The Connaught Place in New Delhi stands seventh in a list of most expensive prime office markets globally, a study has revealed. With the occupancy cost of $149.71 (Rs. 10, 030) per square feet per annum as reckoned in a survey by the global research gateway CBRE, the Central Business District (CBD) of Connaught Place (CP) is seventh costliest prime office market in the world. In its previous report, CP was ranked sixth.
Mumbai’s Bandra-Kurla Complex (BKC) which stood 18th previously is now at 19th position. Nariman Point is placed at 34th position. Hong Kong (Central) leads the tally with the occupancy cost of $290 per square feet per annum, followed by London Central (West End) at $262.29 per sq ft; Beijing (Finance Street) at $188 per sq ft; Beijing (CBD) at $182 per sq ft; Hong Kong (West Kowloon) at $179 per sq ft and Tokyo (Marunouchi/Otemachi) at $160.47 per sq ft.
The prime office occupancy costs include rents, local taxes and service charges, and are growing at a rate of 2.4 per cent year-on-year globally. The same in Asia Pacific region are rising even at a higher rate of 2.7 per cent, although a few Southeast Asian markets, like Singapore and Jakarta, have also registered a decline, the report has reflected.
“There has been an upward movement in commercial real estate market in India over past few months,” says Anshuman Magazine, the CMD of CBRE South Asia. “CP, at rank seven continues to lure occupiers. It is centrally located and has an ease of connectivity that attracts big corporate houses, primarily engineering firms, banks and other financial institutions. India, being a destination with an ample supply of quality office space, continues to attract MNCs who aim to expand their operations in this part of the world,” he adds.