Monthly Real Estate Monitor May 2012 - Hyderabad By JLL India

A monthly (2012, May) snapshot of what is happening in the Indian real estate market of 7  major cities By Jones Lang LaSalle (JLL) India

The major cities are..!

1. Chennai

2. Bangalore

3. Hyderabad

4. Delhi

5. Kolkata

6. Mumbai

7 .Pune

Hyderabad

Office Market..!

                                                     

Demand remained stable with good leasing & preleasing activity. Vacancy rate decreased  marginally as there was no new office space supply in the city.

A few key transactions in May include  Callidus leasing SEZ space in Mindspace, AT and T leasing space at The V & JDA leasing space in Meenakshi Tech Park, all of which  are located in the Hitec City sub-market.

Office	Rents	Capital Value
Key Precincts	INR per sq ft per month	INR per sq ft
Begumpet	45-55	4,500-6,500
Banjara Hills	50-60	4,500-7,500
Hitec City	34-42	4,000-5,200
Gachibowli	34-38	4,000-5,000
Uppal	25-35	3,000-4,000
Shamshabad	20-25	3,000-4,000

After a steep rise (over past 2 quarters) due to depletion of quality leasable space, rents and capital values remained stable across all sub-markets over the

month.

Retail Market..!

Retail demand remained stable in prime as well as  sub-urban high streets of Hyderabad as there was  limited mall space available for leasing. Upcoming

malls such as Prestige’s Forum Crystal, Manjeera Trinity & Manjeera Majestic continued to witness stable pre- leasing activity.

Retail	Rents	Capital Value
Key Precincts	INR per sq ft per month	INR per sq ft
Banjara Hills	100-120	10,000-12,000
Jubilee Hills	110-140	11,000-14,000
Secunderabad	80-100	8,000-10,000
Hitec City	100-120	10,000-12,000
Kukatpally	80-100	8,000-10,000
Dilshuknagar	60-80	6,000-8,000

Zamini pre-committed space in Manjeera Trinity  Mall. Vacancy rates remained stable in existing malls. Overall mall rents remained unchanged across all sub-markets.

However, a few select good quality properties along prime high streets such as

Banjara Hills and Jubilee Hills continued to quote rents higher than the market average.

Residential Market..!

Residential sales picked up pace in select projects. But market sentiment continued to remain reserved.  Major launches in May were Vasavi Bhuvana at Srinagar Colony & West Metro at Chandanagar.

Residential	Rents	Capital Value
Key Precincts	INR per month for a 1,000 sq ft 2BHK apartment	INR per sq ft
Banjara Hills	13,000-20,000	5,500-10,000
Begumpet	10,000-15,000	3,500-4,000
Kondapur	10,000-15,000	2,800-4,500
Tellapur	8,000-12,000	2,200-2,800
Kukatpally	7,000-10,000	3,300-3,500
Miyapur	5,000-6,000	1,800-3,300

 

Capital values of selected projects in prime locations increased due  to good sales volume, but overall capital values remained stable due to moderate sales.

INFRASTRUCTURE ONGOING..!

•  HMDA  (Hyderabad Metropolitan Development Authority) approved an inter-city  bus terminal at Miyapur.
•  71.6-km-long Hyderabad metro rail project is almost ready for implementation. The phase I of the project will cover 2 tracks - 8 kms between Nagole and Mettuguda & 12 kms between Miyapur and Ameerpet which are expected to be complete by end of 2014.

Src: Jones Lang LaSalle

About Jones Lang LaSalle..!

Jones Lang LaSalle is a financial and professional services firm specializing in real estate. The firm offers integrated services  delivered by expert teams worldwide to clients seeking increased value by owning, occupying or investing in real estate. With 2011 global revenue of above USD 360 crore, Jones Lang LaSalle serves clients in 70 countries from above 1,000 locations worldwide, including 200 corporate offices.

The company is an industry leader in property & corporate facility management services, with a portfolio of approximately 180 crore square feet worldwide. LaSalle Investment Management, the company’s investment management business, is one of the world’s largest & most diverse in real estate with USD 4,790 crore of assets under management.

Jones Lang LaSalle has over 50 years of experience in Asia Pacific, with over 20,800 employees operating in about 80 offices in 13 countries across the region. The company was named the Best Property Consultancy in Asia Pacific at ‘The Asia Pacific Property Awards 2011 in  association with Bloomberg Television’. For further information, please visit  website, www.ap.joneslanglasalle.com

About Jones Lang LaSalle India..!

Jones Lang LaSalle is India’s (JLL India) premier &  largest professional services firm specializing in real estate. With an extensive geographic footprint across eleven cities (Ahmedabad, Delhi, Mumbai, Bangalore, Pune, Chennai, Hyderabad, Kolkata, Kochi, Chandigarh &Coimbatore) and a staff strength of over 4800, the company provides investors, developers, local corporate & MNCs (multinational companies) with a

comprehensive range of services including research, analytics, consultancy, transactions, project and development services, integrated facility management, property and asset management, sustainability, Industrial, capital markets, residential, hotels, health care, senior living, education &retail advisory. For further information, please visit

www.joneslanglasalle.co.in

For more information..!

Ashutosh Limaye

Head, Research and REIS

ashutosh.limaye@ap.jll.com

+91 98211 07054

Trivita Roy

Manager, Research

trivita.roy@ap.jll.com

+91 40 4040 9100

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