Tier I Tier II Vadodara Vijayawada Vizag

Nashik Surat Thiruvananthapuram

Delhi: India’s political and administrative capital, and its second largest metropolis. Diversified economic base. Home to Chennai: India’s fourth largest metropolis and largest city of South India. Chennai (formerly Madras) has emerged as
many of India’s largest corporations. A large well-educated labour force has attracted large numbers of MNCs. Delhi and a leading IT hub, second only to Bangalore in terms of exports of IT & IT enabled services. Carved a niche in software Ludhiana Mangalore Mysore Nagpur
its booming suburbs (Gurgaon and NOIDA) have developed into primary hubs of IT and BPO services. Very active retail development and financial analysis. India’s second largest port and popularly known as ‘The Gateway of South India’. Large
manufacturing sector and important base for the automobile and auto components industry (the ‘Detroit of India’). Indore Jaipur Kochi Lucknow
market with India’s largest shopping mall stock. Visible infrastructure development – being upgraded in preparation for the
Commonwealth Games 2010. Hyderabad: Capital of Andhra Pradesh and India’s sixth most populous city. Hyderabad (together with twin city of Chandigarh Coimbatore Goa
Secunderabad) has become one of India’s most advanced metropolises, as well as a major hub for IT/ITES and biotechnology.
Bangalore: Capital of Karnataka state, India’s technology capital, and dubbed the “Silicon Valley of India”. Holds a Sometimes referred to as ‘Cyberabad’ or the ‘Second Silicon Valley of India’. An important education centre with major Tier III A h m e d a b a d B h u b a n e s h w a r
prominent position in the global IT map. Deep corporate base of domestic and multi-national IT and biotechnology companies. academic & technical institutes and research facilities. Its proactive and enabling state government has facilitated economic
Moving up the “value chain” with significant R&D activities. High quality labour force and favourable quality of life. growth. A new international airport opens 2008. Tier II Chennai Hyderabad Pune Kolkata
Major campus developments by IT majors such as Infosys and Wipro. New international airport opens 2008
and new metro under construction. Recently changed name to Bengaluru.

Mumbai: India’s largest metropolis and the world’s fifth most populous city. Commercial and
financial hub of India, and home to India’s main stock exchange (BSE). Media capital, housing the
world’s largest film industry - ‘Bollywood’. India’s largest port and industrial hub, accounting for
half of India’s foreign trade. Rapid population growth - projected to be world’s second largest
city by 2015. India’s most diversified economic base which reflects in a broad range of real
estate opportunities across all sectors. Rapid growth of suburbs, notably Thane and Navi
Mumbai.
Kolkata: India’s third most populous city, and business, financial and trading hub of East India. Kolkata
(formerly Calcutta) has recently seen a surge in investment, and rapid growth in the IT/ITES sector.
Companies are attracted by the depth of talent pool, low operating costs and business-friendly
policy. West Bengal has created one of the most favourable incentive packages for IT/ITES
companies in India. Peripheral business districts of Rajerhat and Salt Lake have emerged as
the most attractive destination for investors. Scores relatively high in market transparency.

Pune: Referred to as the ‘Oxford of India’ due to the presence of many reputable colleges
and educational institutions. Major industrial and engineering centre with high presence
of IT/ITES and BPO companies. Benefits from good proximity to Mumbai, with Mumbai-
based companies expanding into the Pune region. Pune has grown into a booming real
estate destination due to its youthful population and IT/ITES activities. Relatively good
MAP
Tier I D e l h i M u m b a i B a n g a l o r e

market transparency.

Tier III Tier III

North India Surat: Major industrial city of Gujarat state, known for its textiles and diamond industries.
One of the fastest growing cities in the world in population terms. Infrastructure is gradually
Chandigarh: Administrative capital of Punjab and Haryana states. New city created in improving and new airport opened in 2007. Residential and retail are the most active sectors.
1950s, and renowned for architecture of Le Corbusier. Together with adjoining cities of Mohali
and Panchakula, it forms Chandigarh Tri-City. Witnessing rapid economic growth – its proximity to
Delhi, good infrastructure and labour skills have attracted IT/ITES companies such as Dell and Infosys.
Expanding retail market, with retailers attracted by one of the India’s highest incomes per capita. As a union
territory, Chandigarh benefits from faster and easier government procedures and administration. Relatively good
market transparency.

