In the recently conducted survey by JLL consultant, New Delhi’s Connaught Place secured the sixth position in the list of most expensive lease rentals for office spaces out of 20 major markets in Asia Pacific region.
On an average, the occupancy costs including rent, taxes and service charges cost $142 in Connaught Palace and this is greater than what cost for the same in Pudong in Shanghai, Shinjuku in Tokyo and Singapore.
In the same survey, Mumbai – the financial hub of India ranked at 14th position with an occupancy cost of $96. Earlier in the survey of the most expensive cities in 2017, both Delhi and Mumbai secured 3rd and 11th positions respectively.
The ranking is based on the JLL’s Premium Office Rent Tracker (PORT) for 2018 that calculates data on the achievable rent in the highest quality building in the premium office localities of 61 cities.
Ramesh Nair, CEO and Country Head of JLL India, said that the commercial office sector in the Indian real estate is a reason for strong growth in Delhi-NCR. Since, the 90s and in the post-liberalization era, Connaught Place has been the most preferred and sought after office locality in the national capital Delhi. Many global and reputed companies have their offices in this area.
A growth of 18% growth during January and September 2018 with office absorption of 23.4 million sq. ft. was recorded in the Indian commercial market.
Now, Hong Kong East is also being seen as the premium office locations instead of it being proposed as suitable locale for the back office space in the world.