have risen in Connaught Place due to the insufficient office space in the area. For numerous reasons, this is one of the best commercial locations in New Delhi. The new master plan for New Delhi by the Delhi Development Authority also failed to provide ample commercial space in the city.
Additionally, Connaught Place is well-supported by socio-political infrastructure, Mr. Dutt added. He pointed out that with a 25% increase in rentals, the cost of obtaining an office space here is now Rs.403 per sq. ft. per month.
Growth of BKC
Commenting on the growth of BKC, Mr. Dutt said that BKC now commands substantial rentals. The current rentals here are Rs.280 per sq. ft. per month. Unlike Connaught Place, BKC is noted for a consistent supply of office space. BKC witnessed a 2% growth in office rentals in the last year.
Stability at Nariman Point
However, the office rentals in Nariman Point remained stable at Rs.270 per sq. ft. per month last year. For the first time, the percentage of vacant offices went above 10% as well at Nariman Point.