Mumbai mimics Europe in TMT office boom

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.