Chennai emerges as a top destination for offshore multinational companies (MNCs) establishing Global Capability Centers (GCCs), surpassing traditional leaders Bengaluru and Hyderabad. Lower commercial rental rates, ample Grade A office space, and robust city infrastructure make Chennai an attractive choice. Its strong manufacturing sector, particularly in electronics and automobiles, complements offshore businesses. Bengaluru faces challenges with a global IT slowdown and layoffs, impacting office space leasing. Chennai's GCC market expands beyond IT sectors, attracting diverse industries like banking and R&D. This trend reflects a broader regional shift, with India and other Asian countries emerging as key hubs for cost-effective offshoring solutions.Read more

Luxury developer Baashyaam Constructions is in talks to buy a prime 4.6-acre plot in Chennai's central business district for a whopping USD 800 crore (INR 6,400 crore). This reflects the high demand and scarcity of centrally located land in the city. The existing buildings on the plot suggest Baashyaam might redevelop it into a luxury project, aligning with their focus on high-end residences. This potential deal highlights Chennai's booming real estate market. Office space leasing hit record highs in 2023, with new office space supply also reaching a 10-year peak. Developers are bullish on Chennai's commercial future. While unconfirmed, the deal signifies investor confidence in the city's central business district.Read more

Bengaluru-based real estate major Brigade Group has announced plans to invest INR 400 crores to develop an office complex called Brigade Tech Boulevard in Chennai. Spread across two towers on Pallavaram-Thoraipakkam Radial Road, the project will have a leasable area of 8.36 lakh square feet. This is Brigade Group's next commercial launch in Chennai after the successful completion of World Trade Center on Old Mahabalipuram Road. Brigade Tech Boulevard will feature world-class specifications and sustainability features to cater to the growing demand from IT/ITeS, engineering, automotive and banking sectors in Chennai's diverse office market.Read more

Tata Realty & Infrastructure Ltd. (TRIL) has achieved a remarkable feat by securing prestigious WELL Core certifications from the International WELL Building Institute (IWBI) for its commercial portfolio. The Ramanujan Intellion Park in Chennai has been awarded the highest Platinum level WELL Core Certification, making it the first in India and among the top 100 globally. TRIL is a global leader in WELL at scale, applying health-focused strategies across its entire portfolio. Intellion Parks in Mumbai and Gurugram have secured WELL Gold Precertification and WELL Health-Safety Rating. TRIL's commitment to occupant well-being through superior air quality, water quality, mold prevention, health promotion, movement encouragement, and optimized acoustics is exemplary.Read more

Embassy Office Parks REIT (Embassy REIT) makes a significant expansion move by acquiring Embassy Splendid TechZone (ESTZ), a business park in Chennai, for INR 1,269 crore. This marks Embassy REIT's entry into the Chennai market and aims to raise INR 2,500 crore by selling units to investors, enhancing its financial position for future growth. ESTZ comprises 1.4 million sq. ft of office space, with 95% occupancy by global firms like Wells Fargo and BNY Mellon. The park also offers 1.6 million sq. ft under construction and 2 million sq. ft of development potential, positioning Embassy REIT for further growth in Chennai's thriving office market. Aravind Maiya, CEO of Embassy REIT, emphasizes the acquisition's value addition to their portfolio, expanding it to over 50 million sq. ft and diversifying its presence across India.Read more

PNT Reporter

Real estate developer Shriram Properties faces a penalty of INR 446.79 crore from the Income Tax Department for FY 2017-18 under Section 270A. The penalty, related to share sales in its subsidiary, was issued under Section 153C. Shriram Properties contests the penalty in the Madras High Court, citing a 'status quo' order. Section 270A allows penalties for concealed income or incorrect filings, ranging from 100% to 300% of evaded tax. The case highlights the intricacies of tax laws in India, emphasising the need for companies to maintain accurate records and seek professional guidance for compliance.Read more

