A PROBLEM OF PLENTY – IT Parks

November 13, 2010 Leave a comment

The setting up of TIDEL Park on OMR (Old Mahabalipuram Road) in 2000 set the tone for a slew of IT developments in Chennai.When Chennai woke up to the possibilities and opportunities that the IT and ITES sector presented,it lapped it up – a little too aggressively,perhaps.Although the demand for IT space in the city was good to start with (with absorptions of over 5 million sq ft in 2005-2006 ),it (the demand ) has been slipping considerably since then.Despite the dip in demand,new IT Parks started mushrooming in the city and suburbs,thus widening the gap between supply and absorption.As of now,the absorption rate (of IT space) in Chennai is about 3 million sq ft of the total IT space.
One of the reasons for this unplanned supply,as most promoters and consultants point out,is the fact that IT Parks enjoy a lot of subsidies.Rajesh Babu,Chief Consultant,RECS Group,a professional real estate consultancy services group,explains,”The Government has extended plenty of subsidies to IT Parks in a bid to encourage their growth.For instance,IT Parks have the advantage of increased FSI (3.5 – 3.75) and there are no zone restrictions – which means,they can be constructed even in residential areas.Bascon IT Park in T Nagar and Ramaniyam – Baid Hi-Tech Park in Thiruvanmiyur are cases in point.In addition,IT Parks also enjoy certain tax exemptions,electricity concessions,etc.”All this,he adds,led to speculative investments that created a perception of increased demand.It also encouraged developers to diversify and look at IT Parks as lucrative options,resulting in a development of millions of sq ft of IT space,a lot of which still remains vacant.

Ajit Chordia,Managing Director,Khivraj Tech Park,agrees.”The demand-supply mismatch can only be attributed to huge supply.With a cumulative space of about 18 million sq ft,it has been very difficult for the demand to catch up with the supply.There were no trade bodies that sent warning signals and even Government bodies like ELCOT (Electronics Corporation of Tamil Nadu Limited) did not analyse or even foresee this demand-supply situation.”The demand for IT spaces in 2005-2006 gave most promoters the perception that demand will soar in the future.The recession,though,shook the market and the absorption spiralled down to about 2.2 million sq ft in 2008 from close to 3 million sq ft in 2007.

However,the oversupply situation is more pronounced in the city’s peripherals,while IT Parks in the city continue to be fully occupied.And this brings us to the question of location of the IT Park,which most promoters believe,is crucial to its sustenance.Jair DSouza,GM – Sales and Marketing,Shapoorji Pallonji & Co Ltd,a company that owns SP Info City,an IT Park in Perungudi,says,”Places like OMR,Ambattur and even parts of GST Road have a lot of IT Parks – OMR alone has about 50 IT Parks.But do people want to set up offices in these places Lack of social infrastructure in these areas is a huge hindrance;transportation and connectivity need attention too.How can an IT Park in places that lack basic infrastructure attract offices This is precisely why parts of Ambattur and OMR have an oversupply situation.”

That apart,the quality of amenities within the IT Park also helps determine its level of occupation.ELCOT defines an IT park as “a building built on a minimum 2,000 sq m of land with certain infrastructure facilities like telecom connectivity,air-conditioning and power back-up,to name a few”.
 Times of India, 13 Novermber 2010

Chennai retail

October 31, 2010 Leave a comment

 

Chennai Mall Retail

 

If footfalls are an indication,Chennai seems to love mallhopping.Why then are there so few malls Are things going to change Hopefully,say Harini Sriram and Jude S Sannith

Sometime in the mid 80s,Spencer Plaza happened in Chennai.It went on to acquire landmark status in the city,why even the country as the first mall in India.And then until 2006,in the mall world of Chennai,there was a lull.All across the country,shopping malls began sprouting at a pace that was,is,enviable.Sample this.In 2006,Mumbai prided itself of approximately 14 malls while five malls were wooing Bangaloreans.
It’s ironical,but true. That comparison is also worth contemplation.It isn’t as if Chennai and its residents don’t like shopping.Seeing is believing.Even if it means the number of malls in the city are less than the fingers on your hand.Footfalls at Chennai Citi Centre on Dr Radhakrishnan Salai,that opened its doors in 2006,are approximately 15,000 on weekdays and almost double over weekends.Which means demand isn’t the issue.In that case,what is P T Shahul Hameed,General Manager,Chennai Citi Centre that prides itself of a fabulous location and a faade,attributes this demand-supply mismatch to the city’s “traditional approach to the business of retail.You know,buying patterns here,are very different (from other metros),”he says,”Especially when it comes to shopping for food and groceries.People still like that to be a personal experience,so to speak;they like shopping from their regular vegetable vendors.”That,however,isn’t true when it comes to shopping for clothes and accessories.”But unfortunately,retailers and promoters have always liked to play it safe when it comes to Chennai.”

