Property management firm SBI Funds Management has bought an office space comprising 67,870 sq ft at Parinee Cresenzo in Mumbai’s Bandra-Kurla Complex (BKC) for Rs 103 crore, according to real estate data platform Propstack.
The company did not respond to a query from Business Standard.
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This deal comes at a time when the office market in India is witnessing high demand.
A few days ago, Adar Poonawalla, CEO of Serum Institute of India and owner of Rising Sun Holdings, bought the first floor of Cerebrum IT Park in Pune for Rs 395 crore. According to recent reports, ICICI Prudential Asset Management Company has entered into a major deal for office space near Mumbai International Airport for Rs 315 crore. In another big deal, Kinnteista, investor Rekha Jhunjhunwala, has reportedly bought commercial property in BKC and Chandivali in Mumbai for Rs 740 crore. Also, Red Fox IT Infra, a subsidiary of Redbrick Offices, is said to have bought several office spaces in Mumbai in a Rs 260-crore deal.
However, most office deals are on lease. Property consultancy Cushman & Wakefield, in a recent report, said that rent in the top eight cities is expected to exceed 80 million square meters by 2024. This is driven by a combination of factors, including continued growth in sectors such as IT and financial services.
Among other things, Deloitte Shared Services leased 80,000 sq ft of office space in Oberoi Commerz III, Mumbai, earlier this month. Hiring is expected to begin on November 1.
Morgan Stanley also leased 1 million sq ft office space in the same location in Mumbai recently. The annual rent, spread over a period of 10 years, is estimated at Rs 192 crore, with a security deposit of Rs 104.9 crore, according to reports.
In Bengaluru, realty player RMZ Corporation leased 360,000 sq ft office space to Chevron Global Technology and Services at RMZ Ecoworld 30-series recently. Chevron is expected to establish an engineering and innovation center within the space.
In the first half of 2024 alone, leasing activity reached 41.9 million sq ft, representing the highest leasing volume recorded in the first half of any year to date, according to industry data. This figure makes up 56 percent of the 2023 gross leasing volume (GLV).
First published: Sep 27 2024 | 11:56 PM IST