Monthly Real Estate Monitor Chennai December 2012 By JLL India

 Chennai’s Residential Market..!

Tamil Nadu Capital City Chennai’s residential market experienced a huge increase of new launches during December, 2012  compared with last month.

Residential	Rents	Capital Value
Key Areas	Rs. per month for a 1,000 sq. ft 2 – BHK Flats	Rs. per sq. ft
Adyar	20,000 to 30,000	10,000 to 16,500
Medavakkam	7,000 to 14,000	3,600 to 5,000
Tambaram	6,000 to 12,000	3,500 to 4,500
Anna Nagar	15,000 to 25,000	9,000 to 14,000
Porur	5,000 to 10,000	3,600 to 5,200
Sholinganallur	9,000 to 12,000	4,000 to 5,200

 The main projects launched during the December  month included Starwood Towers by Navin Housing in Medavakkam, Ayna by Landmark in Virugambakkam, Crystal Park by Artha Property near Navalur OMR and Sindur Eternity by Maruti Builders in Egmore. In addition, Antony Associates launched an affordable project, Le Nid, near Urappakkam.

With steady consumer demand for residential units, the rents and capital values increased across most of the submarkets during the month, regardless of raising inventories

Chennai Retail Sector..!

In December, 2012 Chennai retail sector witnessed the soft launch of Ten Square Mall in Koyambedu after months of subdued activity.

Retail	Rents (High Streets)	Capital Value
Key Areas	Rs. per sq. ft per month	Rs. per sq. ft
T. Nagar	120 to 180	12,000 to 15,000
Nungambakkam	130 to 150	13,000 to 16,000
Velachery	80 to 100	10,000 to 12,000
Pre-toll OMR	50 to 70	8,000 to 11,000
Anna Nagar	110 to 140	11,000 to 13,000
LB Road (Adyar)	110 to 130	10,500 to 12,500

The high streets of Chennai continued to be the preferred location, with LG opening a three-storey showroom in Thoraipakkam OMR.

In addition, restaurants and fast food chains experienced ‘mushroom growth’, catering to the demands of an increasing migrant population. As a result, the high-street rentals improved, with mall rentals being stable.

Chennai Office Space..!

 The city of Chennai witnessed moderate leasing activity in office space during the month of December, 2012 resulting in decline in the rental growth of office properties in comparison to 2011.

Office	Rents	Capital Value
Key Areas	Rs. per sq. ft per month	Rs. per sq. ft
Mount Road	60 to 90	9,000 to 15,000
RK Salai	70 to 100	10,000 to 15,000
Pre-toll OMR	35 to 62	5,000 to 6,500
Post-toll OMR	25 to 35	3,500 to 5,000
Guindy	40 to 55	6,000 to 8,500
Ambattur	25 to 35	3,250 to 4,500

Occupancy in the Chennai city improved as there were no new completions of projects during the December  month. The notable transactions over the month included RR Donnelley leasing space at Prestige Polygon in CBD, Scope International renting space in Saligramam in SBD and Sutherland taking space on GST Road in the suburbs.

 In addition, DLF IT Park saw a decrease in vacancy, with Groupon, Global English and Truven Health leasing spaces. Rent & capital value remained stable over the month.

About Jones Lang LaSalle India..!

Jones Lang LaSalle is India’s premier and largest professional services firm specializing in real estate. With an extensive geographic footprint across 11 cities (Ahmedabad, Delhi, Mumbai, Bangalore, Pune, Chennai, Hyderabad, Kolkata, Kochi, Chandigarh and Coimbatore).

A staff strength of above 5400, the firm provides investors, developers, local corporates and 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 and 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

Assistant Vice President, Research

trivita.roy@ap.jll.com

+91 40 4040 9100

 

Share: