New Delhi: Rents of commercial property in Mumbai and Bengaluru are expected to rise while that of Delhi NCR is likely to remain the same in 2020, according to property consultant Knight Frank.
The Central Business District (CBD) in Bengaluru was the best performing market in Asia Pacific region in the third quarter (Q3) of 2019, registering a rental growth of 17.6 percent, according to Knight Frank Asia-Pacific Prime Office Rental Index Q3 2019.
Bengaluru’s CBD is likely to see more supply of commercial properties in 2020 while the demand is likely to remain steady.
The CBD of Bengaluru comprises of Infantry Road, MG Road and Residency Road.
“Office markets in cities like Mumbai, NCR and Bengaluru continue to enjoy healthy rental growth, despite the weaker economic sentiment in 2019, mainly due to the rapid expansion witnessed in its IT industry. Multinationals continued to expand robustly especially in Bengaluru because of availability of the right talent pool and new office assets at comparatively low rents. We expect the trend to continue for these markets as the demand for office space is expected to grow in 2020 as well,” said Shishir Baijal, Chairman and Managing Director of Knight Frank India.