From ET Realty
Kolkata: The office space transactions in the city witnessed growth in 2015 as compared to the year before. The total office space transaction in the year stood at 1.3 million sq ft against 0.7 million sq ft in 2014. The rental values across locations in the city not having gone up in two years kept the market competitive and drove local players to expand operations or start new facilities in Kolkata.
While high streets of Park Street and Camac Street continued to top the list of best office spaces in town, RB connector turned out to be the upcoming favourite for office space. RB connector saw a number of brands taking up office space with the opening of Acropolis Mall in the area.
The Acropolis office tower in the mall with 350,000sq ft of office space closed deals with Indian Oil Petronas that took up 15,000 sq ft followed by Tollywood’s production house Shree Venkatesh Films that took up 28,000 sq ft and Dalamiya Bharat Cement that took up 14,000 sq ft. Smaller absorption in the same property included that of Panasonic that took up a 7,000 sq ft space and Jubilant FoodWorks that took up 10,000 sq ft for their corporate office.
“The average rentals across the city have not gone up for the past three years and that has driven a lot of brands to consider expansion in the city. Apart from Kolkata-based companies, a lot of national brands to are also expanding their corporate offices in the city with a special focus on the evolving markets of startups and the service sector where names like Ola, Uber and many others are on the lookout for appropriate space in the city,” Sushil Mohta, president, CREDAI Bengal.
“The Salt Lake Sector V has always been the first choice for occupiers that included corporates from the pharma, IT/ITeS and BFSI sector. Lesser congestion and availability of Grade A space are the major reasons. It also got more focus due to opening of the 4.5-kilometre-long flyover, Parama Island Flyover, which has reduced the travelling time from the city to the area to mere 20 mins,” said Champalall Baid, director at Champalall and Co, a city-based real estate firm.
The Salt Lake-Rajarhar belt saw a number of office space absorptions like Samsung taking up 20,000 sq ft in Rajarhat.