• Increased absorption of commercial and IT real estate space
• The CBD of Delhi sees a significant drop in the vacancy rates
• Excessive supply leads to stabilized rental values
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3. Summary p. 4
Macroeconomic Context p. 5
Delhi Map p. 6
Central Business District (CBD) p. 7
Alternate Central Business District (Alternate CBD) p. 8
Secondary Business District (SBD) p. 9
Periphery Business District (PBD) p. 10
Rental Values p. 11
Glossary
p. 13Key Transactions
p. 14Key Projects
p. 15
CONTENTS
Capital Values p. 12
CITY REPORT
DELHI OFFICE MARKET - Q3 2010
4. 4I I
SUMMARY
The Q3 of 2010 has shown increase in absorption for
both commercial and IT real estate space in the NCR
region of Delhi. The overall demand for commercial
office space has also improved and will show
improvement in the Q4 2010 as many corporate plan to
finalize the space before the end of the year. The CBD
area has a vacancy level of 5% compared to 12% of Q1
2010 for Grade A projects. This has been mainly due to
absorption from Banking and Financial services.
There is a demand from large business group to move
from CBD to Alternate CBD of Jasola and Nehru Place.
Similarly, there is a renewed interest from investors to
invest in these areas as well.
The PBD of Gurgaon and Noida witnessed increased
level of activity both in terms of sale and leasing. Both
these districts have shown availability of high quality
projects at affordable rentals. Even though the
absorption has improved in Gurgaon and Noida, the
rental values will remain stable in the near future , due
to excessive supply.
While the existing stock is unevenly distributed
between the two markets, the future scenario shows a
more even distribution of stock. Prospective tenants
will have more than 6 million sq ft of future SEZ office
space in Gurgaon and Noida combined - 3.3 million sq
ft in Gurgaon and 2.7 million sq ft in Noida.
Increase in absorption of commercial / IT space
CITY REPORT
DELHI OFFICE MARKET - Q3 2010
5. 5I I
CITY REPORT
DELHI OFFICE MARKET - Q3 2010
Repo Reverse Repo
Repo & Reverse Repo Rate
7
6
3
Percent
1
SLR CRR
CRR & SLR
30
20
10
5
Percent
0
May-08
Jul-08
Sep-08
Nov-08
Jan-09
Mar-09
May-09
Jul-09
Sep-09
Mar-08
Nov-09
Jan-10
Mar-10
Gross Domestic Product (GDP)
Q1
2008
Q2
2008
Q3
2008
Q4
2008
Q1
2009
Q2
2009
0.00%
2.00%
4.00%
6.00%
8.00%
10.00%
12.00%
9.30%
8.80%
8.80%
7.90%
7.60%
5.30%
5.80%
6.10%
Q3
2007
Q4
2007
Q3
2009
7.90%
Q4
2009
6.00%
Wholesale Price Index (WPI)
0.00%
2.00%
4.00%
6.00%
8.00%
10.00%
12.00%
14.00%
16.00%
18.00%
Apr-06
Jul-06
Oct-06
Jan-07
Apr-07
Jul-07
Oct-07
Jan-08
Apr-08
Jul-08
Oct-08
Jan-09
Apr-09
Jul-09
Oct-09
Jan-10
Source: Confederation of Indian Industries
Q1
2010
8.60%
Apr-10
May-10
Jul-10
22-May-09
22-Jun-09
23-Jul-09
23-Aug-09
23-Sep-09
24-Oct-09
24-Nov-09
25-Dec-09
25-Jan-10
25-Feb-10
19-Mar-10
20-Apr-10
Sep-10
15
25
20-May-10
20-Jun-10
27-Jul-10
20-Aug-10
16-Sep-10
2
4
5
0
Jul-10
Q2
2010
8.80%
2-Jul-10
DLF Limited 20,285 17% 4,110 2%
Major Real Estate
Companies in
India
Sales (In INR / In million) Profits (In INR / In million)
Q3 2010 Q2 2010
Q on Q
Change %
Q3 2010 Q2 2010
Q on Q
Change %
Unitech 8,286 -22% 1,800 -3%
India Bulls 4,337 25% 1,336 31%
Sobha Developers 3,156 35% 343 72%
Peninsula Land 1,483 -17% 500 28%
Parsvnath
Developers
2,528 -23% 318 82%
Pheonix 404 10% 183 21%
Omaxe Limited 2,529 40% 217 69%
Mahindra
Lifespace
679 31% 145 70%
Anantraj 1,034 28% 459 5%
Ackruti City 1,765 -8% 421 31%
Ansal Properties 2,508 27% 369 -38%
5,414 1,745
4,257 589
1,226 638
443
890 247
1,624 550
3,197 228
221
23,690 4,186
3,544 368
MACROECONOMIC CONTEXT
The Central Bank takes a more sophisticated approach:
maintains status quo on CRR & SLR
1.329 480
6,445 1,740
1,955 579
The Reserve Bank's Review of Monetary Policy on July 27, 2010 expressed
concerns over the global outlook. Indicators of economic activity in
advanced economies continue to suggest that the recovery is slowing and
that the second half of 2010 will post slower growth than the first, although
expectations have generally not been revised downwards since end-July.