PNT Reporter

WeWork India enters Chennai, leasing 1.3 lakh square feet in Olympia Cyberspace, set to open in June 2024. This reflects the rising demand for flexible workspaces nationwide. With 54 locations and over 90,000 desks across seven cities, including a strong presence in southern India, WeWork is strategically strengthening its footprint. Olympia Cyberspace's prime location meets Chennai's growing real estate demand. Partnering with Olympia Group, this venture blends modern architecture with Chennai's dynamic energy. Since 2017, WeWork India has led the flexible workspace trend, spanning 8 million square feet across 54 locations nationwide.Read more

PNT Reporter

DLF Ltd, a prominent real estate developer, sold a 4.67-acre plot in Chennai's Guindy area to Cholamandalam Investment and Finance Company Ltd for INR 735 crore. This strategic move suggests a surge in demand for office space in the city. DLF's decision to monetize the landholding aligns with its ambitious plans to launch projects worth nearly INR 80,000 crore. For Cholamandalam Investment and Finance, a subsidiary of the Murugappa Group, this acquisition presents an opportunity for expansion, potentially leading to the development of a new corporate office in the prime Guindy location. This deal underscores Chennai's growing importance as a commercial hub, promising further growth in the real estate sector.Read more

PNT Reporter

Chennai's office market is booming, with global firms leasing over half of its 87 million sq. ft office space. STEM talent and competitive rates drive its appeal, with E&M sector leaders like American semiconductor firms and European oil companies. BFSI leasing, mainly by American firms, is on the rise. Modern developments and strong public transport facilitate even office distribution, notably in OMR Zones. 2023 saw record leasing of 10 million sq. ft, with 6.4 million sq. ft new supply, 38% green-certified. Top developers like DLF and Xander Group drive large-scale developments exceeding 1 million sq. ft, bolstering Chennai's position in India's office market.Read more

Ashiana Housing commits INR 400 crore to Ashiana Vatsalya, a specialized residential project catering exclusively to Chennai's elderly population. Situated within the vibrant Mahindra World City, the project offers a tranquil lifestyle with 66% of flats enjoying three-sided openness and 55% boasting breathtaking lake views. With holistic amenities including cultural, recreational, and wellness spaces, the project aims to redefine elderly living. Over eight years, it will meticulously develop 258 residential units in its first phase, promising tailored comfort and convenience for Chennai's seniors.Read more

LTI Mindtree is doubling its presence in Chennai's L&T Innovation Campus, adding 600,000 sq. ft to accommodate 10,000 IT professionals. Amidst Chennai's booming office market, characterized by record-breaking leasing activity, the expansion reflects the growing demand from the tech and BFSI sectors. With vacancy rates dropping by 3.7 percentage points year-on-year to 16.3% by the end of 2023, Chennai's office market becomes even more attractive for expansion-seeking businesses. Such expansions not only signal business growth but also contribute to the city's evolving economic landscape amidst rising demand for office space.Read more

Brigade Group collaborates with PVP Ventures Ltd for a major project in Chennai, constructing a sprawling 2.5 million sq ft residential complex in Perambur, expecting INR 2,000 crore revenue. Chennai's diverse industries make it an ideal market. Managing Director Pavitra Shankar emphasizes Chennai's significance alongside Bengaluru and Hyderabad. With over 12 million sq ft land bank, Chennai is their second-largest market. Brigade Group diversifies into hospitality, leasing a 250-room resort along East Coast Road. Plans include adding 1200 keys in four years. Additionally, they aim to expand commercial real estate, adding 3.15 million sq ft of office space by FY25, driving sustainable growth across key markets.Read more

Mahindra Lifespaces Developers Limited (MLDL) launched its second plotted development project for FY-24, 'Green Estates by Mahindra,' at Mahindra World City in Chennai. Spanning 27 acres, the development offers plots ranging from 750 sq. ft. to 2400 sq. ft., emphasizing customized living amidst lush green open spaces. Situated against the scenic Paranur Hills backdrop and adjacent to three lakes, the project integrates seamlessly with nature. With a captivating 1.2-acre central park and nature-inspired amenities, it aims to foster community living.Read more

