Outsourcing Giant Convergys Relocates from Cyber City
Outsourcing giant Convergys has vacated its prominent structure in Cyber City and moved to an office on Sohna Road, Gurgaon. This shift occurred following substantial rent increases in the IT hub, driven partly by the impending launch of the Rapid Metro.
Rent Hikes in Cyber City
The firm opted not to renew its lease for its office in DLF Atria, where the rent has soared by 33 percent in recent months to Rs 107 per sq ft. Prior to the launch, standard office space rates in Cyber City were around Rs 80 per sq ft.
Affordable Alternative: Sohna Road
Conversely, office spaces on Sohna Road are available at a more affordable rate of Rs 40 per sq ft. Although this area is predicted to become the next hotspot in Gurgaon's real estate market, it also offers proximity to NH-8 and high-quality office spaces. However, it currently lags behind Cyber City in terms of connectivity.
Historical Context
Convergys, a global provider of outsourcing services to over 500 firms, was among the early BPOs to establish a base in Cyber City. The company occupied the multi-storeyed building for nine years and housed 6,000 employees.
DLF's Perspective
DLF provided clarification that they had secured a deal with an oil firm to rent out Atria for a significant Rs 25 crore per annum before Convergys decided against renewing its lease. The rent hikes are attributed to enhanced infrastructure and the Rapid Metro's connectivity advantages within Cyber City.
Future Outlook
Within Cyber City, over 1 lakh sq ft of properties owned by DLF are now available. Experts are not surprised by this decision, as it was anticipated. Many major corporations are exploring Special Economic Zones (SEZs), where rents are lower and facilities are superior.