Under the Liquidity Adjustment Facility (LAF), the RBI has increased the repo
rate by 25 basis points from 5.75% to 6.0% and also hiked the reverse repo
rate by 50 basis points from 4.5% to 5.0% with immediate effect. This will
help maintain financial conditions conducive to sustaining growth,
according to the RBI.
India’s GDP during the quarter starting July 2010, rose to 8.8%. Although
some of this is attributable to a favourable base effect, the growth rate
indicates that the recovery is consolidating and the economy is rapidly
converging to its trend rate of growth. Inflation remains the dominant
concern in macroeconomic management. The main priority of the Reserve
Bank is to curb the ongoing inflation, which peaked at 11% in the month of
August. Interest rates have been increased by the banks to contain the
inflation, but it could slow down the growth of the Indian economy in the
coming months. But even though there has been a rise in the interest rates,
there hasn't been much change in the distribution of loans, the Indian
customer is hardly affected with the hiked interest rates. Overall, even as the
global environment continues to be a cause for caution, the big picture has
not worsened significantly since July.
India has replaced the US as the second most important Foreign Directive
Investment (FDI) destination for transnational corporations during 2010-
2012, according to a survey conducted UNCTAD. In its latest 'World
Investment Prospects Survey 2010-2012', the United Nations Conference on
Trade and Development said transnational corporations remain buoyant
about investment prospects in China, India and Brazil. According to the
survey, India is the most important FDI destination next only to China.
6. DELHI MAP
6I I
GrandTrunkRd
Swarna
Jayanthi Park BadliRd
NH-10
NH-10
Ring Rd
Raja
Garden
DDA Park
Nihal Vihar
Vishnu
Garden
OuterRingRd
Rajouri
Garden
Shivaji Marg
Pursa
Forest
Patel Rd
Jail Rd
Cariappa Marg
Palam Rd
M
all Rd
205 Delhi Rd
Shivaji Marg
Mehrauli Najafgarh Rd
MehrauliNajafgarhRd
Palam
Vihar Rd
RailwayRd
GURGAON
Basai Rd
Pataudi Rd
DelhiRd
Mehrauli Rd
Old
JaipurRd
Gurgaon
Rd
M
ehrauli Najafgarh
Rd
GurgaonRd
Rajokri
Mehrauli Gurgaon Rd
DLF Golf
Course
Leisure
Valley
Dera
dRrupratahhCniaM
Rajpur
Khurd
graMtarvunA
Hauz Khas
Deer Park
AfricaAve
Old
Jaipur Rd
Palam
Indira Gandhi
International
Airport
gra
M
itnayaJ
anraw
S
Army Golf
Course
Lodhi Rd
Delhi Golf
Course
Central Ridge
Reserved Forest
Gol
Market
Jahanpanah
City Forest
MathuraRd
Road No. 13A
Mehrauli Badarpur Rd
Badarpur
Yamuna
River
MathuraRd
OldSherShahRd
graMilapar
mA
GreaterNoida
Dodri Rd
JainRd
NOIDA
DadriRd
NoidaLinkRd
Hapur BypassNH-24
gra
MVikas
Shahibabad
dRrupizahG
Shahdara
Raj Bagh
Rajendra
Nagar
Grand Trunk Rd
k RdinL
Ghaziabad
Hindan
Airbase
Chandni
Chowk
MahatmaGandhiMarg
Karnal Rd
dRgniRretu
O
Dr. K. B. Hegdewar Marg
GrandTrunkRd
St.NagarMarg
Grand Trun dk R
Grand
Trunk
Rd
NH-24
NH-58
RaniJhansiMarg
NH-91
Najafgarh Rd
dRnoagruG
BaghpatRd
SharanpurRd
Vivekanand Marg
LoniR
d
RingRd
Yamuna
River
daoRgniRreppU
Chandigarh
Jaipur
Agra
Aligarh
Agra
Rohtak
Domestic
Airport
Indraprasth
2
3
6
1
2
3
4
8
9
10
11
12
1
2
3
4
M
eerut
Madan Mohan Malviya Marg
Faridabad
Greater
Noida
NH
-8
7
6
7
MaAnandamayeeMar
g
5
4
5
1
4
5
7
8
5
Qutub
Minar
6
1(a)
1(b)
Dwarka
North Delhi
Ridge Forest
6
DELHI
Manesar
1
1(c)
1(d)
1(e)
1(f)
2
3
3(a)
3(b)
3(c)3(d)
3(e)
Major Roads
Railway Line
Water Bodies
Green AreaMetro
Central Business
District
Alternate
Business District
Central
1. Barakhamba Road
2. Connaught Place
3. ITO
4. Janpath
5. Kasturba Gandhi
Marg
6. Khan Market
7. Parliament Street
8. Tolstoy Marg
Secondary Business
District
Periphery Business
District
1. Bikajicama Place
2. Jasola Vihar
3. Munirka
4. Nehru Place
5. Qutub Institutional
Area
6. Saket
7. Vasant Kunj
1.