Profiling GST, OMR and Oragadam

September 18, 2010 Leave a comment
HOLISTIC LIVING

With rising population,integrated townships are poised to be the next big thing in Chennai,even as suburbs in the city play host to a number of such projects.RADHIKA RAMASWAMY visits three important corridors in the city to find out more

GRAND SOUTHERN TRUNK (GST)

The 20-kilometre stretch from Tambaram to Maraimalai Nagar on GST Road could well be mistaken to be within city limits.Such is the development here. GST Road has been touted as a premium industrial corridor and connects all the Southern districts of the State to Chennai via both road and rail. Home to manufacturing giants, IT majors, schools and colleges, the road, over the past three years, has turned into a commercial hub of sorts. One of the first companies to set up its unit on GST Road was Team (Team co Hitech Enginering Ltd) in Vandalur (20 years ago). This was followed by a series of developments in and around Maraimalai Nagar. Mahindra World City,an integrated township,spread across 1,500 acres,developed in the year 2000 transformed the landscape of GST and triggered the growth of integrated townships in this area.Arun Excello’s Estancia and Shriram Properties’ The Gateway are upcoming integrated projects here.”While OMR is IT-centric, GST is a mix of IT, telecom, automobile and ancillary units,”says P Suresh,MD,Arun Excello.”The city has reached a saturation point in terms of significant residential development.With Chennai expanding and peripheral areas playing host to large-scale industrial boom,self-contained townships have become the order of the day.”

OLD MAHABALIPURAM ROAD (OMR)

The OMR phenomenon occurred in the late 90s. What was once a stretch with green patches and large land parcels on either side of the road has evolved into a premier IT corridor.Tidel Park was the first IT establishment to foray into OMR,which is now called Rajiv Gandhi Salai. This was followed by the mushrooming of several other IT parks.Today,over 2.7 lakh people work out of here. “The IT boom led to an unprecedented residential demand along the stretch and several residential projects have come up since 2000,”says K K Raman,Vice-President,DLF Homes “Nobody has the time or the energy to go to far-away places for entertainment and recreation. People prefer everything right from education to healthcare centres in the vicinity of their homes. This is where integrated townships come into play. An integrated township is not just about a home. It is about creating a lifestyle that takes care of every single need of the resident.”DLF Homes is coming up with a 58-acre integrated township project called Garden City in Shollinganalur. Over the next two years,the number of people working in OMR is expected to cross four lakhs. With this,the demand for gated communities will only increase. There are currently over five full-fledged integrated townships on OMR.

ORAGADAM AND SRIPERUMBUDUR

Oragadam,centrally located between Grand Southern Trunk and NH4,has been touted as Chennai’s largest and the most developed industrial belt. With over 22 Fortune 500 companies (of which six are global car manufacturers),the Sriperumbudur-Oragadam belt has seen tremendous industrial growth in less than four years. The area is well-connected via road and rail and according to industry experts,the presence of automobile giants like Renault and Nissan and Ford has triggered growth around Oragadam. Several manufacturing giants such as Motorola, Dell, Flextronics, Samsung, Nokia, Apollo Tyres,and TVS Electronics,have set up their respective units in the industrial belt stretching from Sriperumbudur to Oragadam. Three integrated townships – Arun Excello’s Temple Green,Hiranandani (Hirco Group)’s Palace Garden and Inno Geo City are being developed in Oragadam. Aniruddha Joshi,Executive Director,Hirco Group,Says, “Today,owning a home in the city has become cumbersome and costly. The only solution to the spiralling price and increasing interest rates on home loans is to own a property in an integrated township coming up in the outskirts of the city. The new industrial corridor foraying into places like Oragadam will generate new jobs and will attract people to relocate out of Chennai. Our township will provide them with homes that are located conveniently close by. We are building the whole infrastructure from the ground up – roads,electrical power,telecommunications backbone,water and sanitation. By doing so,we reduce our townships dependence on the public infrastructure and make them self-sustaining – a key differentiator in a country where the public infrastructure is under considerable pressure.”That apart,today’s buyer profile consists mainly of young people,who want to fulfil their aspirations at the earliest.Moreover,these buyers want all this,within the constraints of a certain level of pricing. Townships are an ideal option for such buyers,due to the inherent advantages of economies of scale – they offer various amenities,at relatively lower price points.

