hello.

have been looking at projects on commercial/institutional land and have found the following options.

looking to INVEST in commercial office space with investment size of 60 lakhs. investment horizon 8+years.

https://api.indianrealestateforum.com/api//v0/attachments/fetch-attachment?node_id=42395
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1. are the cuts from expressway going to be sec-44, sec-108, mist and greater noida only??
can this change??

2. is it a good time to enter ??

3. will institutional (142,143,144,135) be better than commercial (98,124) ??

4. best one/two project to invest in and the worst as well.

senior members please advise.:)
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  • great research!

    loved reading the comment in front of Jaypee Chambers :)
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  • I am on the same boat as you. Ansal I will skip. In Advant I am unable to find smaller units, 600-800 sq feet. Loading in advant is around 50%. But its very good from inside. I would avoid cosmic as it has washrooms inside the office. You missed out wave city center. IMO at-least 300 sq feet carpet area is necessary for any office. Offices with less than 600 sq feet super area will be a risky bet.

    The main problem that I see with most offices is they are accessible through service road as there is only a single cut on the expressway. I see service roads getting very congested once people start to move in.

    IT, Techo parks are only for IT/ITES offices only.

    1 - This won't change.
    2 - I am a bit skeptical on this.
    3 - Accessibility will be the key, does not matter what kind of land it is. One key factor would be least travel time. There will be a lot of traffic jams on sector/service roads.
    4 - Best would be BPTP, Logix City Center, Wave City Center, Supertech Supernova Astralis.

    Anything above 10k bsp and more than 2 years delivery time is not VFM in my opinion.
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  • Office Space Expressway- Minimum Office Size

    I completely agree with you that minimum office space will be one important differentiation criteria. Large office spaces would be required for decent enough scale of businesses to operate. But that I guess would not like to operate from "Commercial Land". They would prefer "Institutional Land" as things get cheaper down the road.

    Small Office Spaces: Chambers/Suites etc.
    One cannot expect 300 sq ft carpet area 12000 per sqft to sell until unless its some really flashy side (marketing/legal/finance) of a mid-size business house. People will use that only if it adds a certain brand value in the visiting cards. That might be possible if the 5 Star Hotels such as Leela, Hyatt, ITC really fructify nearby.

    If its got be flashy, then certainly 300 sq ft carpet area is required, other-wise it does not conjure good image in my mind.
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  • Not entirely correct. I have a working office in Bhikaji Cama Place. Not a flashy place, rather quite a mess. Rates are around 20 - 25k PSF. Its about micro-markets. Location & Running Costs are most important.
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  • If under-construction space is acceptable as investment, then 3C Delhi1 in sector 16B is the best located project. Though 60 lacs investment amount may not be sufficient.

    Next on my radar is Logix City Centre. I'm thinking with from the angle of self-use. Progress of construction is very slow in that project but location is among the best in all upcoming projects.

    Originally Posted by Kalesh
    I am on the same boat as you. Ansal I will skip. In Advant I am unable to find smaller units, 600-800 sq feet. Loading in advant is around 50%. But its very good from inside.


    Are you sure that loading in advant for office space is also around 50%? I believe that loading for ground floor shops is ~50% but for office space it is not so high. Correct me if I'm wrong.

    In RTM office buildings on Noida expressway, advant is the best project, IMHO. AFAIK KPMG is also operational in one of the towers.

    BPTP and Bhasin mist avenue are the projects that I'd avoid.
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  • Originally Posted by ThePunjabi

    Are you sure that loading in advant for office space is also around 50%? I believe that loading for ground floor shops is ~50% but for office space it is not so high. Correct me if I'm wrong.


    I have not measured it but have visited the office complex and it should be around 45-50%. The lift lobby with reception is huge. One of the consultants dealing with Advant also said to me that loading is 50%.
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  • Expressway Micro Markets- (94,124,98,105) vs (132,135,142,144)

    Originally Posted by Kalesh
    Its about micro-markets. Location & Running Costs are most important.


    Yes, micro markets are important.

    In case of Noida Expressway, do you think it will be fair to say 94,124,98,105 will competing majorly against each other and hence, one micro market.( nearby each other, commercial land, and the similar combination of (Hotel+ retail + serviced residencies)

    Similarly, 142,144,135 and maybe even 132 as another different micro market. ( institutional, highly dependent on IT company leasing)

    1. Is the growth ( irrespective of whenever it comes) in sector 94,124,98,105 of "corporate office" segment highly dependent on IT sector alone ?? Can CA's, legal firms, marketing offices of manufacturing companies etc. be the prime driving force in these sectors??

    2. If IT sector alone is going to be prime driving growth in next 8-10 years will investment in 132,135,142,144 outperform in the next 8-10 years??

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  • Institutional Sector Decision Making

    Originally Posted by ThePunjabi
    If under-construction space is acceptable as investment, then 3C Delhi1 in sector 16B is the best located project. Though 60 lacs investment amount may not be sufficient.