2. Jhandewalan
3. Karkar Duma
4. Karol bagh
5. Okhla Industrial Estate
6. Okhla Industrial Area-I
7. Okhla Industrial Area-II
8. Pitam Pura
9. Rajendra nagar new
10. Rohini
11. Shahdara
12. Wazirpur Industrial Area
Janakpuri 1. Gurgaon
1 (a). DLF Cyber City
1 (b). Golf Course Road
1 (c). Institutional
Sectors / Sushant Lok
1 (d). MG Road
1 (e). Udyog Vihar / Nh8
1 (f). Sohna Road
2. Manesar
NAirport
CITY REPORT
DELHI OFFICE MARKET - Q3 2010
3. Noida
3 (a). Expressway
3 (b). Sector 58
3 (c). Sector 62
3 (d). Sector 63
3 (e). Sector 64
4. Faridabad
5. Ghaziabad
7. 7I I
CENTRAL BUSINESS DISTRICT (CBD)
There has been good absorption of
from the Banking and Financial services sector. This
has led to very low vacancy in the .
The rentals in Grade B buildings have also appreciated by 10 – 15%
but overall the average rentals have not seen any major increase.
Further, the property owner have now started to quote 5-10% higher
than the rates of Q2 of 2010.
commercial office space in CBD of
Delhi especially
Grade A buildings in this district
Low Vacancy levels in Central Business District
Source: BNP Paribas Real Estate, India
CBD 300
Q2
2009
RENTAL VALUES ( INR / SQ.FT / MONTH)
Q3
2009
Q4
2009
250 250
Q2
2010
Q1
2010
250
Source: BNP Paribas Real Estate, India
Q2
2009
CBD 30,000
CAPITAL VALUES (INR / SQ.FT)
Q3
2009
Q4
2009
30,000 30,000
Q2
2010
Q1
2010
30,000
Q2
2009
Q3
2009
CBD
CapitalValues(INR/sq.ft)
Q4
2009
Q1
2010
Q2
2010
29,000
32,000
34,000
RentalValues(INR/sq.ft/month)
220
230
240
250
260
270
280
290
300
Q2
2009
Q3
2009
Q4
2009
Q1
2010
Q2
2010
27,000
31,000
33,000
The average headline rentals & capital values for the last 6 quarters
are as follows:-
275
30,000
CBD
28,000
35,000
CITY REPORT
DELHI OFFICE MARKET - Q3 2010
Q3
2010
Q3
2010
Q3
2010
Q3
2010
290
35,000
310
30,000
36,000
8. 8I I
ALTERNATE CENTRAL BUSINESS DISTRICT
(ALTERNATE CBD)
The demand for large office spaces is picking up in this district.
There is movement of tenants from the CBD to ACBD. However, this
has not impacted the prices yet. There are 2-3 enquiries for large
office space in Jasola and Nehru Place. These absorptions are likely
to happen by end of year 2010 and therefore it is expected that there
can be upward revision in both rental and capital values in this
district.
Demand is slowly picking up
Source: BNP Paribas Real Estate, India
Bikaji Cama Place 12,000
Jasola Vihar 15,000
Munirka 15,000
Q2
2009
CAPITAL VALUES (INR / SQ.FT)
Q3
2009
Q4
2009
12,000
12,000
15,000
12,000
12,000
15,000
Q2
2010
Q1
2010
12,000
12,000
15,000
Nehru Place 18,000 18,000 20,000 20,000
Qutab
Institutional Area
12,000 12,000 12,000 12,000
Saket 20,000 18,000 18,000 20,000
Vasant Kunj 20,000 18,000 18,000 20,000
Nehru Place
Vasant Kunj
Saket
RentalValues(INR/sq.ft/month)
Munirka
Bikaji Cama Place
Jasola Vihar
Qutub Institutional
Area
CapitalValues(INR/sq.ft)
Q2
2009
Q3
2009
—
5,000
20,000
25,000
10,000
15,000
Q4
2009
Q1
2010
Q2
2010
Nehru Place
Vasant Kunj
Saket
Munirka
Jasola Vihar
Bikaji Cama Place
Qutub Institutional
Area
12,000
13,500
15,000
20,000
12,000
20,000
20,000
0
50
100
150
200
250
Q2
2009
Q3
2009
Q4
2009
Q1
2010
Q2
2010
CITY REPORT
DELHI OFFICE MARKET - Q3 2010
Q3
2010
Q3
2010
Q3
2010
Source: BNP Paribas Real Estate, India
Q2
2009
Bikaji Cama Place 135
Jasola Vihar 110
Munirka 150
RENTAL VALUES ( INR / SQ.FT / MONTH)
Q3
2009
Q4
2009
130
100
150
130
100
150
Q2
2010
Q1
2010
130
100
150
Nehru Place 200 180 175 175
Qutub Institutional
Area
120 100 100 100
Saket 175 160 150 150
Vasant Kunj 175 150 150 150
The average headline rentals & capital values for the last 6 quarters
are as follows:-
130
110
150
180
105
150
150
Q3
2010
130
110
150
180
105
150
150
12,000
13,500
15,000
20,000
12,000
20,000
20,000
9. 9I I
SECONDARY BUSINESS DISTRICT (SBD)
There is no major activity being reported in this district except
certain expansion enquiries by existing tenants. Due to this, there is
no change in rental and capital values.