 

Times Property, Times of India, 18 September 2010

Integrated Townships – infrastructure status?

September 18, 2010 1 comment

integrated township

 

Should Intergrated Townships be accorded an infrastructure status HARINI SRIRAM records points of view from people who matter.

Consider this: Our country currently has a housing shortage to the tune of 24.72 million.  Of this, Tamil Nadu has a shortage of 2.8 million and Chennai, 0.4 million. One way of bridging the gap is by developing self-contained residential clusters complete with ameneties – roads, schools, parks, hospitals, retail outlets, etc. It is here that integrated townships come in.

Since provision of all these amenities translates into infrastructure development, developers suggest that infrastructure status be conferred on integrated townships. P Suresh,MD, Arun Excello,says, “We provide amenities like telephone exchange, water treatment plants, build infrastructure for schools, hospitals,water supply and so on. Besides,we pay an infrastructure fee to the government,when,in fact,the infrastructure is developed by us!” Some of the benefits that developers will be entitled to, if infrastructure status is accorded to townships,include tax holidays and access to preferential lending at lower interest rates. That apart, funding of such projects will also become relatively hassle-free. In its rule book, the government classifies roads,bridges,dams,power projects,airports and transport corridors,to name a few,as infrastructure. But roads within townships, for instance, are currently not eligible for infrastructure status.

Oscar Braganza, Executive Director, Real Estate and SEZ, Marg  Ltd, explains, “We need to first look at what really defines a township. Townships need to have social infrastructure, learning components and must be holistic cities by themselves.

Oscar continues, Integrated townships need to be of a certain size and have specific amenities to qualify as a township.Only then will it make sense to confer infrastructure status on them.”He explains,”By 2030,it is estimated that 300 million people will move from rural to urban areas in the country.There’s a dearth of space in existing cities. The only solution is to build new cities, in the outskirts of existing cities, and this can be done effectively through partnership with the government.”
In places like Delhi,for instance,the government created spaces for townships which have now grown to become Gurgaon and Noida.Even in Tamil Nadu,townships like SPIC Nagar in Thoothukudi,Salem Steel Plant Township, Neyveli Lignite Corporation Township,etc,were developed long ago and are managed by the corresponding companies. Rajesh Babu,Chief Consultant, RECS Group, a city-based real estate consultancy service, is of the view that development in Chennai needs to be planned and organised.

“When private players get into development of townships,growth tends to be scattered, but the city will expand in all directions and the government will take notice and work on provision of infrastructure. The government should specify norms and guidelines for townships and must accord infrastructure status to them accordingly. “He adds that the government needs to acquire land for townships,provide amenities – roads,lung spaces,transport,etc,and assign residential/commercial development to developers.

K Moses, Head, Sales and Marketing,VME Group, a city-based construction activities firm, is also of the opinion that the government needs to help with infrastructure development within townships. He says, “It will help if infrastructure status is accorded to townships,as any cost the developer pays is finally passed on to the end user.”

Property Times, Times of India, 18 September 2010

Categories: Uncategorized

OMR in big demand by premium realtors

September 6, 2010 Leave a comment

 

OMR Apartments

 

If there is an area that reflects the fortunes of Chennai’s residential real-estate, it must be the Old Mahabalipuram Road or the IT corridor to the south of Chennai. Now formally known as the Rajiv Gandhi Salai, it has been the centre of attraction for developers and buyers when at peak pricing in 2007 or the steep decline a couple of years later.  

Now it has come a full circle. The market is on an upswing and has hit new highs, say developers.  

Prices swing up  

The 40 km of road running south, beginning from Madhya Kailash in Adyar, saw soaring prices as the country’s leading builders, including Hiranandani, DLF, Mantri, Puravankara and L&T, launched projects a few years ago. But then came the dip in 2008-end that saw prices and demand take a beating. A classic case being that of DLF which launched a township project about 20 km down the OMR with units priced at Rs 2,700 a sq.ft in December 2007, which was then considered aggressive pricing, hiked it to Rs 3,200 in a few months, only to slash it below launch prices in 2008-end. But that is a distant memory.  

