The World's Most Expensive Markets as Well as Markets With the Fastest Growing Rents Over the Past 12 Months
Interestingly, according to a recent survey from property consultant CB Richard Ellis (CBRE), New Delhi's Connaught Place and Mumbai's premier business district Nariman Point are among the top ten most expensive commercial property locations in the world.
According to the CBRE survey, Mumbai is at fifth place in the world's most expensive cities with an occupation cost of $138.41 per sq. ft. per annum while the national capital ranks seven with cost of $116.19.
According to the survey, the two most expensive commercial property markets were both in London — West End at $241.22 per sq ft per annum and City of London at $165.72. The next two were in Tokyo, Inner Central at $162.09 and Outer Five Wards at $143.52.
Midtown Manhattan was the priciest market in North America; at $69.44 per sq ft per annum, it was ranked at No. 21 worldwide. In other words, setting up an office in the Big Apple is cheaper than doing so in Connaught Place or Nariman Point. An earlier global study had placed Khan Market in Delhi as the costliest commercial properties, while another recent report said residential properties & rents in Mumbai were seventh highest in the world.
The survey done byreal estate consultant CB Richard Ellis, which tracks the world's most expensive markets as well as markets with the fastest growing rents over the past 12 months, found that in terms of growth, Delhi ranked second with year-over-year rent growth of 79 percent. Only at Abu Dhabi did rentals grow at a faster pace (103 percent) over the past year. Singapore ranked fifth with a 54 percent increase and Mumbai sixth having experienced 45 percent rent growth over the last 12 months.
In fact many South Asian markets were placed among the top 50 markets with fastest growing rents, including three in the top 10.
In North America, Edmonton in Canada saw rents growing the fastest at 60 percent. Downtown New York ranked tenth with rents increasing 43 percent.
Of the 176 office markets monitored across the world, 90 percent showed positive growth in the 12 months to the first quarter of 2007. Singapore rose from the 43rd spot to the 24th in the most expensive market places list. In the Pacific region, Sydney was the only market that made it to the top 50, coming in at 44th.
"Having the second fastest rental increase in the world during the past one year is not a matter to be proud of. It clearly indicates a severe lack of supply as far as office space in Delhi goes. This will be a deterrent in attracting investments to the city," Richard Ellis (South Asia) managing director, Anshuman Magazine said.
Article Source: ArticlesBase.com - The World's Most Expensive Markets as Well as Markets With the Fastest Growing Rents Over the Past 12 Months