Office rentals in Bengaluru may witness 6.6% growth in 2019: Report

New Delhi, Feb 14 (IANS) Office rental values in Bengaluru may grow at 6.6 per cent in 2019, the third highest rate globally, a Knight Frank report said on Thursday. With a rate of 6.5 per cent in office rents, the rental growth rate in the national capital would be the fourth highest globally."Bengaluru, which saw prime rental value of Rs 125 per sq ft/month in 2018, is expected to see a growth in rental value in the range of 6.6 per cent year-on-year by the end of 2019, on account of low Grade-A supply in prime markets," the report said."With demand from the information technology (IT) and ITeS (IT-enabled services) and startup sectors remaining buoyant, the lack of quality space in key markets is pushing the rentals northwards," said the Knight Frank Global Outlook Report,At 0.3 per cent rate, the prime rental values in Mumbai are likely to remain stable in this calendar year.Melbourne, Australia, is expected to witness the highest growth rate of 10.1 per cent, followed by Sydney at 8.6 per cent. Hong Kong is likely to hold the fifth position with a growth rate of 6.4 per cent in office rental values.
--IANS rrb/arm/pcj