New projects at higher price points are fast being announced and as rapidly sold. Compared with the earlier highs, the difference now is that more local players are venturing into the market but stick close to Chennai. These are premium projects by leading local brands that earlier ignored OMR as too volatile. These are leading players such as Appaswamy Real Estates and Ceebros who clearly segment the OMR market and see value in locations close to the city.  

One exception, though, is Akshaya Homes, a local player which has done a dozen projects — residential and commercial — along the OMR, beginning with Kelambakkam about 20 km down OMR. Mr T. Chitty Babu, Akshaya’s promoter, says he chose to start further from the city, well beyond 20 km from Adyar, when OMR was opening up as a market and land prices were low. Now its projects are closer to the city to take advantage of higher pricing as the market is more established.  

Thus his initial projects were priced around Rs 3,000-4,000 a sq.ft at Kelambakkam. Last year, during the low, he opted for a budget housing project at Rs 2,750 a sq.ft.  

But now, in line with the recent trends, Akshaya Homes will soon launch high-end homes of 3,000-4,000 sq.ft at Perungudi close to the city and also Kelambakkam, but the pricing is yet to be decided, he says.  

Support infrastructure  

Mr T.S.S. Krishnan, COO, Appaswamy Real Estates, while acknowledging that the OMR is back on track, points out that it should not be looked at as a single market unit. Sufficient developments in road and support infrastructure close to the city have helped attractthe interest of home buyers.  

So Perungudi and Kottivakkam, which are a few minutes drive from Adyar, are now as much in demand as any location in the heart of the city. Appaswamy Real Estates has launched a couple of projects at Kottivakkam. The price range is between Rs 60 lakh and Rs 1 crore at about Rs 5,000 a sq.ft. One project with 130 apartments is fully sold and in the other with 70 units, a joint development, the company has sold off its share of units, he said.  

Another premium builder, Ceebros with its first project on the OMR at Thoraipakkam, has over 350 apartments coming up for delivery in end-2011. An apartment of about Rs 1,200-1,600 sq.ft costs about Rs 4,750 a sq.ft. Mr Subba Reddy, Managing Director, Ceebros Property Development, says the location is the key to the success of the project.  

Mr R.V. Shekar, Managing Director, Lancor Holdings, says the demand and pricing of residential units in its Central Park South project at Sholinganallur are at levels seen in the peak seasons of 2007. Pricing here is around Rs 3,975 a sq.ft in the third phase of development. The cost of ownership of a 1,650-sq.ft apartment is over Rs 70 lakh. Except for about a dozen residential units the project has been fully sold.  

Lancor plans to launch the next phase of over 200 apartments soon. “It is the road of the future,” he says. The large concentration of IT companies will attract the workforce that will need residential space.  

The difference then and now is that the OMR has better facilities now. Whether for education, healthcare or entertainment, facilities are now available.  

Mr Mehul Doshi, of Doshi Housing, which has positioned itself in the mid-income segment, in the suburbs of Chennai, says  

Doshi Housing is set to launch a project on the OMR at Karapakkam just ahead of Sholinganallur. The 11-acre project to be launched early next year will have over 1,200 apartments. There is a concern on oversupply along the OMR but projects close to Chennai see no cause for concern, he says. That would apply to localities up to Siruseri, 20 km south of Chennai, he says confidently.  

Depending on the projects the market will support a pricing of around Rs 3,500-5,000 a sq.ft, he says. Doshi’s own project planned at Karapakkam is likely to be priced around Rs 3,750-4,000 though the final decision will be only at the time of launch. Hindu Business Line, 29 August 2010

Chennai, Akshaya realtor turns green

September 6, 2010 Leave a comment

Embracing green building concepts, city-based real estate development company Akshaya P. Ltd Thursday declared that all its projects will sport green building ratings.

‘It is a big challenge for us and for any developer to deliver on this promise. For instance, even the selection of a site plays an important part in getting the green rating for a structure,’ the firm’s chairman and CEO T. Chitty Babu told reporters here.

‘The project site plays an important role in green rating of a building. For instance, buildings to be qualified for green rating should not be near the river flood line or come up on an area where endangered species live. Further while rating a building, the reduction in carbon foot print will also be taken into account,’ M.Krithikha, a senior consultant at En3 Sustainability Solutions P.Ltd told IANS.

