With better connectivity, commercial spaces are coming up in the outskirts. Easy access to different parts of the city, higher FAR, and large land parcels are making locations in the outskirts and along the Outer Ring Road (ORR) favourable for commercial development.
The ORR is also emerging as a leading destination for residential development as a result of the commercial growth, leading to a more balanced development pattern and also making the locations self reliant. Additionally, the Metro Rail will also be connecting some key entry points of the ORR, further adding to the attraction of the locations around. It connects important commercial and industrial centres such as Whitefield and Electronic city.
Emerging commercial hubs
According to source, in the north the Hebbal-Outer Ring Road (ORR) stretch, Bellary Road and Devanahalli are areas which are witnessing commercial development now. In the south, Bannerghatta Road, Hosur Road, Electronics City, and Sarjapur Road are coming up as commercial belts. In the east, Whitefield and the Marathahalli-Outer Ring Road stretches are emerging as commercial hubs. In the west, Mysore Road and Peenya have had some activity on the commercial front. Tumkur Road is witnessing development too.
There is a significant impact on the surrounding primary and secondary residential catchments due to increased commercial development. The absorption of office space in the first quarter of 2010 along the Hebbal-ORR was 0.03 million sqft. The projected supply for this year is 0.56 million sqft. Along Tumkur Road, while the absorption was 0.53 million sqft, the projected supply is 1.35 million sqft. Along the Marathahalli-Sarjapur ORR belt, around 3.43 million sqft of commercial space was absorbed in the first quarter of this year.
According to Karun Varma, Managing Director (Bangalore), JLLM, in the north, IT and ITeS companies are present and setting up offices around the Hebbal-ORR stretch. Along the ORR in the south, Electronics City, Bannerghatta Road, Hosur Road, and Sarjapur Road are the preferred locations for IT/ITeS and biotech companies. Whitefield, Marathahalli-ORR, and Old Madras Road have already seen commercial growth. They are witnessing the setting-up of IT/ITeS and semiconductor companies. In the west along the ORR, Mysore Road, Peenya, and Tumkur Road have IT/ITeS and manufacturing companies.
A report by Cushman & Wakefield lists out locations around Hebbal and the Marathahalli-Sarjapur Road stretch as upcoming commercial areas. Mysore Road and locations off Mysore Road have both commercial and industrial facilities. Tumkur Road mainly has industries. The southern part of the ORR is dominated by residential development with a few commercial office buildings most catering to IT and other service industries. There are a few stand-alone retail stores and factory outlets but currently, there are no mall developments. In future, this area is expected to witness a growth in residential development and some retail development too.
Kaustuv Roy, Executive Director (India), Cushman & Wakefield, adds, “Connectivity and accessibility to most locations across the city is the primary reason why the entire corridor has seen a growth in commercial office space activities. The eastern belt along the ORR is where the maximum commercial office space buildings are located which are a mix of both software parks and SEZs. This location is expected to witness further growth in commercial office space supply. There are a few residential and some highstreet and stand-alone retail establishments. This is a high potential corridor for retail development.”
Source: Times Property
