Commercial Real Estate in Chennai. What can youExpect?

Global realty consultant, Knight and Frank have forecasted that 2014 will be alandmark year for Chennai’s real estate market. While residential properties aredoing well, commercial properties in Chennai are expected to observe new andimproved standards and better demand in the city. The office real estate marketof Chennai continues to be positive with IT/ITES industry driving a largeportion of real estate demand. Besides the multinational big players, small andmedium firms are also expected to spike demand for commercial space for rentin Chennai. Hence, along with huge commercial spaces; the segment of smalleroffices will also increase.

Favorable locations for Commercial Real estate

Global economic slowdown in the latter half of 2012 and in year 2013 hasinfluenced Chennai’s real estate market. But the city’s realty scenario isexpected to bounce back in the second half of 2014.

1. Regions like OMR post toll gate and GST Road are observing significantdevelopments and are rapidly emerging as the number one destinationfor seeking commercial properties in Chennai. Besides availability oflarge floor plate requirements; these regions also offer relatively lowerrentals. As commercial realty picks up in these areas; residential prospectsalso look favorably high.

2. When peripheral regions of Chennai demonstrate positive intereststowards commercial real estate; the Central Business District (CBD) ofthe city is no exception. Locations like Anna Salai and Mount Roadcontinue to be favorable locations for small and medium enterprises orlarge enterprises that prefer a city based office or center. This region hasalways been the hottest investment destination for commercial space forrent in Chennai. Very strategically located, Mount Road is at theconfluence of major commercial activities in the city.

Growth of Commercial Properties in Chennai

Large and premium real estate builders in Chennai are constructing state-of-the-art commercial structures that do not just redefine corporate luxury butalso pave way to demonstrate how corporate living can be taken several notcheshigher.

Although the CBD is short of large land parcels; the structures here areoptimally constructed for functionality, floor efficiency and flexibility. Manycommercial real estate developers also combine office space with a high-endbusiness hotel and other corporate amenities within the premises to make thestructure self-sufficient to facilitate national and international relations.Commercial space for rent in Chennai is today facing a transformation andrealty advancement has helped Chennai foster a new and efficient commercialculture.