A key change in market dynamics of office spaces in Mumbai is the emergence of Bandra Kurla Complex (BKC) as the defining Central Business District (CBD) in the city, owing to its central location, coupled with the ease of utilising the existing multi-modal transport network and additional planned augmentation.
Office spaces have seen a steady transition towards open plan, wall-free work spaces by businesses across the globe. This is supplemented by large and flexible layouts, with spaces that encourage concentration whilst allowing cross-matrix communication. Increasingly, designers and employers are choosing layouts which attempt to combine the best of both worlds – the quietness of cubicle offices, with the creativity-friendly egalitarianism of open-plan offices.
As work spaces become more intuitive and employee focused, large flexible layouts with spaces encouraging communication and concentration are becoming the preferred options. As we notice office architecture in India has improved significantly over the last decade, in terms of aesthetics, sustainability, scale, and amenities, with companies seeking out locations where they can curate their own employer-employee experience.
There is a growing demand from occupiers for premium amenities at the workplace including open spaces and lush greens, and additional options cafeterias, coffee shops and multi-format dining options such as quick-service restaurants, resto-bars and fine-dining for C-suite executives. All these call for futuristic design thinking, which now plays a pivotal role in building commercial spaces.
Emergence of Bandra Kurla Complex (BKC) as a hub
In Mumbai, various corporates have been moving from South Mumbai offices in congested localities and amenity-free complexes to other areas within the city. Their migration needs are primarily centered on the need to consolidate business operations, and the solution to this is large format office spaces, which typically start at 15,000 sq ft. These spaces would enable them to consolidate their human capital across various dispersed offices leading to better operational efficiencies.
A key change in market dynamics of office spaces in Mumbai is the emergence of Bandra Kurla Complex (BKC) as the defining Central Business District (CBD) in the city, owing to its central location, coupled with the ease of utilising the existing multi-modal transport network and additional planned augmentation.
Business complexes that have addressed such needs in the past include Peninsula Corporate Park at Lower Parel, which attracted businesses operating in Nariman Point’s micro-market, and Equinox Business Park, at Kurla.
Although BKC did divert a number of corporates from South Mumbai, the area has become congested, as a result of the multiple existing and upcoming commercial buildings, leading to the cheek-by-jowl placement of office towers. This has improved scope for creation of new commercial hubs in the vicinity.
Kurla’s Growth Story
Developers are already capitalising on the latent opportunity to undertake activities in the commercial space, especially in Kurla. Workspaces appointed with world-class design and cutting-edge technologies, with high quality finishes, are underway with both ready-to-move-in as well as near-possession options. Developers are now considering various types of commercial spaces including furnished, semi-furnished, and fit-out properties, to meet the full spectrum of customer needs.
Location & Connectivity
Kurla enjoys the strategic advantage of being centrally located in Mumbai. It is connected via railways, with services from the central and harbour lines; road connectivity with LBS Road; Eastern Express Highway, and the Santacruz-Chembur Link Road. Kurla’s infrastructure is further supported by the Metro Phase I, and the Mono rail, providing improved multi-modal accessibility across the city.
End Users across Commercial & Residential Spaces
Kurla with its emergence as a mixed-used development location is poised to transform into a suburb that is an extension of BKC. The connectivity of Kurla and the development quality planned and executed thus far have been popular with commercial customers seeking high value propositions.
Residential property prices in and around Kurla have witnessed an upswing, as a result of employees looking to move closer to work. This has led to higher investments in infrastructure. Developers that initiated office developments in Kurla aimed to attract occupiers at significant rental arbitrage. A number of developers in the belt have bought significant land parcels to develop a mix of residential, commercial, and retail real estate.
Value Arbitrage
In addition to the key commercial hubs of Bandra Kurla Complex and Andheri Kurla Corridor, Kurla offers the luxuries of a CBD, at the price of a Secondary Business District (SBD). BKC, which is less than 10-minutes away by car, trades at two times higher than Kurla’s current pricing.
The above mentioned factors point towards the potential bountiful growth of Kurla as a commercial location against harmonious backdrops that offers central location, good connectivity, infrastructure augmentation, striking the perfect balance between business and the environment, and thus a strong proposition for residential developments alike.
The commercial property business in Mumbai is poised for continuous change and currently Kurla is at the forefront of leading this new wave of development. We recommend keeping a close eye on the potential of Kurla, and other similar business hubs, across Mumbai and India.
