Bangalore Economy and Real Estate thread II

[gentem]

Originally Posted by HedonistAtBlr

Third Quarter Cushman Wakefield Report

http://www.cushwake.com/cwmbs3q11/pd...e_off_3q11.pdf

Thanks for the link.. Total grade a office space absorption q3'11 million sqft:

Bangalore 3.2
ncr 1.23
chennai 1.10
mumbai 1.01
pune 0.63
hyd 0.61
kolkata 0.44
ahmedabad 0.09

god save bangalore traffic, or metro will

[naveen_blr]

Originally Posted by gentem

Thanks for the link.. Total grade a office space absorption q3'11 million sqft:

Bangalore 3.2
ncr 1.23
chennai 1.10
mumbai 1.01
pune 0.63
hyd 0.61
kolkata 0.44
ahmedabad 0.09

god save bangalore traffic, or metro will

One ORR can make so much of demand ... Bangalore slept for 2003-2008

[sunilkumar]

Originally Posted by reswaran

It didnt capture the 'Embassy Tech Square' in Cessna Business Park which got completed in 3Q11 and occupied by LGSoft. I think LGSoft moved thier entire operations to this building.

Construction update http://www.embassyindia.com/html/pro...e_bizpark.html

[archzine]

Originally Posted by gentem

Thanks for the link.. Total grade a office space absorption q3'11 million sqft:

Bangalore 3.2
ncr 1.23
chennai 1.10
mumbai 1.01
pune 0.63
hyd 0.61
kolkata 0.44
ahmedabad 0.09

god save bangalore traffic, or metro will

Amen!

[reswaran]

Originally Posted by sunilkumar

Construction update http://www.embassyindia.com/html/pro...e_bizpark.html

One is already complete and has been occupied by LGSoft. The work is going on for the next building.

[reswaran]

Umiya Business Bay is also coming within Cessna Business Park

http://www.umiyaindia.com/wco-umiya-business-bay.html

[R2IChennai]

Originally Posted by gentem

Thanks for the link.. Total grade a office space absorption q3'11 million sqft:

Bangalore 3.2
ncr 1.59
chennai 1.10
mumbai 1.01
hyd 0.86
pune 0.63
kolkata 0.44
ahmedabad 0.09

god save bangalore traffic, or metro will

Corrected NCR/Hyd numbers

[avinash2060]

The DivyaSree Techspace is located in the upcoming devanahalli are in Bangalore North, about 25 Km from the proposed International Airport. An integrated development with a self – Sufficient IT park (SEZ) and other developments like hotel, convention facilities, retail mall, villa developments and apartments, it will attract the attention of IT companies and act as a catalyst for the development of the surrounding areas.
The SEZ portion is planned on a total land area of 33,20 acres with a total development potential of around 3.4 mn sft of commercial space, The project has got an in principle approval for Special Economic Zone (SEZ).
The Retail/Hotel / Residential Zone is planned on a total land area of 56.80 acres with a total development potential of around 3.9 Mn sft of residential, retail and hotel space.
And the residential colony with an apartment complex will be developed on the 10 acres of land that would be purchased by SRIPL. The development potential on this land would be in excess of 1 Million Sft.



Details:
Nature of development: Commercial – office, Residential, Retail and Hospitality
Land extent: 100 Acres
Development Potential: 3.4 Mn sft
Area available for lease: 3.4 Mn Sft
Status: Can be provided as Built to suit Option
Other details: SEZ on 33.2 Acres

Website:http://www.divyasree.com/dstechspace_ud.asp

[gentem]

BSY favoured Sangh bodies
TNN | Nov 2, 2011, 05.27AM IST

BANGALORE : Former chief minister B S Yeddyurappa's magnanimity during his three years in office was not limited to partymen and Lingayat mutts but extended to sangh parivar outfits too.

Documents with The Times of India on 'G' category stray sites allotted during 2010-2011 reveal that Yeddyurappa took special interest in disbursing prime commercial land and residential plots in Bangalore to some sangh parivar outfits and leaders affiliated to the RSS.

These lands, valued at crores of rupees, were allotted to organizations and leaders for a paltry sum. According to the documents, Rashtrotthana Parishath in Chamarajpet was allotted 906.2 sq metres of a civic amenity site in Sadashivanagar.

The Jana Seva Vidya Kendra School was given 10 acres to expand its campus at Channenahalli on Magadi Road on the outskirts of Bangalore . The value of this land as per the latest guidance value could well be Rs 12 crore, BDA officials said. RSSbacked Anatha Shishu Nivasa was allotted 3585 sq m in Poornapragna House Building Cooperative Society. Yeddyurappa was generous to some sangh leaders and columnists of RSS publications too.

Rashtrotthana Parishath general secretary Dinesh Hegde said there was no illegality in the allotment. "Ours is a service organization and our track record speaks volumes about our contribution to the society. We followed all rules and regulations while applying for this land and got it allotted as per rules,'' he said.

