Track2Realty Exclusive: Analysis of South Zone
Bangalore is the only major metro in the country which saw a year-on-year increase in take-up of office space in 2012. The total take-up increased by 9% to 8.3 million sq ft in Q1-Q3 2012, from 7.7million sq ft in the year-ago period as a number of occupiers took-up space for their future requirement for consolidation and expansion.
However the take-up recorded a year-on-year decline in both Chennai and Hyderabad by 28% and 36% respectively in the wake of weak demand from both US and European companies. IT/ITES continues to account for majority of office space demand in south zone, followed by manufacturing, healthcare and consulting sectors.
Best performing micro markets:
– Bangalore: PBD ORR, Whitefield, Bannerghatta Road
– Chennai: SBD, CBD, PBD OMR (Close to Taramani)
– Low performing markets:
– Bangalore: Hosur Road, Electronic City
– Chennai PBD OMR (farther stretches, close to Siruseri), Ambattur
| City | Tenant | Building | Micro Market | Location | Area (sq ft) |
| Bangalore | Goldman Sachs | Kalyani Tech Park | PBD | ORR | 1,500,000 |
| Bangalore | VM Ware | Kalyani Vista | PBD | JP Nagar | 450,000 |
| Bangalore | Scheider Electric | Bearys Global Research Triangle | PBD | Whitefield | 500,000 |
| Chennai | CSS | Shriram Properties | PBD | GST Toad | 400,000 |
| Chennai | Amazon | S P Infocity | PBD | OMR | 100,000 |
Source: Market Intelligence, DTZ Research
Emerging Markets: Bellary Road in Bangalore
Development pipeline 2013, major projects:
|
Name of the Project |
Developer |
Location |
Micro market |
Built up Area (In sq ft) |
| Embassy Tech Square | Embassy Group | ORR Sarjapur | PBD | 744,993 |
| Kalyani Vista | Kalyani Group | J P Nagar | PBD | 400,000 |
| Prestige Khoday Towers | Prestige Group | Raj Bhavan Road | CBD | 160,927 |
Source: DTZ Research
….to be continued
