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Office space for rent in Bangalore
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   Commercial space for rent in bangalore   Plug and play office space for rent in Bangalore   Office space for rent in bangalore   Shell office space for rent in bangalore   stand alone buildings for rent   Commercial Space for rent in Bangalore
  Plug and Play Office Space or Furnished office space
 

An Plug and play office space is generally a office space which is ready to occupy by an company and to start their business where everything needed for an office space will be pre-builded and kept ready to start and run an business.

The plug and play office space includes Ready to occupy spaces like Reception, Server room, Workstation (System Placing tables), Cabins, Disc room, Conference room, Library, Pantry area, Cafeteria, PABX (private automatic branch exchange), EPABX (electronic private automatic branch exchange), Data service, Voice Services, Access Control Services, wiring, network electronics, telephone system and wireless infrastructure to support a variety of needs, such as local and long-distance telephone, Internet access, local area network (LAN), wireless network, and connection to remote offices via a wide area network (WAN).

 
     
 

India real estate: Snapshot 2011

  Market forces of demand and supply are the most potent determinants of price and the developments in the real estate industry during year 2011. The stalemate between the buyers and developers is weakening as developers attempt to salvage their position by adopting to the last resort of reducing property prices although in a quiet manner for transactions on table or where a large upfront payment is agreed.

Demand for real estate is a derived demand and thus the state of economy has a direct bearing on the sector. Since the slowdown in 2008-09 on the backdrop of global financial crisis, the Indian economy picked up really well in 2009 and 2010. However, a closer look at the quarterly GDP numbers indicates a receding growth sequentially for each of the quarters since Q1 2010 when the economy grew by 9.4%. The latest number for Q3 2011 indicates that the economy’s growth rate has come down to 6.9%.in the real estate industry during year 2011. The stalemate between the buyers and developers is weakening as developers attempt to salvage their position by adopting to the last resort of reducing property prices although in a quiet manner for transactions on table or where a large upfront payment is agreed.

Demand for real estate is a derived demand and thus the state of economy has a direct bearing on the sector. Since the slowdown in 2008-09 on the backdrop of global financial crisis, the Indian economy picked up really well in 2009 and 2010. However, a closer look at the quarterly GDP numbers indicates a receding growth sequentially for each of the quarters since Q1 2010 when the economy grew by 9.4%. The latest number for Q3 2011 indicates that the economy's growth rate has come down to 6.9%.

While the world economy was facing pressure of an imminent double dip recession and some European economies risked defaulting on their debt, inflation remained the primary concern for the Indian economy since the beginning of the year. While the central bank's efforts centered on taming inflation, the fallout was high interest rate and tight credit scenario resulting in to faltering economic growth. Rising corporate governance issues and menace of corruption ensured that decisions on major reforms were delayed. While investment slowed on account of high interest rate and hiatus on major infrastructure projects, government's ability to increase consumption, as witnessed during the 2008 downturn, was reduced because of rising fiscal deficit. The unfolding of these developments has resulted in a compromised economic growth and the real estate industry has taken the biggest hit. Thus, the year 2011 can be referred as a dull year on account of slack transaction activity, few project launches and stagnant property prices.

While residential property price appreciated between 10% - 30% in 2010 across major cities like Mumbai, NCR, Bangalore and Chennai, it has declined by up to 10% in 2011. The pace of new project launches has severely been crippled in 2011. During 2010, 3,61,098 residential units were launched across the top 7 cities of Mumbai, NCR, Pune, Kolkata, Bangalore, Chennai and Hyderabad. However, in 2011 only 1,72,856 units were launched. This is a decline of 52% from the last year. Moreover, of the total housing inventory pertaining to the under construction projects, 39% or 3,06,859 units are lying unsold. A substantial portion of this unsold inventory belongs to the NCR market.

Mumbai property market was even worse recording a sharp decline in the number of new project launches in 2011. Just about 19,470 units were launched in 2011 in comparison to the 54,968 housing units that were launched in the previous year. This decline of 65% fewer launches highlights the lack of buyer interest in the extremely expensive Mumbai property market. Moreover, 40,660 housing units or 32% of the inventory is lying unsold in the city. Although the situation remained grim throughout the year, there was a stalemate between the buyers and the builders, who remained in a denial mode with respect to lowering the prices.

Commercial office space demand, which is driven mainly by the service sector industries like BFSI and IT/ITES, remained muted in 2011. Rentals in the top 7 cities remained under pressure as corporates trimmed hiring plans resulting in to reduced office space requirement. Of the total office stock of 367 mn.sq.ft. in these cities, 24% or almost 89 mn.sq.ft. remains vacant. NCR, Pune, Chennai and Kolkata have a high proportion of vacant stock followed by Mumbai and Bangalore. Hyderabad office market is relatively better placed in terms of the unoccupied stock.

