TN identifies land bank for office space development in Chennai

Published On : 2024-11-28T22:26:15+0530 [ IST ] | Author : Mayur_Tembhare
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Arun RoyCHENNAI: Tamil Nadu govt is taking steps to avoid office space crunch in the state and tapping its own land bank in Chennai to build office facilities with private partnerships said a senior govt official.

He said a special purpose vehicle between Chennai Metro Rail Limited (CMRL) and TIDCO has identified 30 locations in the city adjacent to metro stations.

The incremental office space absorption in the city is higher than supply and the government is unlocking its own land and plans to develop office spaces. Given the current demand scenario there is a need for ramping up supply he said.

Analysts estimate Chennai’s gross office space absorption in 2023 at 10.8 million sq ft. They expect a similar momentum this year but a slowdown in 2025 due to shortage of office space.

He said global capability centres have become a focus area of investment promotion strategy and the state is inviting existing and new manufacturing players to set up their GCCs here.

The state is witnessing a lot of traction in GCC operations due to incentives and subsidies being offered by the state he said.

Arun Roy said while Tamil Nadu tops rankings in most economic parameters it is behind in global capability centres compared to other cities like Bengaluru Delhi-NCR, Hyderabad and Pune.

A report released at the event by CBRE states that Chennai ranked 3rd in GCC leasing after Bengaluru and Hyderabad from 2022 to September 2024 with 33% of the activity by engineering and manufacturing firms. GCCs are expected to absorb up to 3.2 million sq

Source : Reporters From Sunrise Chronicles

Tags : gcc2 million sq ft , Arun Roy Arun Roy , Chennai , Delhi , The , statearun roy said , Estimates , Pune , Earlier , Tamil Nadu ,

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