    Next on my radar is Logix City Centre. I'm thinking with from the angle of self-use. Progress of construction is very slow in that project but location is among the best in all upcoming projects.



    Are you sure that loading in advant for office space is also around 50%? I believe that loading for ground floor shops is ~50% but for office space it is not so high. Correct me if I'm wrong.

    In RTM office buildings on Noida expressway, advant is the best project, IMHO. AFAIK KPMG is also operational in one of the towers.

    BPTP and Bhasin mist avenue are the projects that I'd avoid.


    sir ji.

    1. Logix City Center.. do you think there will be appreciation in Logix City Center "corporate office" @8000+ psqft. (current rate) ??

    2. Price is highly important.
    Based on available price points, choices in institutional are-:

    Advant 7100 + stamp charges + maintenance etc. OR

    unnati 3090 (apprx. min. 3-4 years construction) OR

    assotech @5500 ( tower partially constructed)
    5-6 years will still be required for whole project contsruction.

    will your pick be still "Advant" ??

    3. where are the cuts on expressway if coming from greater noida side ??
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  • I am very skeptical with new launched and projects less than 50% completion. Plus investing in small offices is better, its easier to find a 30-40k rental customers.

    In my opinion commercial office investments should be done for rental income rather than sale.

    Loading and Maintenance is important factor. For eg Spaze IT Park, Gurgaon, Rs 18 psf maintenance, 50% loading. You pay a whooping Rs 18000 Per Month for 1000/500 super/carpet area.

    1 - IT/ITES is around 40-50% of total commercial leasing market.
    2 - I see smaller offices(Non-IT) giving better returns on leasing. With so many apartments on expressway, a lot of self employed persons might want to have a office near home(lawyers, CA, entrepreneurs).
    3 - After a period of 5-7 years, I feel expressway will feel a lot of pressure from - Wave One(40 Floors), Wave City Center(2 Towers, 48 Floors), BPTP, Logix City Center, Supertech Supernova - which have a better location as compared to expressway sectors.
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  • Originally Posted by myside88
    sir ji.

    1. Logix City Center.. do you think there will be appreciation in Logix City Center "corporate office" @8000+ psqft. (current rate) ??

    2. Price is highly important.
    Based on available price points, choices in institutional are-:

    Advant 7100 + stamp charges + maintenance etc. OR

    unnati 3090 (apprx. min. 3-4 years construction) OR

    assotech @5500 ( tower partially constructed)
    5-6 years will still be required for whole project contsruction.

    will your pick be still "Advant" ??

    3. where are the cuts on expressway if coming from greater noida side ??



    In future, commercial projects near already operational metro will always command better rentals than say sector-142 (advant). So I'd go for Logix city centre or wave city centre, assuming builders will be able to complete these projects. 3C Delhi 1 is also not that far from existing metro. Big IT companies don't care much about the distance from metro or distance from nearest residential areas but for users of small office spaces, accessibility to metro etc matters a lot.

    Advant's advantage is that it has good companies already operational there and building look like well managed. A few thousand flats are likely to be ready for possession in sector-137 and 168 by 2014 end or mid-2015. Once people move into these flats, this whole area around advant will become lively.

    Since 2006, most commercial projects in NCR have not even given the return of bank FD. So investment in commercial projects may not yield decent capital appreciation. Finding good tenants for RTM commercial properties is not easy now a days.

    If someone is investing for for possible self-use then it is another matter.
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  • Wave City Center is available for Rs 7500 BSP in resale, CLP Plan. With Car Parking, Club and other charges, the entire cost escalates to Around 9k BSP. But only 30% to be paid currently. Its 48 floors, should take 7+ years to complete. As per my knowledge, B.E Billimoria is constructing the business towers.
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  • Originally Posted by Kalesh
    Wave City Center is available for Rs 7500 BSP in resale, CLP Plan. With Car Parking, Club and other charges, the entire cost escalates to Around 9k BSP. But only 30% to be paid currently. Its 48 floors, should take 7+ years to complete. As per my knowledge, B.E Billimoria is constructing the business towers.


    What is the actual construction status on the ground for this project?
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  • Originally Posted by ThePunjabi
    What is the actual construction status on the ground for this project?


    Abhi zameen saaf hai. Not even at excavation stage. Paisa collect kar rahe hai..
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  • Originally Posted by Kalesh
    Wave City Center is available for Rs 7500 BSP in resale, CLP Plan. With Car Parking, Club and other charges, the entire cost escalates to Around 9k BSP. But only 30% to be paid currently. Its 48 floors, should take 7+ years to complete. As per my knowledge, B.E Billimoria is constructing the business towers.


    Can u plz confirm the sizes and link to Builder price list for office spaces?
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  • Originally Posted by CA Rajeev
    Can u plz confirm the sizes and link to Builder price list for office spaces?


    Floor plans are available here Welcome to Wave City Center. They start from 745 sq feet. Prices you can Google easily.
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