MNC’s buy offices worth Rs 2,470 cr in India: Report
09/09/2014 17:04
Multi-national companies are stepping up investment in office space in Asia’s third biggest economy, a report by property consultant Cushman & Wakefield (C&W) said.
According to the report, multi-national companies have purchased offices worth Rs 2,470 crore in under three years in India, signaling a seismic shift from the traditional approach of leasing office space.
Experts reckon that, given the rising rents in prime markets where such companies operate, MNCs will derive long-term cost benefit in buying office space as against leasing it.
“Multinational companies are increasingly investing through purchasing offices in India... There is a seismic shift in the traditional approach of leasing space that such companies have had for years while considering overseas investment," C&W said in a statement.
During January 2012 and March 2014, foreign MNCs accounted for 43 per cent of the total sales value of commercial offices, the report said.
“Companies in specific sectors such as pharma and IT&ITes are looking to consolidate their research and development divisions with their front-end divisions in a single set-up and are looking for assets to purchase as it proves to be a cost effective strategy for companies”, the report said.
09/09/2014 17:04
Multi-national companies are stepping up investment in office space in Asia’s third biggest economy, a report by property consultant Cushman & Wakefield (C&W) said.
According to the report, multi-national companies have purchased offices worth Rs 2,470 crore in under three years in India, signaling a seismic shift from the traditional approach of leasing office space.
Experts reckon that, given the rising rents in prime markets where such companies operate, MNCs will derive long-term cost benefit in buying office space as against leasing it.
“Multinational companies are increasingly investing through purchasing offices in India... There is a seismic shift in the traditional approach of leasing space that such companies have had for years while considering overseas investment," C&W said in a statement.
During January 2012 and March 2014, foreign MNCs accounted for 43 per cent of the total sales value of commercial offices, the report said.
“Companies in specific sectors such as pharma and IT&ITes are looking to consolidate their research and development divisions with their front-end divisions in a single set-up and are looking for assets to purchase as it proves to be a cost effective strategy for companies”, the report said.