Jaipur: Administrative and commercial capital of Rajasthan. Known as the “Pink City”, Jaipur is one of India’s most
important heritage cities, and a primary destination for international tourists. Well-developed hospitality sector and a
growing retail sector. Regional hub for gems and jewellery manufacture. Good proximity to Delhi. Increasing number of
East India
Vadodara: Vadodara, or Baroda, is a major industrial hub of Gujarat state. Key sectors include
petrochemicals, pharmaceuticals, engineering and plastics. Benefits from proximity to Mumbai,
Ahmedabad and Gujarat ports. Developing as an IT hub, with IT parks and SEZ’s developing along the
Gandhinagar-Ahmedabad–Vadodara Knowledge Corridor. High income per capita.

Bhubaneshwar: Capital of Orissa state, and its largest city and port. Education centre and home to a number of prominent
engineering institutes. Key IT hub of East India, having attracted many of India’s largest BPO companies. Development of
several IT parks, promoted by the government jointly with private developers. Proximity to Puri, a temple town with high
INDIA
MNCs exploring the city for their expansion plans. The government is proactively seeking to attract IT/ITES by creating
SEZ’s and trade zones. tourist interest, is also fuelling residential and retail growth. Well connected to all major South and East Indian cities.

Lucknow: Administrative and commercial capital of India’s most populous state, Uttar Pradesh. Most employment is in
the government sector. Well established education, banking and legal infrastructure. IT/ITES sector has recently gained
momentum, and the city is benefiting from proximity to the primary IT hubs in NCR. Lucknow is also starting to emerge as a
regional hub for organised retail. Political uncertainty has caused slow infrastructure development in the past, but recent
policy announcements aim to correct this. Long term potential to emerge as a key commercial hub of North India.
South India
Coimbatore: Major industrial city of South India (in Tamil Nadu state). Known as the “Manchester of South India” due to
its textiles and engineering industries. Has a high number of educational institutes and is developing as an IT hub. Benefits
from proximity to Bangalore and Chennai.

Ludhiana: An important industrial hub of Northern India. Known as the ‘Manchester of Punjab’, Ludhiana is famous for
textiles and engineering. Renowned for its education institutions, such as the Punjab Agriculture University. One of the most
favoured tertiary cities for retailers due to strong brand awareness and large non-resident Indian population.
West India
Ahmedabad: Commercial capital of Gujarat state, Ahmedabad is one of the largest and fastest growing of India’s Tier
III cities. Significant industrial base in textiles, chemicals and pharmaceuticals. Expanding service sector – companies
are attracted by its large skilled labour pool, presence of renowned educational institutes, its strategic location, good
connectivity and relatively low operating costs vis-à-vis Tier I and II cities. Several IT parks and SEZ’s are developing along
the Gandhinagar-Ahmedabad–Vadodara Knowledge Corridor. City is attracting high levels of retail activity.
Goa: Dominated by tourism and has one of India’s most developed hospitality sectors. Ranks 3rd within India in terms
of presence of 4 & 5 star hotels (after Delhi and Mumbai). Other key industries are port activities and mining. Hotel and
residential are the most active real estate sectors. High income per capita in South Goa. Organised retailing is starting to
emerge. Most regional and national-level developers have a presence here.
Indore: Capital of Madhya Pradesh state. Trading centre and emerging logistics hub due to its strategic location in central
India between Delhi and Mumbai. Key industries include automobile, metallurgy and agro-industries. Witnessing growth in
IT/ITES sector and development of IT parks. SEZ’s leading to real estate development across residential, retail and logistics
sectors.
Nagpur: Commercial hub of eastern Maharashtra state, located in the geographical centre of India. Economy primarily
revolves around steel manufacturing, power production and trade of food products. Nagpur has emerged as a centre
for engineering education. Future development focused on Multimodal International Cargo Hub and Airport of Nagpur
(MIHAN). Boeing planning new aircraft repair and maintenance facility in Nagpur. The city is expected to witness growth
in the logistics industry due to its central geographical location.
Kochi: (Formerly Cochin). Increasingly favoured by IT/ITES firms due to its highly-skilled talent pool, good connectivity
(with India’s 7th busiest airport) and excellent telecom infrastructure. Regarded as Kerala’s commercial and trading hub,
and has a major port which benefits from its strategic location along shipping routes between Europe, the Middle East and Emerging City Winners
Asia. Ambitious plans for expansion of port over next 5 years. High income per capita level. Expanding tourist destination,
with growth in medical and eco-tourism. World Winning Cities Series
Mangalore: Port-related activities and agricultural processing are important drivers of Mangalore’s economy which
is the commercial hub of Karnataka state. Good infrastructure and the presence of established medical and engineering
universities have contributed to the city’s rapid economic growth. IT/ITES firms are moving into Mangalore, boosting the
city’s office sector.
2008
Mysore: Second city of Karnataka state. Witnessing rapid economic growth partly due to a spill over of economic
activity from neighbouring Bangalore (140 km northeast). Regarded as a heritage city with a growing tourist industry and is
increasingly on the radar of IT companies. Infosys has established the largest technical training centre in the world in this
city.
Thiruvananthapuram: Capital of Kerala state. With its international airport and good air connectivity,
2008
Thiruvananthapuram (or Trivandrum) serves as a base for tourists visiting the state. Its excellent telecom infrastructure
and growing number of IT parks makes it increasingly attractive to IT/ITES companies. Medical tourism is also
witnessing growth. Has one of the highest income per capita levels in India.
Vijayawada: Vijayawada is a key commercial hub of Andhra Pradesh state. A transport hub and industrial centre, World Winning Cities Series
specialising in automobile parts and agro-based industries. IT Parks and SEZ’s are being set up to facilitate the development
of the IT/ITES sector. Emerging City Winners
Vizag: Vizag (or Vishakapatnam) is a major industrial and port city on India’s east coast in Andhra Pradesh. Strategically
located between the major metros of Kolkata and Chennai. Major heavy industries include shipbuilding, oil refining and iron
and steel. Investment in port infrastructure and newly expanded airport. Development of a “Pharma City” and IT/ITES SEZs.