She said the other four criteria’s that are considered for green rating of a building are energy and water to be consumed in that building, construction materials used and the indoor environment.

Akshaya develops commercial as well as residential properties. While it sells the residential properties, it lets out the commercial space on rent so as to have a steady stream of income.

‘Both our residential and commercial projects will get the green building ratings,’ Babu said.

Detailing Akshaya’s new luxury apartment project 36 Carat, Babu said it will have 36 apartments each measuring around 2,806 sq.ft. and priced at around Rs.12,500 per sq.foot.

‘The project consists of two 10 storied towers. Each apartment will have living, dining, family and three bed rooms and servant quarters. The minimum price of an apartment will be around Rs.3.3 crore,’ Babu said.

While the company has got 200 registrations for the project, it will decide to whom the apartments will be sold.

‘The registrations were made by people without knowing the price and other conditions. We will be selling only to those who will be residing in the apartments and not for investors,’ he said.

Apart from the usual features (paved driveway, video door phones, club house, gym, jacuzzi and others) that come with all luxury apartments, 36 Carat will have an open, rooftop swimming pool.

He said the project will be completed in 24 months time.

Sify Finance

The Road Ahead for Indian Real estate

September 6, 2010 1 comment

Real estate demand

 

According to the Confederation of Real Estate Developers’ Associations of India (CREDAI), the affordable housing segment is set to play an important role in India’s real estate sector in 2010 on the back of substantial demand.

“Affordable housing will be a key factor in driving the sector and we have already started working on progressive solutions in this area for effective and customised implementation of such projects,” Confederation of Real Estate Developers’ Associations of India (CREDAI) Chairman Kumar Gera said in January 2010.

Moreover, 2010 is expected to be a positive year for the real estate sector. The revival is expected to be driven by infrastructure growth, which in turn, can accelerate real estate activities both in the residential as well as commercial spaces.

Excerpt from the IBEF report – Read full report here

Categories: Uncategorized

Chennai real estate projects get CRISIL rating

September 1, 2010 1 comment

Six real estate projects in Chennai have got top ratings from Crisil, which has, for the first time, has come out with a product to provide city-specific all round assessment of real estate projects.

Addressing a gathering got up to announce the award of 7-Star rating to Abode Valley and 6-Star rating to Central Park — couple of projects promoted by Lancor Holdings — Lodd Rajendra, Head of Business Development, Crisil Ratings, said Crisil was now working on two more mandates from the realty sector. He said Crisil had thus far rated 21 real estate projects.

Detailing the salient features of the two Crisil rated projects, Mallika Ravi, CEO, Lancor Holdings, said that Lancor was “committed to quality and transparency in our dealings with our stake holdings.” Of the six Crisil-rated real estate projects in Chennai, two are promoted by Lancor. The remaining are by Akshaya Group.

According to Mr. Rajendra, the rating will address two critical needs in the realty sector — improved transparency and objective bench-marking of projects.

Crisil Real Estate Star Rating (CREST), a product launched early this month, is intended to help flat buyers benchmark and identify quality projects within a city. Such ratings, it is claimed, will provide a comprehensive evaluation of all project-specific risks, which could impact the quality of the project.

The Hindu, Business Line 28,August 2010

Advice on buying a second home

Vacation home

We list a few ways following which you can plan well the purchase of a second home.Follow these and invest wisely!

