Bangalore - IT Parks & IT SEZs thread

[ranga]

Originally Posted by engineer.akash

Bangalore ORR Continues To Be Amongst India's Fastest Growing IT / ITeS Growth Corridors


Source

The infrastructure in this corridor is not keeping pace with developments.There will be huge water supply and sewage problems apart from the recurring power cuts.

[dis.agree]

Originally Posted by ranga

The infrastructure in this corridor is not keeping pace with developments.There will be huge water supply and sewage problems apart from the recurring power cuts.

actually infrastructure here is better than core city. when we talk of bangalore, it is traffic that is biggest infrastructural issue. and this corridor would be a signal free corridor in the next 2 years.

power situation is bad every where in bangalore, and along this corridor there are large offices/commercial/residential complexes and we all have backups. no cauvery water yet, but offices & residents here can outbid others to buy water. these all are solvable atleast in short term.

overall it is a far more desirable place to live compared to areas within city, atleast for software guys.

[avinash2060]

GARDEN CITY IN GROWTH MODE
Blore hot destination for office,retail realty

TIMES NEWS NETWORK

Bangalore: The city has regained its perch as a preferred destination for office and retail space,according to a Cushman & Wakefield report.
Bangalore is expected to see highest cumulative demand of 42.1 million sft during 2010-14,followed by Mumbai at 37.5 million sft and NCR at 32 million sft,said the India Real Estate Investment report 2010 titled,Riding the Wave-Re-emergence of Indian Realty Sector released on Wednesday.It also said,with the IT/IteS sector back on track,the city will see a surge in office space.
Bangalore continues to be foremost in the office real estate sector and hold the largest share of the demand pie.It will be the only city where the demand would exceed the supply over the next five years.This is essentially because requirements of IT companies are much larger, said Cushman & Wakefield Indias executive director (investment services ) Manish Aggarwal.
The pan India office space demand in the period under review is estimated to be 240 million sft of which the top three cities (Bengaluru,NCR and Mumbai) comprise 46% of the total demand.The demand for retail sector is also expected to be the highest in Bangalore with approximately 7.6 million sft.However,the city ranks third in the hospitality sector and demand for room-nights is expected to be 9.8 million during the period.Across top seven cities in the country,the demand for room-nights will be 78 million between 2010-2014.The total room supply expected in the top 7 cities in the same period are 88,000.Chennai is leading the seven cities with the highest average growth of 19% in rooms supply over the next five years.
Overall,the demand for residential properties is estimated to be 4.25 million units in the same period with mid range and affordable sectors capturing 70% share.The report also states that Mumbai and NCR would account for 40% of the total residential demand,while the rest is expected to come from the top seven cities.Mumbai is likely to witness the highest cumulative demand of 8,30,000 units.After NCR and Mumbai,it is Pune that is expected to witness the highest demand in residential sector of 270,000 units during 2010-14.
The demand for retail space across the country is estimated to be 55 million sft and.NCR,Mumbai and Bengaluru are expected to account for about 37% of the total demand.Bengaluru is likely to witness the highest cumulative demand for mall space at approximately 7.7 million sq.ft by 2014,closely followed by Mumbai with demand anticipated at 6.5 million sq.ft.

[ChennaiIndian]

Originally Posted by gentem

Dude if we shift ITIR to mysore/hubli, IT companies will go for hyd/chennai ITIR instead. ...

Yeah, Tamils and Telugus would like to stay close to home...Blore is one jump across the border unlike Hubli. So, the thought of moving IT companies in KA away from Blore won't fly through!!

[arunpr]

Originally Posted by ChennaiIndian

Yeah, Tamils and Telugus would like to stay close to home...Blore is one jump across the border unlike Hubli. So, the thought of moving IT companies in KA away from Blore won't fly through!!

Politicians in Karnataka are only worried about making money. They are not at all interested in providing jobs to the kannadigas in rural areas. Thats why they are not interested in developing any IT parks in other parts of the state !!!