The opposition doesn't buy his defence. "The preferential allotment of residential plots and CA sites to RSS organizations and leaders is a violation of BDA rules. RSS organizations , which claim to be clean, stand exposed," Congress spokesperson V S Ugrappa said.

What rules say

Yeddyurappa's eagerness and spirit to set aside rules to allot to RSS outfits and their leaders land generally reserved for achievers in the fields of sports, culture, arts and social service is the controversial part of allotment. As per BDA rules, CA sites are allotted for a period ranging from 10 years to 30 years. The beneficiary has to pay a nominal rent ranging between Rs 1 lakh and Rs 2 lakh per annum to the government.

Abolish this g category, bda has become political tool. Let them give plots in tier 2 cities, not in bangalore Give money award to achievers, not bangalore land

[amitlokareec]

Does anybody knows how big Bangalore's Economy is?

[archzine]

Originally Posted by amitlokareec

Does anybody knows how big Bangalore's Economy is?

Rs. 8010103 Lacs in Gross Domestic Product
Rs. 113033 Per Capita Domestic Product

Source: http://des.kar.nic.in/mainpage.asp?option=5

That is the total GDP of Bangalore Urban not Rural as of 2007-08.

[avinash2060]

• Demand from the IT/ITeS sector continues to strengthen leasing in Bangalore
• Rents remain stable in the CBD and increase in other sub-markets
• Capital values increase marginally in the SBD and Whitefield sub-markets

Demand Bangalore continued to see healthy transaction activity in 3Q11, especially in the large office formats. A total transaction volume of about 1.8 million sq ft (167,225 sqm) was recorded in the quarter. The combination of stable demand and restricted supply has been instrumental in bringing the city’s overall vacancy rate down to 12.7% in 3Q11 from 13.5% in 2Q11. Vacancy rates across the Special Economic Zones (SEZs) also fell significantly to below 1% in the quarter. Whitefield witnessed stronger leasing activity than the other sub-markets, with examples of leasing deals there including HUL’s lease of 400,416 sq ft (37,200 sqm) in Prestige Shantiniketan and the lease by Airbus of 120,000 sq ft (11,148 sqm) in Xylem. In the SBD, Broadcom leased 260,000 sq ft (24,154 sqm) in RMZ Ecospace and NetApp leased 112,029 sq ft (10,407sqm) in Embassy Golf Links. Leasing deals in the CBD included Zunga Gaming’s lease of 31,000 sq ft (2,880 sqm) in Bible House and Toyota Financial Services’ lease of 25,596 sq ft (2,378 sqm) in Vaswani Centropolis. Supply A total of 1.2 million sq ft (111,484 sqm)of office space commenced operation in 3Q11, including JP IT Park, ITPL Society General Block, Kalyani Platina Phase 2, Bagmane World Trade Center 3 Phase 2 Block A, Bagmane World Trade Center 3 Phase 2 Block B and Prestige Atrium. All these projects, except JP IT Park in Electronics City, completed with an occupancy rate of more than 90%. Asset Performance In 3Q11, average rents for office space in the CBD and Electronics City remained stable due mainly to stable BFSI sector demand in the former sub-market and low overall demand in the latter. In the SBD, rents rose marginally by 2.3% q-o-q due to the limited supply and increased demand from IT occupiers as this sub-market is closer to the city’s residential catchment areas. The Whitefield sub-market also saw a q-o-q increase in rents, up 3.3% in 3Q11, as it is generally preferred by IT occupiers due to the availability of large floor plates and good-quality buildings. Capital values in the CBD remained stable, while those in the SBD and Whitefield rose marginally, up 2.3% q-o-q in the SBD, which is an increase of 19.7% over the last trough in 3Q10, and up 3.8% q-o-q, in Whitefield, an increase of some 15% over the trough in 4Q10. High occupancy rates due to growing demand resulted in the increase in capital values in these sub-markets, although neither sub-market saw any sale transactions in 3Q11. 12-Month Outlook With many IT companies now looking to pre-lease office space to take advantage of favourable commercial terms proposed by the developers, Bangalore is expected to see stable demand over the remainder of the year, particularly in the Whitefield and SBD sub-markets. Good pre-leasing in upcoming projects in the SBD, along with expected demand for space in completed and upcoming projects in Whitefield, will drive net absorption by end-2011. Rents and capital values are likely to increase across the sub-markets, while yields are expected to remain stable or compress in 2011 due to the perceived lower risk. The CBD and SBD sub-markets are predicted to favour landlords over the remainder of 2011 due to growing demand and limited supply, whereas the Whitefield and Electronics City sub-markets will likely favour tenants in 2012. (Note: Bangalore Office refers to Bangalore’s overall Grade A office market)

http://www.india-real-estate-news.co...l-real-estate/

[R2IChennai]

Originally Posted by avinash2060

http://www.india-real-estate-news.co...l-real-estate/

Why does this say 1.8million where as Cushman says 3.3 million
wierd?