Expansion by existing corporates
Source: BNP Paribas Real Estate, India
Shahdara 6,000
Mathura
Industrial
Area
7,000
Janak Puri 8,000
Okhla 6,000
Pitampura 6,000
Q2
2009
CAPITAL VALUES (INR / SQ.FT)
Q3
2009
Q4
2009
5,500
6,500
7,500
6,000
5,500
5,500
6,000
7,500
6,000
5,500
Q1
2010
Q2
2010
7,500
6,000
6,000
5,500
5,500
RentalValues(INR/sq.ft/month)
Q2
2009
Q3
2009
44
Janak Puri
Mathura Industrial
Area
Okhla
Pitampura
Shahdara
Q4
2009
Q1
2010
Q2
2010
CapitalValues(INR/sq.ft)
—
5,000
Q2
2009
Q3
2009
Q4
2009
Q1
2010
Q2
2010
54
Janak Puri
Mathura Industrial
Area
Okhla
Pitampura
Shahdara
7,500
6,000
6,000
5,500
5,500
46
48
50
52
56
58
60
1,000
2,000
3,000
4,000
6,000
7,000
8,000
9,000
CITY REPORT
DELHI OFFICE MARKET - Q3 2010
Q3
2010
Q3
2010
Q3
2010
Source: BNP Paribas Real Estate, India
Q2
2009
Shahdara 50
Mathura
Industrial
Area
60
Janak Puri 60
Okhla 55
Pitampura 60
RENTAL VALUES ( INR / SQ.FT / MONTH)
Q3
2009
Q4
2009
50
60
60
60
55
50
50
50
60
50
Q2
2010
Q1
2010
50
50
60
50
50
The average headline rentals & capital values for the last 6 quarters
are as follows:-
50
50
60
50
50
Q3
2010
50
50
60
50
50
7,500
6,000
6,000
5,500
5,500
62
10. 10I I
9,000 8,500 8,500 8,500
12,500 12,000 12,000 12,000
8,500 8,000 8,000 8,000
15,000 12,000 12,000 12,000
8,000 7,500 7,500 7,500
8,500 8,500 7,000 7,000
5,000 4,500 4,500 4,500
8,000 7,700 7,300 7,300
4,900 4,700 4,300 4,300
5,300 5,300 4,700 4,700
4,600 4,400 4,000 4,000
4,600 4,400 4,000 4,000
DLF Cyber City
CAPITAL VALUES (INR / SQ.FT)
Q2
2009
Q3
2009
Q4
2009
Q1
2010
Q2
2010
Golf Course Rd
Institutional Sectors
/ Sushant Lok
MG Road
NH8 / Udyog Vihar
Sohna Rd
Manesar
Expressway
Sector 58
Sector 62
Sector 63
Sector 64
Gurgaon
Manesar
Noida
PERIPHERY BUSINESS DISTRICT (PBD)
There is a surge in leasing and purchase activity for commercial real
estate in Gurgaon and Noida. There is estimated demand of
approximately 4 mn. sq.ft which is likely to be absorbed in the next
6-9 months. There is good demand for SEZ space from Multi
National Corporations. This will push the lease rentals upward in
the SEZ space both in Noida and Gurgaon. The investors are keen to
invest in new commercial developments especially on Golf Course
Extension road and on projects abutting the highway.
Office space demand picking up
Source: BNP Paribas Real Estate, India
Q2
2009
Q3
2009
0
10
20
30
40
RentalValues(INR/sq.ft/month)
Q4
2009
Q1
2010
Q2
2010
50
60
70
80
Source: BNP Paribas Real Estate, India
Q2
2009
Q3
2009
—
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
CapitalValues(INR/sq.ft)
Q4
2009
Q1
2010
Q2
2010
The average headline rentals & capital values for the last 6 quarters
are as follows:-
M G Road - Gurgaon
Golf Course Rd -
Gurgaon
DLF Cyber City
Institutional Sectors /
Sushant Lok - Gurgaon
Sohna Road -
Gurgaon
NH 8 / Udyog
Vihar - Gurgaon
Sector 62, Noida
Manesar - Gurgaon
Expressway - Noida
Sector 58, Noida
Sector 63, Noida
DLF Cyber City 75
RENTAL VALUES ( INR / SQ.FT / MONTH)
60 60 60
Q2
2009
Q3
2009
Q4
2009
Q2
2010
Q1
2010
Golf Course Rd 70 70 85 85
Institutional Sectors
/ Sushant Lok
65 60 50 50
MG Road 90 90 90 90
NH8 / Udyog Vihar 60 50 40 40
Sohna Rd 60 60 45 45
Manesar 35 35 35 35
Expressway 60 58 55 55
Sector 58 37 35 32 32
Sector 62 40 40 35 35
Sector 63 35 33 30 30
Sector 64 35 33 30 30
Gurgaon
Manesar
Noida
60
85
50
90
40
45
35
55
32
35
30
30
8,500
12,000
8,000
12,000
7,500
7,000
4,500
7,300
4,300
4,700
4,000
4,000
Sector 64, Noida
M G Road - Gurgaon
Golf Course Rd -
Gurgaon
DLF Cyber City
Institutional Sectors /
Sushant Lok - Gurgaon
Sohna Road -
Gurgaon
NH 8 / Udyog
Vihar - Gurgaon
Sector 62, Noida
Manesar - Gurgaon
Expressway - Noida
Sector 58, Noida
Sector 63, Noida
Sector 64, Noida
CITY REPORT
DELHI OFFICE MARKET - Q3 2010
Q3
2010
Q3
2010
Q3
2010
60
85
50
90
40
45
35
55
32
35
30
30
8,500
12,000
8,000
12,000
7,500
7,000
4,500
7,300
4,300
4,700
4,000