[ChennaiIndian]

Well friend, I agree with gentem's post - jobs will move out of KA if moved out of Blore. One reason is the # of outsiders employed in knowledge sectors like IT far exceeds the locals. They would want to quickly move to and fro from their native place to their job location - over weekends, for festivals etc. For this, in KA, only Blore is more suited.

Coming to the business side of things - the cosmopolitan image, the transportation, connectivity in Blore can't be got in any other place in KA...particularly a hardcore Kannada place like Hubli (North KA).

The same holds good for someone trying to move niche jobs from Chn to Madurai.

[arunpr]

Originally Posted by ChennaiIndian

Well friend, I agree with gentem's post - jobs will move out of KA if moved out of Blore. One reason is the # of outsiders employed in knowledge sectors like IT far exceeds the locals. They would want to quickly move to and fro from their native place to their job location - over weekends, for festivals etc. For this, in KA, only Blore is more suited.

Coming to the business side of things - the cosmopolitan image, the transportation, connectivity in Blore can't be got in any other place in KA...particularly a hardcore Kannada place like Hubli (North KA).

The same holds good for someone trying to move niche jobs from Chn to Madurai.

Service based companies always want to move to teir 2/tier 3 cities as it is more cost effective. Thats the reason why many companies are preferring places like Trivandrum (Trivandrum doesnt have a cosmopolitan image at all & Infosys have big campus there & TCS is planning another big one).

It is pure business by politicians involved in giving more land to IT companies in Chennai & Bangalore. Polticians in both the states have got crores of worth money in real estate in the outskirts of Chennai/Bangalore. So they always want investment near their land. Thats the only reason. Due to this, politicians in these states are not providing any facilites for the companies in Tier2/Tier 3 cities. So companies are forced to take land in those cities !!!

[gentem]

Originally Posted by ChennaiIndian

Well friend, I agree with gentem's post - jobs will move out of KA if moved out of Blore. One reason is the # of outsiders employed in knowledge sectors like IT far exceeds the locals. They would want to quickly move to and fro from their native place to their job location - over weekends, for festivals etc. For this, in KA, only Blore is more suited.

Coming to the business side of things - the cosmopolitan image, the transportation, connectivity in Blore can't be got in any other place in KA...particularly a hardcore Kannada place like Hubli (North KA).

The same holds good for someone trying to move niche jobs from Chn to Madurai.

we made it park in hubli and inaugerated by then IT minister pramod mahajan in 2004. that is still vacant instead 2 flyovers in blore would have helped

[arunpr]

Originally Posted by gentem

we made it park in hubli and inaugerated by then IT minister pramod mahajan in 2004. that is still vacant instead 2 flyovers in blore would have helped

Only IT park is not enough. Govt should give more incentives to companies to start operations in these parks. Companies should get some benefits. If the sq feet rate is less, then companies will be interested to go there.

[chennaidesi]

Originally Posted by ChennaiIndian

Yeah, Tamils and Telugus would like to stay close to home...Blore is one jump across the border unlike Hubli. So, the thought of moving IT companies in KA away from Blore won't fly through!!

True Since Bgl is equi distance for people from TN tier 2 cities it is more convenient to come here for work. Nowadays I see a trend of people from Bgl are interested to invest their money back home so that helps growth of tier 2 cities also whereas IT picks up in interior karnataka it might discourage TN people to apply for job.

[ChennaiIndian]

Originally Posted by chennaidesi

True Since Bgl is equi distance for people from TN tier 2 cities it is more convenient to come here for work. Nowadays I see a trend of people from Bgl are interested to invest their money back home so that helps growth of tier 2 cities also whereas IT picks up in interior karnataka it might discourage TN people to apply for job.

Friend, my point is that the Indian IT industry is dominated by people from outside KA than inside. So, they will make all attempts to deter moving away from Blore which as of now is the only pan-Indian city in KA i.e. pple from all over India want to move in without much hesitation.

[ranga]

Originally Posted by chennaidesi

True Since Bgl is equi distance for people from TN tier 2 cities it is more convenient to come here for work. Nowadays I see a trend of people from Bgl are interested to invest their money back home so that helps growth of tier 2 cities also whereas IT picks up in interior karnataka it might discourage TN people to apply for job.

