How Do Firms Choose their Corporate Real Estate?

Looking For Office Space For Lease 

As the Indian economy surges ahead and serves as a lodestar for global economic growth, an increasing number of international companies are either entering the country or expanding existing operations to further root themselves deeper for larger operations. Other than dealing with issues such as complex regulations, socio-economic diversity, one of the key challenges faced by growing corporations is finding suitable office space for lease.  

Though businesses at times focus and rightly so, at their core competencies while analyzing expansion strategies, quality real estate has a direct impact on the productivity of firms. Firms that have a high degree of client interface such as banks, consulting set ups, legal advisories , marketing organisations et al. create first impressions by the location and aesthetics of their real estate.  First impressions can be a very powerful tool in the world of commerce-as the adage goes “you never get a second chance to make a first impression”.

Companies naturally tilt towards the major metro cities of the NCR (National Capital Region), Mumbai and Bangalore for their corporate base in India. Whilst companies that are aligned towards IT gravitate towards Bangalore, firms businesses aligned towards finance move to Mumbai. The NCR acts as a major attraction for nearly all firms as it provides proximity to the Government that helps with approvals, sanctions for day to day operations and policy making, legislation as well as thought leadership in the larger context.

Within the NCR, Gurugram has emerged as the top destination for real estate especially office space for lease. With easy connectivity to Delhi, great transport infrastructure, residential options for all income levels and world class office developments, there remains little doubt on the ascension of Gurugram as the leading urban centre for corporate occupiers.

Within Gurugram, DLF Cybercity; essentially a collection of high quality office buildings supported by world class infrastructure acts as the Central Business District (CBD) for the commercial office market. Most companies looking for office space for lease begin their search with DLF Cybercity or most definitely consider options there.

For more details on DLF Cybercity, Gurugram please visit www.dlfcybercity.com

Drivers of Commercial Office Space in Gurugram

Commercial Office Space in Gurugram

Commercial office space requirements have undergone a sea change globally over the last decade. From office spaces typically being large boxy plans with well-defined work spaces based on hierarchy or function, office zoning has radically moved to agile layouts based more on activity and economy of design. Even cash rich corporates now focus on productivity and value generated per square feet rather than looking at real estate occupation as a mere operational cost.

Taking cue, inquiries of commercial office spaces in Gurugram also reflect these changing times. Corporates, now, are moving towards rationalizing real estate costs, exploring options to consolidate operations and even outsourcing real estate occupancy. Many large sized transactions in the realm of commercial office space in Gurugram have taken place as a consequence of corporate occupiers consolidating scattered offices into one unit at one location. This helps in reducing operational costs attributable to rent, logistics and administration by synergizing all functions in one development rather than having the same function being repeated across different locations or geographies.

The wave of the open space office model that was once de rigeur and seen as an evolution from the traditional hierarchy based office model has given way to the concept of the hybrid, agile office layout. This latest trend espouses allocation of work space in accordance with activity undertaken rather than function or hierarchy. The idea is to have dedicated spaces for all kinds of activities that happen in a work environment. Fundamentally, the concept wishes to bind the collaborative energy of an open work space with the high productivity and focus fostered by a compartmentalized traditional office layout. The best example of this concept is witnessed in co-working spaces. Planned with open, seamless seating, these facilities have dedicated quiet zones for focused thoughtful work and meetings/engagements.

Furthermore, corporates looking for corporate office space in Gurugram for short or medium time periods are increasingly looking at taking a large number of seats at negotiated rates with co-working concepts rather than investing in vanilla spaces. Though at a nascent stage, this model is being considered for long term space take ups as well as it helps companies reduce administration and capital expenditure costs.

All in all the age of flexible work space solutions has dawned and the market for commercial office in Gurugram is following suit. For more details please log on to http://www.dlfcybercity.com/ .

Business Centres in Gurugram: An Unravelling Saga

Business centres in Gurugram

Business centres in Gurugram have traditionally been real estate spaces promoted by the hotel industry or international business centre chains  or developed in house by select real estate developers. These have conventionally been viewed upon as extensions of the traditional office set up. Though billed on a per seat basis, the design, layout and infrastructure is reminiscent of the traditional corporate office with clearly sequestered rooms according to functions. The story had been progressing well with strong demand till the co-working juggernaut emerged as a major industry disruptor.

The co-working phenomenon has compelled the traditional business centre industry to introspect and re-assess its business model. On the surface of things what hits the average Jo is the “cool” quotient of co-working spaces. Looking more like cafes, they provide a vibrant and youthful environment that makes work look like fun. They dovetail well with the global entrepreneurial movement of start-ups, what with a new one spawning almost every day. The image of formal offices with staff in stifling office wear has given way to an air of informality with people in colorful, casual wear defying all established norms of work ethos. The focus is simply on the most important aspect-doing their  jobs, without any of the associated fuss of office work.

It was only a matter of time before this trend hit the market of business centres in Gurugram. Established players like the business centre chains have had to reorganize and regroup. They have amended their pitch to clients by trying to consolidate their position with existing clients and focusing on the value that they have added to their businesses. They have gone out on a limb to attract corporate tenants by offering to lease spaces directly from landlords and manage the day to day operations in response for space pre-commitments.  Co- working operators at their end have been aggressively expanding in and around prime CBD areas in their bid to establish presence and gather eyeballs.

Hence the gauntlet has been thrown, the knives sharpened and the bugle sounded! Regardless of which side survives this duel, one thing remains destined; the consumer, in this case the real estate occupier, is sure to emerge as a winner. For more details about DLF Cybercity, please log on to http://www.dlfcybercity.com/ .