'Nariman Point world's fifth most expensive office location'

Mumbai's Nariman Point area is the fifth most expensive office location in the world with an average annual rental of $107 per sq ft, according to realty services frim by Cushman & Wakefield.

Mumbai's central business district edged past the Russian capital Moscow to gain the one point and is preceded by Tokyo, London West End, Hong Kong and Dubai in the survey conducted in 123 key locations in 63 countries across the world.

Cushman & Wakefield, however, said the rental rates in the heart of India's financial capital has dipped by around 20 per cent in 2009 compared with the year-ago period.

Tokyo CBD is the most expensive office location in the world with an average annual rental rate of $190 per sq ft.

In the Asia Pacific region, India retained its last year's position in the top ten capturing three slots - Mumbai CBD, Mumbai Worli and New Delhi CBD at third, fourth and fifth position, respectively.

"Rental corrections experienced across India in 2009 have made the office market more attractive for end-users. With corporates reconsidering expansion plans and anticipating rationalising of rental values, we expect the demand in 2010 to be buoyant," Cushman & Wakefield Executive Director Occupier Service Arvind Nandan said.

The focus is likely to be the key markets of NCR, Mumbai and Bangalore in the early part of the year, he said, adding that the IT/ITeS sector would bring in demand in the later part of 2010.