By locating IT parks in interior Karnataka jobs can be ensured for the locals particularly kannadigas who are not benifitted by the growth of Bangaluru.It is high time the govt ensure jobs to people in other parts of karnataka as there is no dearth of talent in the highly skilled people of karnataka.

[dis.agree]

Originally Posted by ranga

By locating IT parks in interior Karnataka jobs can be ensured for the locals particularly kannadigas who are not benifitted by the growth of Bangaluru.It is high time the govt ensure jobs to people in other parts of karnataka as there is no dearth of talent in the highly skilled people of karnataka.

what do you mean govt should ensure jobs for people and that to in it services industry. it is all private money and they will invest in locations that best suits them. i am surprised after years of working in india, you still have faith in government.

[arunpr]

Originally Posted by dis.agree

what do you mean govt should ensure jobs for people and that to in it services industry. it is all private money and they will invest in locations that best suits them. i am surprised after years of working in india, you still have faith in government.

Govt is spending 1000s of crores for the land acquisition and providing infrastructure facilities for the companies. It is not private money, it is tax payers money !!!!!! Govt has to spend money in rural areas to bring investments there ....

Now govt is planning to spend around 7000 crores for ITIR (only for land). Instead of spending this money in Bangalore, govt should spend this in rural areas. Then only kannadigas will get the benefit !!!!

[dis.agree]

Originally Posted by arunpr

Govt is spending 1000s of crores for the land acquisition and providing infrastructure facilities for the companies. It is not private money, it is tax payers money !!!!!! Govt has to spend money in rural areas to bring investments there ....

Now govt is planning to spend around 7000 crores for ITIR (only for land). Instead of spending this money in Bangalore, govt should spend this in rural areas. Then only kannadigas will get the benefit !!!!

you have potrayed as though private companies get the land for free.

and that 7000 crore is in the name of itir. nothing would happen in reality. growth in it is saturated. you could expect single digit growth over the next decade. manufacturing would grow faster than it.

[gentem]

people telling same for many years. manufacturing is mostly for domestic market. but service is for exports which is bigger market. i read some big manu factory recently started in mys generating 85 jobs

[dis.agree]

Originally Posted by gentem

people telling same for many years. manufacturing is mostly for domestic market. but service is for exports which is bigger market. i read some big manu factory recently started in mys generating 85 jobs

and inspite of reading them for so many years, you haven't understood it?

why don't you look at some statistics then. look at how it companies have fared over the last 2 years. look at also the global it market and you would find that it has been growing at low single digits entire decade and has contracted last 2 years. and india has already captured a large part of global it in employment terms. another proof of pudding is to look at what market perceives. compare market cap of it companies 10 years ago and now. anyone who didn't sell technology stocks then would have done worse than keeping that money in a bank. there is no growth there & not much acquisition opportunities either and so we have started seeing global technology companies are giving away larger & larger part of their profits as dividends.

and for every large manufacturing investments, there are 10s/100s of other vendors & input service providers that provide much larger employments. companies such as nokia & foxconn all provide direct employments in 1000s and in very short period. just drive down to sriperumbudur near chennai and you would see the impact.

[naveen_blr]

India aims to become the small car hub of the world by dethroning Japan, the biggest maker of compact cars, a majority of which is consumed domestically.

Last year, it had pipped Brazil to become the second-largest producer of such cars.

While Japan produced 3.4 million small cars between January and December in 2009, India manufactured 1.48 million units in the same period.

According to a top official from Tata Motors, the country's biggest vehicle maker, India would certainly become the biggest manufacturer of compact, fuel-efficient cars, as there is a growing demand for such versatile cars worldwide.

Further Read - http://business.rediff.com/slide-sho...take-japan.htm

[sudheeshnairs]

Naveen, I think you didn’t check out the title of this thread, it is about IT Parks/IT Sezs

[naveen_blr]

Sorry Sudheesh!!
I posted in context with above conversation