4,000
Q2
2010
90
100
11. 11I I
RENTAL VALUES
Source: BNP Paribas Real Estate, India
Central Business District (CBD)
Alternate Central Business
District (Alternate CBD)
Secondary Business District (SBD)
Periphery Business District (PBD)
Rent
INR / sq.ft
CBD
Region
Q on Q
Change
Q3 2010
290 5%
Mathura Industrial Area
Janak Puri
Region
Shahdara
Pitampura
Rent
INR / sq.ft
Q on Q
Change
Q3 2010
50
50
50
50
0%
0%
0%
0%
Okhla 60 0%
Vasant Kunj 150 0%
Bikaji Cama Place
Jasola Vihar
Munirka
Region
Rent
INR / sq.ft
Q on Q
Change
Q3 2010
130
110
150
0%
0%
0%
Nehru Place
Qutab Institutional Area
Saket
180
105
150
0%
0%
0%
Golf Course Rd
DLF Cyber City
Institutional Sectors /
Sushant Lok
Region
Rent
INR / sq.ft
Q on Q
Change
Q3 2010
85
60
50
0%
0%
0%
Manesar 35 0%
MG Road 90 0%
NH8 / Udyog vihar 40 0%
Expressway 55
Sohna Rd 45 0%
Gurgaon
Manesar
Noida
Sector 58 32
Sector 62 35
Sector 63 30
Sector 64 30
0%
0%
0%
0%
0%
CITY REPORT
DELHI OFFICE MARKET - Q3 2010
12. 12I I
CAPITAL VALUES
Central Business District (CBD)
Alternate Central Business
District (Alternate CBD)
Secondary Business District (SBD)
Periphery Business District (PBD)
INR / sq.ft
CBD
Region
Q on Q
Change
Q3 2010
35,000 17%
20,000
12,000
13,500
15,000
20,000
12,000
20,000
Vasant Kunj 0%
Bikaji Cama Place
Jasola Vihar
Munirka
Region INR / sq.ft
Q on Q
Change
Q3 2010
0%
0%
0%
Nehru Place
Qutab Institutional Area
Saket
0%
0%
0%
Mathura Industrial Area
Janak Puri
Region
Shahdara
Pitampura
INR / sq.ft
Q on Q
Change
Q3 2010
0%
0%
0%
0%
Okhla 0%
6,000
7,500
5,500
5,500
6,000
Golf Course Rd
DLF Cyber City
Institutional Sectors /
Sushant Lok
Region INR / sq.ft
Q on Q
Change
Q3 2010
12,000
8,500
8,000
0%
0%
0%
Manesar 4,500 0%
MG Road 12,000 0%
NH8 / Udyog vihar 7,500 0%
Expressway 7,300 0%
Sohna Rd 7,000 0%
Gurgaon
Manesar
Noida
Sector 58 4,300 0%
Sector 62 4,700 0%
Sector 63 4,000 0%
Sector 64 4,000 0%
Source: BNP Paribas Real Estate, India
CITY REPORT
DELHI OFFICE MARKET - Q3 2010
13. 13I I
KEY TRANSACTIONS
Source: BNP Paribas Real Estate, India
CITY REPORT
DELHI OFFICE MARKET - Q3 2010
Q3 2010
Property Occupiers
Space
(sq.ft)
Micro
Market
Location
Mercantile House, KG Marg Sarasin Alpen India 2,500 CBD Connaught Place
Baani Suites Ingersoll Rand 2,400 Alternate CBD Jasola
Salcon Aurum Savita Oil 3,800 Alternate CBD Jasola
ITT Building Louis Vuitton 5,500 Alternate CBD Nehru Place
Vatika Buisness Park Stryker 105,000 PBD Golf course road
Unitech SEZ - Infospace NIIT 12,000 PBD Dundahera
Unitech SEZ - N2 IBM Daksh 75,000 PBD Expressway
Unitech SEZ - N2 Genpact 5,00,000 PBD Expressway
DLF SEZ - Silokhera IBM Daksh 78,000 PBD Silokhera
DLF SEZ - Silokhera Max 250,000 PBD Silokhera
A 110 Etisalat 5,200 PBD Sector 4
Windsor IT Park Asia Hotel 16,000 PBD Sector 125
Advant Navis Vaishnavi Advisory 9,000 PBD Sector 142
Advant Navis Indiamart.com 63,000 PBD Sector 142
Times Tower Godrej Property 3,000 PBD MG road
Times Tower Laxmi Nivas Bank 8,500 PBD MG road
Times Tower Harvest Gold 1,500 PBD MG road
Plot 582, Phase 5 Anton Paar India 7,500 PBD Udyog Vihar
Unitech Cyber Park Hewitt 25,000 PBD Sector 39
14. 14I I
KEY PROJECTS
New Supply - Year 2010
Building Location
Micro
Market
Space in
sq.ft
Completion date
(expected)
MGF Metropolis MG Road PBD 1,50,000 Q3 2010
Salcon Platina MG Road PBD 1,70,000 Q4 2010
Suncity Business Tower Golf Course Road PBD 2,70,000 Q3 2010
DLF South Point Mall Golf Course Road PBD 2,70,000 Q3 2010
Realtech Veritas Golf Course Road PBD 1,10,000 Q4 2010
Emaar MGF Palm Square Golf Course Extension PBD 3,50,000 Q4 2010
Raheja Mall Sohna Road PBD 3,00,000 Q3 2010
ILD Trade Centre Sohna Road PBD 3,50,000 Q3 2010
Spazedge Sohna Road PBD 3,50,000 Q3 2010
Omaxe City Centre Sohna Road PBD 1,50,000 Q3 2010
Vipul Trade Centre Sohna Road PBD 3,20,000 Q3 2010
Orchid Business Park Sohna Road PBD 3,50,000 Q3 2010
DLF Star Mall NH-8 PBD 2,20,000 Q3 2010
