Volume # 108  
ExclusiveTenantRep.com l Greater Norfolk
 
Bangalore, India
 
Bangalore and its Commercial Real Estate Marker are unique in many respects. Did You Know...
 
•   Bangalore, also known as Bengaluru, is the capital of the Indian state of Karnataka. It has a population of about 5 million and a metropolitan population of 6.5 million, making it India's third largest city and fifth-largest metropolitan area.
 
•   The city is one of India's fastest growing markets and the third-largest hub for high net worth individuals after Mumbai and Delhi. Its per capita income of US$ 6,460 is the highest for any Indian city.  
 
•   It is home to an impressive array of colleges and research institutions, which explains the second-highest literacy rate amongst the surrounding metropolitan cities in India.
 
•   Bangalore is referred to as the "Silicon Valley of India" because of the large number of IT companies in the city, which contributes approximately 38% of India's US$22 billion IT and software export market.
 
•   Biotechnology is an expanding industry in the city. The city of Bangalore accounts for 47% of the 265 biotech companies in India.
 
•   The Bangalore Stock Exchange is the largest in South India. It was founded in 1963 and has 595 regional and non-regional companies listed. 
 
•   Several projects are under construction with the intention to solve some of the problems created by the rapid economic growth. A new International Airport is expected to be operational by April 2008, and an intra-city rapid rail transport system is expected to be operational by 2011. 
 
•   The commercial real estate market in Bangalore remains strong. Demand in the CBD is driven by financial institutions and corporate houses, while the IT/ITES sector dominates the SBD. Around 6 million of square feet of office space are currently under various stages of construction in the CBD and the SBD.
 
•   It is estimated that annual rental values in the CBD will increase, while those in the SBD will stabilize. The retail commercial sector is also expected to follow a similar growth trend due to Bangalore's highly paid IT/ITES workers. 
  
Bangalore
Population
6,520,000
Area
269 mi2
Av. Ann. Temp
74.3o F
Av. Ann. Rainfall       
38.81 Inches
Literacy Rate
85.7%
India
Nation's GDP
$4.042 Trillion
Real GDP Growth
8.5%
Inflation Rate
5.3%
Prime Lending Rate
11.8%
Unemployment Rate
7.8%
Labor Rate
510 Million
Exchange Rate
1 INR = $0.02
Rental Rates
(US$/Sq Ft/Month)
 Office
Low - High
Vacancy
 CBD
 New
$1.32 - $1.65
5.0%
 Grade A
$1.10 - $1.43
10.0%
 Grade B
$0.77 - $1.10
20.0%
 Non CBD
 New
$1.10 - $1.32
10.0%
 Grade A
$0.77 - $1.10
17.0%
 Grade B
$0.55 - $0.77
25.0%
 Retail
 Low - High
 Vacancy 
 CBD
$1.10 - $4.40
10.0%
 Industrial
 Low - High
Vacancy
 Manufactu.
$0.22 - $0.55
25.0%
 
For further information on doing business in this market, please contact:

Timothy J. McEvoy, SIOR
ITRA / ExclusiveTenantRep.com
tmcevoy@itraglobal.com
+1 (757) 747-7440

Global Real Estate Services provided by the ITRA and AsiaPac International Partnership
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