INDIA
The Andhra Pradesh government is also promoting Vizag as a tourist destination.
Nashik: An important industrial city in Maharashtra state, strategically located close to Mumbai and Pune. Rapidly
developing industrial zones and manufacturing sector. Growth of wine industry is boosting employment and tourism.
Emergence of IT/ITES activities, which is expected to benefit from spill over from neighbouring Mumbai (200 km south
west). Upgrading of Mumbai-Nashik highway (NH-3) will improve connectivity.

Reports from Jones Lang LaSalle’s World Winning Cities Series

MAPS WORLD’S EMERGING CITIES
INDIA
Emerging

MAP
City
Winners

Emerging City Winners

“Emerging City Winners” is the latest phase of Jones Lang LaSalle’s World Winning
Cities Research, a multi year programme designed to draw together the essence
Investment Futures
of contemporary city competitiveness. World Winning Cities examines trends that
impact the business and economic landscape, and how these factors coalesce Kolkata City Profile
to create the rising urban stars of the next decade.
For further information or copies, please email: WorldWinningCities@eu.jll.com
Our Emerging City Winners research aims to identify the winners and losers
amongst the world’s emerging markets in Asia, Central and Eastern Europe, North
Africa, the Middle East and Latin America. This phase of World Winning Cities
has evolved in response to the rapid changes that are occurring in the geography
of business, where new opportunities are now emerging in cities that have not
traditionally been on the radar screen of the property sector. Cross-border occupiers
Contacts Jones Lang LaSalle Meghraj Offices
and investors need to be able to spot these rising urban stars of the future. To find out how Jones Lang LaSalle Meghraj can assist in making real estate
decisions in India, contact one of the following people:
www.jllm.co.in Tier I D e l h i M u m b a i B a n g a l o r e
Tier II Chennai Hyderabad Pune Kolkata
In India, our World Winning Cities programme has produced three major thought
Anuj Puri Deepak Bhavsar BANGALORE DELHI KOLKATA
pieces that aim to provide insight into the dynamics of India’s emerging cities, to Chairman & Country Head Strategic Consulting & Land tel: +91 80 4118 2900 tel: +91 11 2331 7070 tel: +91 33 2227 3294
help real estate occupiers, developers and investors understand the opportunities Jones Lang LaSalle Meghraj Jones Lang LaSalle Meghraj fax: +91 80 4118 2901 fax: +91 11 2371 3368 fax: +91 33 2227 3297
and complexities of India’s rising urban stars:
> India Tier III (2006) provides an assessment of prospects for 17 Tier III cities
tel: + 91 22 2482 8400
email: Anuj.Puri@jllm.co.in
tel: +91 11 2331 7070
email: Deepak.Bhavsar@jllm.co.in tel: +91 80 4112 1271
fax: +91 80 4112 1274
GURGAON
tel: +91 124 460 5000
MUMBAI
tel: +91 22 2482 8400
Tier III A h m e d a b a d B h u b a n e s h w a r
as potential locations for IT off shoring. We identify five cities that are best
positioned to emerge as major centres over the next five years.
> Investment Futures (2006) assesses the opportunities in the Indian Real Estate
Vincent Lottefier
Chief Executive Officer
Jones Lang LaSalle Meghraj
Jeremy Kelly
World Winning Cities Team
Jones Lang LaSalle (London)
CHANDIGARH
tel: +91 172 3047 651
fax: +91 124 460 5001

