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Make in India enhances office leasing in the manufacturing sector

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The manufacturing sector cataloged a two-fold jump in the first half of 2016 .

By Baishakhi Dutta

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According to a Knight Frank report released early this week, the Make in India dynamism has sustained the manufacturing sector ease up office space as IT/ITeS sector has started losing its paramountcy in the space.

The Make in India initiative, launched by Prime Minister Narendra Modi in September 2014 it was to inspire foreign manufacturers to set up factories in India by mitigating business rules and streamlining approval process.

Office space leased by companies such as Samsung and Honeywell in Gurgaon, and Oppo in Noida contributed significantly to the sector’s demand in this half, according to the report.

In the commercial capital Mumbai, manufacturing sector transactions recorded a 95% jump with companies from chemical and pharmaceutical sectors taking up office spaces in Andheri-Kurla, Bandra Kurla Complex, Vikhroli and Powai. Chennai has also seen the manufacturing and other services sector gaining market share, especially in the last 18 months, with companies like Renault-Nissan and Ford taking up large office spaces in the city.

Another phenomenon which became more visible in the report was the preference for ready-to-move-in projects.

The report stated that this growing temperament is the aftermath of project lag and long withstanding period in the completion of infrastructure project.

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