MVL I Park NH-8 PBD 1,40,000 Q4 2010
Unitech Info Space (Block-4) Sector-62 PBD 2,75,000 Q3 2010
Unitech Info Space (Block-2) Sector-62 PBD 2,00,000 Q4 2010
Logix Business Park (Tower-C&D) Sector-62 PBD 6,00,000 Q3 2010
Unitech SEZ (Tower-3) Expressway PBD 2,50,000 Q3 2010
Unitech SEZ (Tower-4) Expressway PBD 2,50,000 Q4 2010
Oxygen SEZ (Tower-C) Expressway PBD 2,50,000 Q4 2010
Technova Business Park (Tower-A) Expressway PBD 4,80,000 Q3 2010
Technova Business Park (Tower-B) Expressway PBD 4,20,000 Q4 2010
Source: BNP Paribas Real Estate, India
CITY REPORT
DELHI OFFICE MARKET - Q3 2010
15. GLOSSARY
Q3:
Super Built-up Area (SBUA):
Carpet Area:
Sq.mt:
Mn:
New:
Recent:
NCR:
SEZ:
BFSI:
SLR:
FSI:
Quarter 3 of the financial year (July - August - September)
Built-up area + common area including lifts area, common
passages, utilities, terrace etc. & varies from building to building.
Actual usable area, and does not include any common areas, area
occupied by walls etc.
Square Meter
Million
Building built within the last 5 years.
Building less than 10 years old.
National Capital Region (Includes urban agglomeration of Delhi, Gurgaon,
Faridabad, Noida, Gaziabad etc)
Special Economic Zone having special tax exemptions / incentives to corporate
occupiers
Banking & Financial Services Industry
Statutory Liquidity Ratio
Floor Space Index
Absorption:
Bare Shell:
BPO:
BUA:
Completed Stock:
DU:
EPIP:
FAR:
Grade A Space:
Ground Coverage:
Hard Option:
INR:
Pre-lease:
Speculative Stock:
Stock:
Supply:
Transaction Volumes:
Vacancy:
Warm Shell:
Q on Q:
y-o-y:
IT:
ITES:
Repo Rate:
Reverse Repo Rate:
SEC A, B, C & D Socio:
Sq.ft:
Stamp Duty:
Occupied Stock (n) – Occupied Stock (n-1); Where “n” is the specified
period (quarter, year etc.)
Premises consisting of basic structure with lifts, power supply to junction
box, water supply line, toilets
Business Process Outsourcing
Built up area
Either the building has received occupancy certificate or the client
has moved in and occupied space and started working in a particular premises
Dwelling Unit
Export Promotion Industrial Park
Floor Area Ratio (BUA/ Plot Area)
Office Space with efficiency in excess of 75%, floor plate in excess of
15,000 sq. ft., Car Parking ratio of atleast 1 per 1000 sq. ft., Floor-to-ceiling height in
excess of 3.75 m, Power provision of 1.25KVA per 100 sq. ft. with 100% power-backup
wherever applicable and professionally managed facilities
It is the total covered area on ground by the built component and is
expressed as a percentage of the plot area
Real estate space reserved by the lessee for future occupation within a
particular time frame and at a pre-decided rental
Indian National Rupees
Space committed for lease before completion of construction
The stock which can be leased and excludes Built-to-Suit (BTS) and
Campus facilities.
Cumulative Supply
New construction in a particular specified period
Total number of transaction in a particular specified period
Total vacant space in the completed stock
Premises consisting of power backup, high side A.C., common area fit outs
and fitted out toilets
Quarter on Quarter
year-on-year (All growth figures in this report are y-o-y unless otherwise
mentioned
Information Technology
Information Technology Enabled Services (includes various services ranging from
call centres, claims processing, medical transcription, e-CRM, SCM to back-office
operations such as accounting, data processing, and data mining)
Rate that an eligible depository institution (such as a bank) is charged to
borrow short term funds directly from the central bank through the discount window
Interest rate that a bank earns for lending money to the Reserve
Bank of India in exchange for government securities
Economic Classification; SEC A represents the highest propensity
to spend and SEC D represents the lowest propensity to spend.
