Demand for office space in Mumbai has been predominantly driven by technology, media and telecommunications (TMT) companies taking residence in the city, according to Jones Lang LaSalle India.
The report – issued by head of research and real estate intelligence in India, Ashutosh Limaye – outlines a trend that correlates with the prevailing inclination of the European serviced office market.
Throughout 2012, occupancy by TMT companies grew 22%, – a 7% rise from the 15% recorded in 2011. Meanwhile, the banking, financial services and insurance sector’s occupancy levels halved to 21%.
The report identified that IT companies preferred quality, affordable office space in the capital, instead of the Grade-A office space traditionally occupied by the banking, financial services and insurance sectors.