[avinash2060]

Originally Posted by R2IChennai

Why does this say 1.8million where as Cushman says 3.3 million
wierd?

This is only Grade A Office Space Absorption Report

[avinash2060]

he proposed high speed rail link to BIAL, the elevated expressway planned between Hebbal and Yelahanka, road widening of Bellary Road, BDA’s Peripheral Ring Road connecting North Bengaluru to the rest of the city, Metro Rail connectivity and the proposed Mono Rail, all point to one fact — North Bengaluru is fast becoming one of the most sought after destinations in the city.

“It is not surprising that North Bengaluru is growing at such a stupendous pace as historically cities have been built around airports. Bengaluru cannot be an exception and that is why you see so much of infrastructural development planned around the BIAL” opines T.S. Sateesh, Managing Director, Hoysala Projects. “All this augurs well for real estate growth.

In the next one or two years, Devanahalli itself will see a lot of commercial development with the recent Global Investors Meet having brought a lot of focus to the area,” he adds.

BIAL’s Airport City

To begin with, the BIAL is planning its own ‘Airport City’. In line with the increasing attention being paid to ‘aerotropolises’ globally, the Bengaluru International Airport Limited (BIAL) has planned to develop an ‘Airport City’.

“BIAL’s Airport City is proposed to be built on around 215 acres of land on the Main Access Road to the Airport terminal building. It will stretch over a distance of 2.5 km and will consist of a downtown area, a business unit, a technology center and a hotel. The downtown area will be a typical urban entertainment center spanning approximately 39 acres of land and will house a shopping area with various retail formats, entertainment facilities, offices and hospitality facilities,” apprises Irshad Ahmed, Managing Director, Irshad’s Property Matters and President, Bengaluru Realtors Association of India (BRAI).

“The Airport City will provide much impetus to the residential development around the airport and in North Bengaluru. The proposed connectivity of the Airport City to the high speed rail link (MRTS) and the road expressway from the city center will make it quite accessible too besides serving to decongest the city and emerge as a satellite township,” adds Irshad.

Projects in the pipeline

“There is the aerospace SEZ which is being planned in North Bengaluru besides three industrial parks on 3000 acres of land. There are a lot of 5-star and 7-star hotels like Oberoi, JW Marriot’s and Fortune hotel which will also come up shortly. There is plenty of commercial development also in the pipeline with several developers having bought huge land parcels for development in the stretch from Hebbal to Devanahalli. With so much of commercial development, residential development will surely follow,” explains Bijay Agarwal, Managing Director, Salarpuria Sattva Group.

A few builders who have planned residential projects in North Bengaluru are Brigade Group with their Gateway, Ozone Developers with their integrated project called Urbana, Prestige with their Ozone and Golfshire projects, Hiranandani Upscale with their Chancery, Nitesh with their Columbus Square and Sobha with their Althea.

Time to buy?

“The rates for residential built up from Hebbal till Yelahanka is around Rs 3500 — 5000 per sq ft and land rates vary between Rs 4500- 6500 in the same area.

Rentals for apartments are around Rs 18000-20000 for 2 BHK and Rs 25,000-30000 for 3 BHK depending upon the facilities offered.

As you go beyond Yelahanka towards Devanahalli land rates drop down. You can own a piece of land here in a good gated community for anywhere between Rs 1500-2000 per sq ft today,” informs Irshad.
“It is a good time to buy in North Bengaluru now as the prices currently are very reasonable. However, prices are also likely to head northwards in the next two to three years,” he advises.

“Owner occupiers must look at investing in North Bengaluru now as this is one area where the appreciation will be high both in the short term as well as long term,” concludes Sateesh.

http://www.deccanchronicle.com/chann...-bia-boost-498

[gentem]

Let them first build one hotel there in airport then they can build "airport city" That itc trident hotel cladding is half done since so many months.. A hotel is very much required for an airport that is so far from the city

[archzine]

Originally Posted by gentem

Let them first build one hotel there in airport then they can build "airport city" That itc trident hotel cladding is half done since so many months.. A hotel is very much required for an airport that is so far from the city

Without kingfisher airlines there wont be a hub or an airport city.. which is good because i hate kingfisher airlines

[rmvdweller]

Actually I had high hopes on Kingfisher airlines and Mallya. He has turned out to be very disappointing.

[gentem]

I'm just hoping kf won't be liquidated. mismanagement. this is what will happen if govt regulates too much they yet to open fdi, thanks to left in upa 1 we halted for 5 years

[rmvdweller]

Enlighten me, how is the "government" responsible for Kingfisher's plight? Indigo doesn't seem to be complaining, Jet doesn't seem to be complaining...

And why should Kingfisher receive bailout by the government? Wannabe capitalists keep ranting against "the local government" 24/7/365, so why beg for bailout from the same evil entity called government?