Square Feet
Form of tax charged on instruments (written documents) requiring a
physical stamp (for government legality) to be attached to or impressed.
15I I
CITY REPORT
DELHI OFFICE MARKET - Q3 2010
CRR:
Headline rent:
Average headline rent:
Disclaimer:
Cash Reserve Ratio
Monthly rent per square feet, charged on super built-up area basis,
featured on the lease, and expressed excluding fitouts, taxes, deposits, advances,
maintenance charges and does not take into account building efficiency (super built up
area - carpet area ratio). Further it does not include attached premises such as parking
areas, archives, staff canteens, etc. If the rental is progressive, the value applied is the
average for the first 3 years or the fixed term of the lease.
Weighted average of rented area. The average featured is a
moving average over the quarter, to smooth out the changes, exclusive of all taxes,
deposits, advances & maintenance charges.
Major Refurbishment:
Renovated:
Modern:
Old:
CCI (Cost of construction index):
Demand:
For the occupier:
New Supply:
Completed new supply:
Under construction:
Planning permission granted:
Planning permission submitted:
Pre-letting:
Underlying rent:
Prime rents:
Top rent:
Second hand premises:
Renovated:
Very good condition:
Existing state of repair:
To be renovated:
Supply available within 1 year:
Take-up:
Vacancy rate:
Building which has undergone structural alteration less than 5
years ago, subject to planning permission.
.
Building which has undergone renovation work not requiring for planning
permission less than 5 years ago.
High-performance building over 10 years old.
Low-performance building over 10 years old.
Index that makes quarterly measurements of
construction prices for new house building. It is the price after VAT paid by the owner to
construction companies. It excludes land-related prices and costs (site development,
special foundations, etc.), fees and financial costs.
A search for premises expressed to BNP Paribas Real Estate. The analysis
pertains only to the flow of new demand expressed.
Operation undertaken by an occupier for its own purposes.
Any new building and/or heavily refurbished building that adds to the
existing stocks. These are analysed according to progress.
Buildings on which construction work is finished.
Buildings on which construction has effectively begun. Prior
demolition work is not taken into account.
Authorisation to build obtained, generally booked after
settlement of third party claims.
Planning permission requested, being processed.
Transaction by an occupier more than 6 months before the delivery of the
building.
Annual rent per square meter expressed free of tax and charges and
excluding advantages agreed by the owners (rent incentive building works, etc).
Represents the top headline rent (excluding non significant transactions)
for an office unit:- of standard size, of the highest quality and specification, in the best
location in each market.
Represents the top headline rent for an office unit. It is not necessarily a prime
rent.
Premises that have been previously occupied by an occupier for
vacant for more than 5 years.
Premises that have been renovated for the new occupier.
High-performance premises of high quality.
Low-performance premises that can be rented as they are.
Low performance premises that need renovation.
All premises and buildings available within 1 year
including the supply available immediately, new supply that has not been pre-let and
second hand supply that will be vacated definitively (notable terminated leases).
Rental or sale of a property asset, finalised by the signature of a lease or a bill
of sale including turnkey transactions and owner-occupier. The transaction is only
taken into account once any existing conditional clauses have been lifted.
Ratio measuring the relationship between the supply immediately
available and the existing stock.
This report is released by BNP Paribas Real Estate & Infrastructure Advisory
Services and the information in it is dedicated to the exclusive use of its clients. The
report and the information contained in it should not be copied or reproduced without
prior permission from BNP Paribas Real Estate and Infrastructure Advisory Services.
The facts of these reports are believed to be correct at the time of it's release but cannot
be guaranteed. Please note the findings, projections, conclusions and
recommendations are based on information gathered in good faith from both primary
and secondary sources, whose accuracy we are not always in a position to guarantee.
BNP Paribas Real Estate & Infrastructure Advisory Services cannot be held responsible
if, despite it's best efforts, the information contained in the present report turns out to
be inaccurate or incomplete.
16. www.realestate.bnpparibas.com
.
ALBANIA*
Danos & Associates
Blvd. Deshmoret e Kombit
Twin Towers - Building 2
11th Floor
Tirana
Tel.: +355-4-2280488
Fax: +355-4-2280192
AUSTRIA*
Dr. Max Huber & Partner
Dr. Karl-Lueger-Platz 5
1010 Vienna
Tel: +43-1-513 29 39 0
Fax: +43-1-513 29 39 14
BULGARIA*
28, Hristo Botev Boulevard
Sofia
Tel: +359-2-9532314
Fax: +359-2-9532399
CANADA*
Cresa Partners
Tel.: +1-617-758 6000
Fax: +1-617-742 0643
CYPRUS*
Danos & Associates
35, I. Hatziosif Ave
2027, Nicosia
Tel.: +357-22 31 70 31
Fax: +357-22 31 70 11
Danos & Associates
GREECE*
Danos & Associates
1, Eratosthenous Str.