DRA Homes, a prominent real estate developer in Chennai, unveils a strategic investment plan of INR 2000 crore for FY 2024-25, with a INR 500 crore commitment for Chennai's development. Funding will be sourced from equity, internal accruals, family offices, and structured debt. Targeting the mid-segment market, the company plans to introduce commercial developments, villas, and layout stocks. Over the next 3-4 months, projects spanning 1.2 million sq ft will be launched, projecting a turnover of INR 750 crore. Ranjeeth Rathod, MD of DRA Homes, emphasises confidence in Chennai's real estate potential amid robust commercial and residential demand, supported by accolades for excellence and innovation.Read more

Udhayam theatre, a historic cinema hall in Chennai, is scheduled for demolition to pave way for a residential complex on its 1.31-acre property in Ashok Nagar, Chennai. Established in 1983 as one of the city's initial multiplexes, the theatre complex, housing Udhayam, Mini Udhayam, Suriyan, and Chandran theatres, will be replaced by a residential development. The decision to replace the iconic structure with a residential complex comes in light of low profitability and financial constraints. The closure has stirred nostalgia among cinema enthusiasts, reflecting a broader trend of traditional theatres facing challenges and closures amid the growing popularity of online streaming platforms.Read more

Casagrand, a leading real estate developer in South India, has launched Casagrand Medora, a premium residential project in Chennai's Korattur area, offering 155 luxurious apartments with 40+ amenities. Strategically located near Anna Nagar, the project stands out with an attractive price of INR 6999 per sq.ft., providing a holistic living experience in the heart of the city. Casagrand Medora emphasizes convenience, elegance, and functionality, featuring architectural finesse, world-class amenities, and meticulously crafted residences, demonstrating the developer's commitment to upscale urban living in Chennai.Read more

CapitaLand India Trust (CLINT) plans to acquire three industrial facilities at OneHub Chennai, India, in a deal valued at approximately INR 268 crore (USD 43.2 million). The forward purchase agreement with Casa Grande Group includes funding for project land lease and development. CLINT will fund in three phases, acquiring upon completion, with Phase 1 expected by the first half of 2025. This expands CLINT's industrial presence in Chennai amid growing demand. The move aligns with CLINT's strategy to diversify and capitalize on India's industrial growth. Notably, CLINT's portfolio includes two business parks, three industrial facilities, and a data center in Chennai.Read more

Purva Land, the plotted development arm of Puravankara Limited, recently unveiled Purva Soukhyam, a wellness-themed plotted project in Guduvancheri, Chennai. Covering 120 acres, it boasts 2,200 plots with sizes ranging from 600 sq. ft. to 5,000 sq. ft., accompanied by 35+ amenities, a 30,000 sq. ft. clubhouse, and a focus on wellness. Reflecting post-pandemic preferences, Puravankara anticipates heightened demand for plotted developments, providing buyers with the freedom to construct personalized homes. Purva Soukhyam's strategic location, 10 minutes from Grand Southern Trunk Road, excellent connectivity, and proximity to key facilities enhance its appeal.Read more

The Shriram Group is in discussions with Warburg Pincus and Bain Capital for the sale of its housing subsidiary, Shriram Housing Finance Ltd., at an estimated value of Rs 5,000 crore. This move, part of a Chennai-based growth strategy restructuring, involves Shriram Finance holding an 85% stake and engaging reputable investment banks like Barclays, JM Financial, and Avendus Capital. Talks suggest potential deal closure by the end of the upcoming June quarter. The market has responded positively, with bids in the Rs 5,0000-5,500 crore range, indicating high valuation and credibility of potential acquirers. Proceeds from the sale will fortify the group's financial services portfolio and support new ventures.Read more

Bengaluru's Brigade Group aims to develop 15 million sq ft in Chennai by FY27, focusing on 80% residential launches. With an investment of Rs 3,400 crore, it plans to add 4 msf residential and 1 msf commercial space in the next two years. The company is set to launch a mixed-use project at Mount Road, including one of the tallest towers in Chennai. Additional projects include a 3.5 msf residential development in Sholinganallur and an office park. Amidst Chennai's real estate resurgence, 2023 witnessed increased apartment and housing unit sales, while office transactions saw a remarkable 92% growth.Read more