Professional Documents
Culture Documents
development trends in
MUMBAI
REAL637
Introduction to
Real Estate Sector
Mumbai City
About
Mumbai is a megapolis where people come to achieve their In 2017, the biggest office transaction was Samsung Electron-
dreams, so also called as The City of Dreams, Maya nagari, The ics India leased 1.10 lakh SF in Goregaon for 9 year with 15%
city Never sleeps and so on. Population of Mumbai is 2.2 cr. rental escalation every 3 years.
Majority of commuters use metro which covers an area of
4355 sq.km. being the busiest railway in the world. The first The Indian Express media bought the space of 15,645 SF from
railway in India is from Mumbai to Thane. Japanese company Mitsui & Co for ₹34 cr in South Mumbai at
Nariman point. In Q2 2015, a French company ‘Societe Gen-
Mumbai is the commercial, financial and entertainment capital erale’ sold 15,336 SF to Reliance Corporate IT park at Maker
of India. The Chhatrapati Shivaji International Airport (CSIA) Chambers IV.
in Mumbai is considered in the top 10 airports in the world.
However, Mumbai has also the world’s largest slum. WeWork, a New York based company leased whole 16-storey
building ENAM Sambhav at BKC in Mumbai for ₹4.3 cr /MO
Commercial real estate in Mumbai which is of shared working of 190,000 SF.
Again at BKC, another transaction took place that is Bharti
The commercial real estate market in Mumbai begun from Enterprise insurance arm Bharti Axa bought 65,000 SF for
South Mumbai at Nariman Point and Fort which gradual- ₹169 cr office space.
ly expanded to Central Mumbai at Bandra-Kurla Complex,
Bandra, Kalina, Worli, Dadar, Andheri, Kurla and then to the
suburbs like Malad, Goregaon, Powai. The commercial activity
of Mumbai also gave rise to micro-markets like Thane, Vashi, Landmark: Gateway of India
Kalyan-Dombivli and Vasai-Virar.
The information produced in this report is compiled from various sources perhaps contains errors or omissions. 1
Hotel Trident
The information produced in this report is compiled from various sources perhaps contains errors or omissions. 2
Hotel Trident
The information produced in this report is compiled from various sources perhaps contains errors or omissions. 3
Horniman Circle
The information produced in this report is compiled from various sources perhaps contains errors or omissions. 4
The Capital, BKC
SBD • From Q4 2017, the vacancy rates have been steady at 14%
in Q2 2018, unlike the CBDs.
₹ 275.00
• Trendline suggests the average rent to be above 300 /SF/MO
₹ 270.00 in Q4 2019
₹ 265.00
₹ 245.00
- BusinessLine, Aug 14, 2017
₹ 230.00
porate choice, SBDs emerging
₹ 225.00
2016 Q4 2017 Q1 2017 Q4 2018 Q1 2018 Q2
as new favourite for offices”
Avera ge rent (₹/SF/MO)
SBD ₹ 243.40
- The IndianEXPRESS, August 12, 2017 6.59 AM IST
₹ 243.00 ₹ 263.50 ₹ 266.40 ₹ 270.10
The information produced in this report is compiled from various sources perhaps contains errors or omissions. 5
Bharat DIamond Bourse
The information produced in this report is compiled from various sources perhaps contains errors or omissions. 6
Bandra-Worli Sealink
- Q1 2018
• The executive centre (TEC) leased a 27,000 SF office in
Maker Maxity in BKC for expansion
- Q4 2017
• Essar Oil leased a 60,000 SF facility in Godrej BKC for ex-
pansion
• Novartis leased an office space of 110,000 SF at Adani In-
spire for consolidation/expansion
• TataSky leased 55,000 SF at Windsor for relocation
• Rosneft leased 70,000 SF in Godrej BKC
Source: Google Images
Table 8:Top office buildings in the micromarke by Average Rent at Bandra-Kalina micro-market
Locality Average rent Total Area Floor size
Sr.no. Building Name
name (₹/SF/MO) (SF) (SF)
1 Hallmark Plaza Bandra East 180-240 15,00,000 25,400 - 25,400
2 Windsor Kalina 175-225 13,00,000 44,000 - 44,000
3 Grande Palladium Kalina 175-225 10,00,000 18,000 - 30,000
4 HDIL Tower Bandra East 190-210 8,05,000 31,989 - 31,990
Lotus Mid Town (Edelweiss
5 Kalina 175-200 8,00,000 18,000 - 18,000
House)
6 Orbit Plaza Kalina 150-200 6,86,743 13,750 - 13,750
7 Diamond Square Kalina 150-200 5,50,000 8,333 - 8,333
8 Centrum House Kalina 150-200 4,92,302 8,000 - 8,000
9 Avvashya House Kalina 150-200 4,47,760 15,750 - 15,750
10 Raheja Centre Point Kalina 150-200 3,50,000 14,000 - 14,000
Source: PropStack
The information produced in this report is compiled from various sources perhaps contains errors or omissions. 7
Mahim Bay from Prabhadevi
- Q2 2018
- Q1 2018
• WeWork, a co-working commercial estate company leased
the whole building Vaswani Chambers of 75,000 SF, 1B+G+3
Worli and approximately at 200-250 ₹/SF/MO.