Most people have an unrealised dream of buying a second home,but with some amount of logical thinking,owning it can be a reality. The finance for your second home can most often be the first problem, especially when you are already paying an EMI for your first home.  Plan your budget, naturally, but even more so – plan your buy – in terms of location,size and dcor. All of these factors are important when it comes to generating an income from your second home.
Rental properties are second home purchases made in order to make a profit.These properties can either be long-term investments or short-term flip-style purchases.Generating an income such that it pays for the upkeep of your second home is the smartest way to finance it.The most obvious is rental income from a home that you are not using on a regular basis, especially when it is bought as an investment in the same city. For a decent rental, the home should be in an accessible and maybe even up-market place in the city. Once these parameters are satisfied,the income from it can be counted on.
Arvind Krishnan, a software engineer with a major IT firm recently shifted base to Chennai from Bangalore and wanted to invest in a home in the city. Since he owns a home already back in Bangalore, the one he looks for here will primarily be an investment. “Instead of buying a home to live in while I am here in Chennai, I have decided to buy a small home that is within my budget and then rent it out,”adds the 29-year-old who is currently living in a bachelor pad, sharing a home with three other such engineers in Chengelpet. As Arvind rents his home out,over the years,capital appreciation is sure to help turn his second home into a solid investment. This can be categorised as a long-term investment as the rental property is purchased with an eye towards selling it at a point in the future,when the market value increases. Thus,his second home turns into an investment, all the while earning some kind of rental income which will help offset the loan. One can also consider buying a property in a secondary location,which will pay dividends much later, but comes cheaper at the time of buying. This is a given – buy cheap and sell high,or buy high and sell higher.
The retreat or vacation home is the other category, after the homes for investment in the city segment. With real estate investment being the present day mantra,savvy vacationers are becoming more and more interested in buying property in prime vacation spots where they can go on their yearly holidays. Buying a second home near a busy or popular vacation spot or resort will ensure that the chances of getting people interested in renting it will be higher. Buying a more isolated second home will often mean that either you will have to do a lot more work in making it known to others, or you will have to rely on your own income to finance the purchase. The biggest problem with such homes is the maintenance, since the usage is not high. In these cases,the ideal thing to do is hiring it out to a serviced apartment management company. It is a win-win situation,wherein you get rental income on a profit-sharing basis with the company and all maintenance hassles are theirs.
Star City,which runs serviced apartments across different locations in the city, takes on the maintanence of properties in places like Uthandi. Muruga Bharti, Managing Director,Star City,says, “We have now moved on to a new segment called Star Villas,where we take up independent homes and service them for guests. We handle the complete maintenance of the property and currently hold four such in T Nagar , Neelankarai, Thiruvanmiyur and Uthandi.  The owners of the home or the people who move into these places do not have to worry about hassles such as maintaining the property, furnishing,security,etc. “This way,your property can earn you a pretty decent sum for a second home. The one downside to this is that one cannot use the dream home whenever one wants,at a whim.
Another way of making money through your second home is networking through friends and portals,for a weekly rather than a yearly or even monthly rental scheme,which works out well and is quite popular abroad.
These non-conventional methods are not for all properties,but can be tapped as they have potential. So,the next time you go house hunting,for whatever purpose,keep this potential in mind

Supply overhang in commercial realty to continue for next 3 quarters: CII report

 

With new project completions outpacing the absorption rates, the supply overhang is expected to continue in commercial real estate market in the next three quarters, pushing-up the all India vacancy levels to mid-20 per cent by end-2010 against 17.2 per cent in end-2009, according to a latest report by CII and JLLM.

However, while the commercial rental landscape is skewed in favour of tenants in 2010, landlords will have greater influence starting 2011. “This closing window of opportunity for occupiers means that they should be proactively looking to lock in attractive leases in the near term as office rents are beginning to bottom out…,” the realty report has said. It noted that the freefall in rental values stopped or slowed significantly in all Indian metros with the exception of NCR-Delhi and Mumbai. But although the two cities are facing a large supply pipeline, they are expected to lead the rebound in the property cycle, followed by Bangalore, Chennai, Pune, Hyderabad and Kolkata, it said.

Lease transactions

“Indeed, most cities in India have already witnessed an increase in the volume of lease transactions in first quarter of 2010 with NCR-Delhi, Mumbai and Hyderabad having recorded more than a million sq ft of leases each,” the report said.

The recent uptick notwithstanding, net absorption will trail new completions in 2010 and 2011, leading to increasing levels of vacant space. According to the CII-JLLM report, during 2010, the new completions will be at 58.5 million square feet (msf), with net absorption at 29.3 msf; in 2011, it will be at 55.9 msf and 35.5 msf, respectively. The gap will be very marginal in 2012.

“Clearly, the absorption rates have improved substantially. Between 2009 and 2010, it has increased by 50 per cent backed by demand from IT companies and banking and financial services companies firms setting-up back office operations. But still supply is greater than demand,” Mr Anuj Puri, Chairman and Country Head of Jones Lang LaSalle Meghraj (JLLM) told Business Line.

Rental lows

The report further stated that most micro-markets are expected to reach their rental lows within the next 2-3 quarters, if not reached as yet.

The Hindu Business Line, 6 August, 2010