11635 Athens
Tel: +30-210 7 567 567
Fax: +30-210 7 567 267
JAPAN*
RISA Partners
5F Akasaka Intercity 1-11-44
Akasaka, Minato-ku
107-0052 Tokyo
Tel: +81-3-5573 8011
Fax: +81-3-5573 8012
RUSSIA*
Astera
10, b.2 Nikolskaya Str.
Moscow, 109012
Tel/Fax: +7-495-925 00 05
NETHERLANDS*
Holland Realty Partners
J.J. Viottastraat 33,
1071 JP
Amsterdam,
Tel: +31-20-305 97 20
Fax: +31-20-305 97 21
NORTHERN IRELAND*
Whelan Property Consultants
44 Upper Arthur Street
Belfast Bt1 4GJ
Tel: +44-28-9044 1000
Fax: +44-28-9033 2266
POLAND*
Brittain Hadley Europa
Warsaw Financial Centre
13th floor
Emilii Plater 53
00-113 Warsaw
Tel.: +48-22-586 31 00
Fax: +48-22-586 31 16
SERBIA*
6, Vladimira Popovica Street
Office B31
11000 Belgrade
Tel.: +381-11-2600 603
Fax: +381-11-2601 571
SLOVAKIA*
Modesta (Dr. Max Huber &
Partner Group)
Heydukova 12-14
811 08 Bratislava
Tel.: +421-2-3240 8888
Fax: +421-2-3214 4777
SWITZERLAND*
Naef
Avenue Eugène-Pittard 14-16
Case Postale 30
1211 Geneva 17
Tel.: +41-22 839 39 39
Fax: +41-22 839 38 38
UKRAINE*
Astera
2a Konstantinovskaya Street
04071, Kiev
Tel: +38-044-501 50 10
Fax: +38-044-501 50 11
USA*
Cresa Partners
200 State Street
13th Floor
Boston, Massachusetts 02109
Tel.: +1-617-758 6000
Fax: +1-617-742 0643
Falcon Real Estate
570 Lexington Avenue
32nd Floor
New York, NY 10022
Tel.: +1-212 271-5445
Fax: +1-212 271-5588
ABU DHABI
Al Bateen Area
Plot No. 144, W-11
New Al Bateen Municipality
Street 32
P.O. Box 2742
Abu Dhabi, UAE
Tel.: +971-505 573 055
Fax: +971-44 257 817
BELGIUM
Blue Tower
Avenue Louise 326
B14 Louizalaan
1050 Brussels
Tel: +32-2-646 49 49
Fax: +32-2-646 46 50
DUBAI
Emmar Square
Building No. 1, 7th Floor
P.O. Box 7233
Dubai, UAE
Tel: +971-505 573 055
Fax: +971-44 257 817
FRANCE
13 boulevard du Fort de Vaux
75017 Paris
Tel: +33-1-55 65 20 04
Fax: +33-1-55 65 20 00
GERMANY
Goetheplatz 4
60311 Frankfurt
Tel.: +49-69-2 98 99 0
Fax: +49-69-2 92 91 4
IRELAND
40 Fitzwilliam Place
Dublin 2
Tel: +353-1-66 11 233
Fax: +353-1-67 89 981
JERSEY
4th Floor, Conway House
Conway Street
St Helier
Jersey Je2 3NT
Tel: +44-15 34-62 90 01
Fax: +44-15 34-62 90 11
ITALY
Corsa Italia, 15/A
20122 Milan
Tel: +39-02-58 33 141
Fax: +39-02-58 33 14 39
LUXEMBOURG
Axento Building
Avenue J.F. Kennedy 44
1855 Luxembourg
Tel.: +352-34 94 84
Fax: +352-34 94 73
ROMANIA
Union International Center
11 Ion Campineanu Street
Sector 1
Bucharest 010031
Tel: +40-21-312 7000
Fax: +40-21-312 7001
SPAIN
María de Molina, 54
28006 Madrid
Tel: +34-91-454 96 00
Fax: +34-91-454 97 65
UNITED KINGDOM
90 Chancery Lane
London WC2A 1EU
Tel: +44-20-7338 4000
Fax: +44-20-7430 2628
*Alliances
Bangalore (Regd. Office)
Level 15, Concorde Block,
UB City, Vittal Mallya Road,
Bangalore – 560001
Tel: +91 80 4030 0334
Fax: +91 80 4030 0400
Delhi
Upper ground floor, Unit No 7,
Mercantile House, 15 KG Marg,
New Delhi 110001
Tel: +91 11 4959 8800
Fax: +91 11 4959 8818
INDIA
For Queries / Comments:
Tasneem Gandhi at
+91 9930141009 or email at
tasneem.gandhi@bnpparibas.com
BNP PARIBAS REAL ESTATE
& INFRASTRUCTURE ADVISORY
SERVICES PVT. LTD.
Mumbai (Head Office)
704, Level 7, MMTC House, C-22,
Bandra Kurla Complex, Bandra (E),
Mumbai - 400 051
Tel: +91 22 6138 8088
Fax: +91 22 6138 8089
Noncontractualdocument-Researchdepartment-Publishedby:RajaKaushal-ManagingDirector,BNPParibasRealEstate&InfrastructureAdvisoryServicesPvt.Ltd.
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