₹ 225.00
Table 9:Top office buildings by Average Rent
Average rent
₹ 220.00 Sr.no. Building Name
(₹/SF/MO)
₹ 215.00 1 Sarjan Plaza 210-250
2 Cnergy 200-250
₹ 210.00
3 Ceejay House 200-250
₹ 205.00 4 Avantha House 200-250
5 Vaswani Chambers 200-250
₹ 200.00
6 Century Greenspan 200-225
₹ 195.00 7 Rational House 200-225
2016 Q4 2017 Q1 2017 Q4 2018 Q1 2018 Q2
Avera ge rent (₹/SF/MO) Shah House (Shiv Sagar
8 200-210
Worli ₹ 205.50 ₹ 204.50 ₹ 223.10 ₹ 223.00 ₹ 223.00 Estate)
Source: PropStack
The information produced in this report is compiled from various sources perhaps contains errors or omissions. 8
Peninsula Business Park
Source: PropStack
Table 10.2:Top office buildings by Average Rent
Lower Parel Average rent
Sr.no. Building Name
₹ 178.00 (₹/SF/MO)
₹ 177.00
₹ 176.00 1 Naman Midtown - Wing A 230-250
₹ 175.00
₹ 174.00 2 Naman Midtown - Wing B 220-250
₹ 173.00
₹ 172.00 3 Trade World-Kamala Mills 200-250
₹ 171.00
₹ 170.00 Peninsula Plaza- Peninsula
₹ 169.00 4 200-250
₹ 168.00 Corporate Park
2016 Q4 2017 Q1 2017 Q4 2018 Q1 2018 Q2
Welspun House (Trade
Avera ge rent (₹/SF/MO) 5 200
Lower Parel ₹ 172.00 ₹ 171.50 ₹ 177.20 ₹ 177.20 ₹ 174.20
Centre)
Source: PropStack
The information produced in this report is compiled from various sources perhaps contains errors or omissions. 9
Satellite Gazebo, Andheri East
The information produced in this report is compiled from various sources perhaps contains errors or omissions. 10
Powai lake
Malad-Goregaon ₹ 108.00
₹ 106.00
21% ₹ 104.00
₹ 102.00
20% 2016 Q4 2017 Q1 2017 Q4 2018 Q1 2018 Q2
Avera ge rent (₹/SF/MO)
19%
Powai ₹ 108.40 ₹ 108.40 ₹ 113.40 ₹ 115.70 ₹ 117.30
18%
17% Table 12:Top office buildings by Total area in Powai-
2017 Q1 2017 Q4 2018 Q1 2018 Q2 Malad-Goregaon micro-market
Vacancy rate Sr.no. Building Name Total Area (SF)
1 Supreme Business Park 12,00,000
Malad-Goregaon Nirlon Knowledge Park
₹ 104.00 2 Phase I (B1+B2+B3)and 10,75,000
₹ 103.00 II(B7)
₹ 102.00
₹ 101.00 3 Kensington 7,83,315
₹ 100.00
2016 2017 2017 2018 2018 Infinity Park - Building No.
4 7,83,000
Q4 Q1 Q4 Q1 Q2 4
Avera ge rent (₹/SF/MO)
5 TRIL IT 4 7,82,160
Malad-Goregaon ₹ 101.80 ₹ 101.40 ₹ 103.50 ₹ 103.60 ₹ 102.00
Source: PropStack
The information produced in this report is compiled from various sources perhaps contains errors or omissions. 11
Navi Mumbai Nagar Palika
Thane Vashi
₹ 100.00
25%
₹ 80.00
20%
₹ 60.00
15%
₹ 40.00
10%
₹ 20.00
5%
₹ 0.00
0% 2016 Q4 2017 Q1 2017 Q4 2018 Q1 2018 Q2
2017 Q1 2017 Q4 2018 Q1 2018 Q2 Avera ge rent (₹/SF/MO)
Vacancy rate Vashi ₹ 73.10 ₹ 73.10 ₹ 88.70 ₹ 83.70 ₹ 83.70
Thane
₹ 59.00 Table 13:Top office buildings by Total area
₹ 58.50 Sr.no. Building Name Total Area (SF)
₹ 58.00
1 Vishwaroop IT Park 6,20,000
₹ 57.50
₹ 57.00 2 Haware Infotech Park 6,00,000
₹ 56.50 3 International Infotech Park 6,00,000
₹ 56.00
2016 Q4 2017 Q1 2017 Q4 2018 Q1 2018 Q2 4 Satra Plaza 5,25,000
Avera ge rent (₹/SF/MO)
5 Platinum Technopark 2,50,000
Thane ₹ 56.90 ₹ 57.00 ₹ 57.80 ₹ 58.40 ₹ 57.90
Source: PropStack
The information produced in this report is compiled from various sources perhaps contains errors or omissions. 12
Bibliography
KnightFrank, 2018. India Real Estate - January - June 2018 | Knight Frank Research. [Online]
Available at: https://www.knightfrank.co.in/research/india-real-estate-january-june-2018-5716.aspx?search-id=&re-
port-id=659&rank=4
[Accessed June 2018].
Abbreviations
SF - Square feet
₹/SF/MO - Rupees per square feet per month
/MO - per month
BKC - Bandra Kurla Complex
CBD - Central Business District
SBD - Secondary Business District
PBD - Peripherial Business District
BFSI - Banking, Financial services and Insurance sector
YoY - Year on year
QoQ - Quarter on Quarter
EoY - End of Year