The landmark reform with respect to the sector was the draft real estate regulation bill. The proposed bill is the first such bill at the central level which will directly regulate the real estate sector and adjudicate any dispute between the buyer, promoter and government authority. The bill attempts to overcome the shortcomings of the existing system in the real estate market where buyer's interest is frequently ignored by the promoter as well as the government. The bill tries to identify these problem areas and fix time bound responsibility on the promoters to disclose certain necessary information regarding their projects in order to bring in greater level of transparency. It would be a great effort if this bill improves focus on development of the sector than merely regulating it. Another reform proposed in 2011 but could not take off is the FDI in multi-brand retail. There is restriction on foreign investment in retail sector. Foreign participation in the retail sector should bring in efficiency in the procurement and supply chain operations thereby reduce wastage and offer lower prices to consumers. The proposal to relax the restriction on entry of foreign players by allowing 51% FDI in multi-brand retail and 100% in single brand retail will greatly benefit the real estate industry, which has been in pressure since the beginning of the global financial crisis.

Outlook 2012
What is in store for the real estate sector in 2012 remains the biggest question. In terms of the residential segment, the deadlock between the buyers and developers should break in favour of buyers, according to Knight Frank research. As this happens, the pent up demand from the section of buyers that are sitting on fence in anticipation of price correction would translate into improved fortunes for residential property market. Employment scenario, inflation and interest rate have a bearing on the overall sentiment of buyers. Since, houses are bought by people who are confident, these factors will have a role to play and hence cues from the government action will be keenly observed.

In terms of the commercial office market the performance of the service industry has a significant bearing. The slowdown in global economy which impacts the Indian BPO sector and muted expansion plan of domestic players will exert pressure on the commercial office property market. The commercial office market shall continue to remain subdued on account of weak global and domestic economic indicators. As policy deadlock breaks and reforms gather steam leasing activity shall improve. The rentals, however, will remain under check on account of a strong supply pipeline in major commercial centers.

(Pranab Datta is Vice Chairman & Managing Director, Knight Frank India. Views expressed here are his own and do not represent those of The Indian Express)
 
     
 

IT BPO cos driving realty boom, acquiring 80% office space

 

The IT-ITeS industry is single handedly driving the real estate boom in India. According to realty experts, IT-BPO companies account for 80% of total commercial space absorption in India. Currently about 130 million square feet is acquired by IT-ITeS companies and the demad by them is expected to shoot up to 500 million sq ft by 2010. This year, eight out of the top 10 property transactions were in the IT-ITeS sector.

Largest property transactions in the first two quarters of 2006 include Lucent (350,000 sq ft-Bangalore), TCS (300,000 sq ft-Chennai), Satyam (200,000 sq ft-Chennai), Wipro (154,000 sq ft-Chennai) and CSC (125,500 sq ft-Gurgaon). In the National Capital Region of Delhi, IT ITeS accounts for 75% space acquisition. In 2005, about 20 million of the 25 million sq ft office space acquired, belonged to the IT-ITeS companies.

The IT-ITeS industry is single handedly driving the real estate boom in India. According to realty experts, IT-BPO companies account for 80% of total commercial space absorption in India. Currently about 130 million square feet is acquired by IT-ITeS companies and the demad by them is expected to shoot up to 500 million sq ft by 2010. This year, eight out of the top 10 property transactions were in the IT-ITeS sector.

Largest property transactions in the first two quarters of 2006 include Lucent (350,000 sq ft-Bangalore), TCS (300,000 sq ft-Chennai), Satyam (200,000 sq ft-Chennai), Wipro (154,000 sq ft-Chennai) and CSC (125,500 sq ft-Gurgaon). In the National Capital Region of Delhi, IT ITeS accounts for 75% space acquisition. In 2005, about 20 million of the 25 million sq ft office space acquired, belonged to the IT-ITeS companies.

Currently there are about 1.3 million people working in Indian IT-ITeS sectors. Taking the standard 100 sq ft/employee (some companies keep it at 120 sq ft), about 130 million sq ft is currently acquired by IT-BPO companies. Of this 87.8 million sq ft is acquired by IT companies while 41.5 million sq ft by BPO companies. According to Nasscom-McKinsey data, over 1 million more people will be added in the IT-ITeS sectors by 2010. This will result in a demand for over 100 million sq ft of office space by 2010.

"Over the next four years about 30 million square feet of space will be acquired annually by Indian IT-BPO companies alone. This is a conservative estimate, as companies are adding auditoriums, clubs, gyms to provide world class facilities in order to lessen attrition and attract talent. The IT-ITeS sectors are growing at 33% per annum but the real estate sector is a bit more than that annually due this additional space added," says property advisory DTZ's India MD Ankur Srivastava. Each job results in a requirement of an additional 400 sq ft of residential space per person. So, an additional 400 million sq ft will be required to fill in the residential gap by 2010.

