MUMBAI: JLL Research’s latest report ‘Is Indian Real Estate Heading Towards A Tectonic Shift?’ examines the transitions that India’s real estate has undergone over the past decade. Among the major trends is about companies migrating to offices in the suburbs and peripheral areas of major Indian cities.
“Mumbai has been an exception to the trend of office migration to Peripheral Business District (PBD) due to lack of supporting infrastructure and connectivity. However, the city witnessed a steady shift in office stock from prime Commercial Business District (CBD) areas like Nariman Point to Secondary Business District (SBD) precincts such as Lower Parel and Andheri- Kurla road. An exodus of offices out of CBD was sparked by lack of quality office stock and the complicated ownership structure,” said Anuj Puri, chairman and country head at JLL India.
The opening of Bandra-Worli Sea Link in 2009 enhanced connectivity from the island city to the suburbs while the Santacruz-Chembur Link Road (SCLR) and Mumbai metro projects improved east-west connectivity. The lack of any significant mass-transit projects along the crucial North-South corridor and to Navi Mumbai over the last decade has restricted the development of office districts in PBD precincts. This is evidenced by the modest increase in office stock in PBD as compared to SBD, said the report.