Delhi’s Connaught Place 8th Most Expensive Office Location In The World, Mumbai’s BKC At 15th
Connaught Place in New Delhi is World’s 8th and India’s most expensive office location as of June, 2014. World’s most expensive office location is still London’s posh West End area while Hong Kong’s Central is at #2 and Beijing’s Finance Street is at #3 rank.
In a research titled “Global Prime Office Occupancy Costs” conducted by CBRE, which is a real estate giant based in USA, the most expensive office locations across the world were ranked based on several critical factors such as office rents and occupancy costs along with market appreciation and construction costs involved.
CBRE conducts this semi-annual research in 126 countries.
Mumbai’s most expensive office location: Bandra Kurla Complex is ranked at #15th while Nariman Point, which was once the most sought after business location in India has slipped to #32. CBRE said in a statement while releasing the report: “At more than $150 per sq ft per annum, Delhi’s traditional central business district (CBD) of Connaught Place was ranked as the eighth most expensive office market in the world,”
With $277 per sq feet rental, London’s West End has retained its #1 position.
With $242 per square feet, Hong Kong (Central) was at #2 position and with $194, Beijing’s Finance Street was at #3 position.
Beijing’s CBD is at #4 with $187 per square feet price and Moscow is at #5 with $165 per square feet of prime office location price.
Compared to last year’s rankings, Delhi, CP has infact slipped one position from #7 to #8 this year. Meanwhile Mumbai’s BKC was ranked #15 last year and Nariman Point was ranked #32.
Top 10 Most Expensive Markets(In US$ per sq. ft. per annum)
CBRE South Asia chairman & MD Anshuman Magazine said: “This downward change in rankings in the CBD is due to a recovering global market. However locally the demand levels remain stable and due to lack of new supply values remain high”.
If observed globally, the Prime Office occupancy prices increased 2-3% this year, which was primarily led by USA where real estate prices increased by 3.3% and prices in Asia Pacific increased by 2.9%. Countries in Europe, Middle East and Africa or EMEA experienced the maximum appreciation of real estate values.
Out of 50 most expensive office locations, 20 EMEA countries found it’s listing while 20 countries from Asia and 9 from Americas were in this list.
With a new wave of economic progress and development being expected in India, the real estate price for office locations is all set to exponentially increase in the coming days.