In Bangalore about 10 million sq ft and in Delhi about 8 million sq ft space will be added this year taking the total commercial lease hold acquisition to over 35 million, say experts. The markets of NCR, Bangalore, Hyderabad, Chennai and Mumbai alone account for over 90% of space acquisition in India.


 
   
 

Benefits of Rented or Plug and Play office space.

  When people rent their office space rather than purchase, they are not forced to remain in same place.

If the building becomes inadequate for whatever reason, the business owners have to wait for the lease to expire and move to a more suitable location. If the amount they are paying becomes cost-prohibitive, they can also decide to move to a less expensive property without having to worry about selling the property.

Business owners who choose to rent their office space can concentrate on their businesses.

If they were the owners of the building, they would have to perform the maintenance duties and pay for any repairs that will need to be done. Without all of these extra duties and worries, they are free to be innovative and create new products or perfect the services they provide.


 
 

Five Proven Tips to Help You Negotiate in a Buyer's Market

  1. Be Informed

I can tell you without exception who always wins in a negotiation—the one who has the most information and uses it wisely. It's the one tool that's imperative in any negotiation. Information leads to the right price for a property. It puts details in perspective. It lessens tensions. And it keeps emotions in check. Take away: Burn the midnight oil and do your homework.

2. Don't Lower Your Commissions

This is a key point…because in a buyer's market, many, many REALTORS® automatically put their commissions on the auctioning block. But if you lower your commission to get a seller's business…what does that really say to the seller? That you're easily willing to come down on price—not what a seller wants to hear!

3. Handle Offers with Care

Never flat out reject an offer. Sure, you'll get offers that you simply can not accept…and that you might even find insulting…but be careful and tactful with how you respond to those offers. You've done your homework to arrive at the asking price, so explain that to those who make offers instead of a flat rejection.

4. Keep a Positive "This-Will-Work" Attitude

Imagine how comfortable you'd be on the operating table with a surgeon who's sending out vibes that things might not pan out. You're confidence in that surgeon sinks. And you want to get the heck out of there! So, in all situations, focus on solutions and persist without exception. No matter how bad things get, think creatively. There really is a solution to every problem. And if you persist and emerge with a solution to a seemingly impossible situation…you'll look like a super hero. This is hard. Cause it will take time. You may look like a fool but keep begging for more time.

5. Ask for Help

At any sign of trouble, go for help. Ask an expert, mentor or coach what you should do in a sticky negotiation situation. Better yet, hook up with someone that will support you and ask them to commit to being available for help. Best yet, hook up with two people: someone from real estate and someone from a different field. The person outside of your industry will be able to give you fresh insight never heard of before.

 
 

Six Effective Ways to Win More Negotiations

  1. Start with a Fair Price and Offer

There's no question that significantly overpricing a home will turn off buyers. Likewise, making an offer that's far lower than the asking price is practically guaranteed to alienate sellers. It might seem obvious but asking and offering prices should be based on recent sales prices of comparable homes. Make it reasonable. Make it fair.

2. Respect the Other Side's Priorities

Knowing what's most important to the person on the other side of the negotiating table can help you avoid pushing too hard on hot or sensitive issues. For example, a seller who won't budge on the sales price might be willing to pay more of the transaction costs or make more repairs to the home, while a buyer with an urgent move-in date might be willing to pay a higher portion of the transaction costs or forgo some major repairs.

3. Be Prepared to Compromise

"Win-win" doesn't mean both the buyer and the seller will get everything they want. It means both sides will win some and give some. Rather than approaching negotiations from an adversarial winner-take-all perspective, focus on your top priorities and don't let your emotions overrule your better judgment.

4. Meet in the Middle

Can't decide who will pay the recording fee? Can't agree on a close-of-escrow date? Arguing over cosmetic repairs? Splitting the difference is a time-honored and often successful negotiation strategy. Pay half the fee. Count off half the days. Fix half the blemishes.

5. Leave it Aside

Politicians and corporate executives are famous for their "for future discussion" agreements. If you have a major sticking point that's not material to the overall contract (e.g., the purchase of furniture or fixtures), finish the main agreement, then resolve the other difficulties in a side agreement or amendment. This technique allows both sides to recognize and solidify basic areas of agreement, then move ahead toward a fair compromise on other terms and conditions. Summarizing the points of agreement in writing is another helpful strategy.

6. Ask for Advice

Successful REALTORS® tend to be experienced negotiators. They've seen what works and what doesn't in countless real estate transactions, and they've established a track-record of bringing buyers and sellers together. Consult a trainer about negotiating strategies, win-win compromises and creative alternatives.