Slump sees city slip on list of costliest office spaces
The slowdown has pulled the city down to sixth spot from last year’s fourth on the list of most expensive office locations in the world.
The new rankings were released in a report titled ‘Office Space Across the World’ prepared by global property consultants Cushman & Wakefield.
The firm compared rents in 202 cities in 57 countries. The report said Nariman Point, the financial hub of the country, ranked sixth as rents there had come down to Rs 400 per sq ft from Rs 436 last year.
The report said Hong Kong led the world office rental market, followed by Tokyo and London.
Another location in the city, Worli, was placed 10th, with rentals hovering around Rs 350 per sq ft compared to Rs 390 last year.
Kaustuv Roy, executive director, Cushman and Wakefield, on Wednesday said there were two chief reasons for the reduction in rents in Nariman Point.
“As it’s the premier financial hub of the country, the global slowdown has affected business and the rental market,” said Roy.
“Also, other financial centres like Worli and Bandra-Kurla Complex are emerging as strong contenders to Nariman Point.”