tel: +91 124 4083 336

fax: +91 22 2494 1321

tel: +91 22 6658 1000

Chandigarh Coimbatore Goa
Investment Market following the relaxation of FDI regulations, which has generated
substantial interest from cross-border investors.
tel: + 91 124 460 5000
email: Vincent.Lottefier@jllm.co.in
tel: +44 20 3147 1199
email: Jeremy.Kelly@eu.jll.com
fax: +91 172 3047 653

CHENNAI
fax: +91 124 4083 339

HYDERABAD
fax: +91 22 6658 1003

PUNE
Indore Jaipur Kochi Lucknow
> India Retail - “The India 50” (2007) sets out to explain and predict the
emerging geography of Indian retail activity and property opportunities. We develop
a new city typology for 50 cities that we believe will be on the radar screen of
Manisha Grover
Strategic Consulting & Research
Jones Lang LaSalle Meghraj
Avinash Mirchandani
World Winning Cities Team
Jones Lang LaSalle Meghraj
tel: +91 44 4299 3000
fax: +91 44 4299 3001
tel: +91 40 4040 9100
fax: +91 40 4040 9101
tel: + 91 20 3058 6004
fax: + 91 20 3058 6003 Ludhiana Mangalore Mysore Nagpur
retailers, developers and investors.
Retail “The India 50”
tel: +91 80 4118 2900
email: Manisha.Grover@jllm.co.in
tel: + 91 22 6658 1000
email: Avinash.Mirchandani@jllm.co.in
COIMBATORE
tel: +91 422 254 4433
fax: +91 422 254 4422
KOCHI
tel: +91-484-3018652
fax: +91-484-3018656
tel: +91 20 6601 0861
fax: +91 20 6601 0859 Nashik Surat Thiruvananthapuram
Releasing Soon Kochi City Profile Tier III Cities Vadodara Vijayawada Vizag
 Emerging City Winners INDIA
INDIA CITY COMPARISONS Core Indicators Real Estate Investment Real Estate Activity City Competitiveness
A F G H A N I S TA N City Population Income/ GDP Growth Transaction Infrastructure Human
STATE/TERRITORY Capita State Level Transparency Costs Retail Offices Hotels
(000s, 2006) /Connectivity Capital
(USD 2006) (% pa 2003-05) (Stamp Duty)

Tier I Delhi, DELHI 16,029 1,489 9.3% A 8.0% A A A A A

Bangalore, KARNATAKA 6,761 1,988 12.7% B 8.4% B A B B A

Mumbai, MAHARASHTRA 20,924 1,368 11.8% B 5.0% A A A A A

Tier II Chennai, TAMIL NADU 8,219 1,561 11.0% B 8.0% B B B A B

CHINA
Hyderabad, ANDHRA PRADESH 6,550 1,586 8.5% B 7.0% B B B B B

Kolkata, WEST BENGAL 15,736 1,158 11.7% A 6.0% B B B C B

Pune, MAHARASHTRA 5,167 1,661 11.8% A 5.0% B B C C B

Tier III Chandigarh, CHANDIGARH 960 2,744 12.2% A 6.0% C C C B C

Jaipur, RAJASTHAN 3,120 1,510 3.2% C 6.5% C C B D E

Lucknow, UTTAR PRADESH

North
2,693 1,586 7.3% E 10.0% C E C E D
Ludhiana C C E E

PA K I S TA N Chandigarh A C C C
Ludhiana, PUNJAB
Ahmedabad, GUJARAT
1,972

5,310
1,586

1,586
8.9%

6.4%
C

C
8.0%

4.9%
C

B
E

C
E

C
C

D
D

Goa, GOA 798 2,150 0.9% D 2.0% E E B E C

Indore, MADHYA PRADESH 2,076 1,233 2.9% C 8.0% C E E E C

West
Nagpur, MAHARASHTRA 2,984 1,233 11.8% B 5.0% C C D C D

Nashik, MAHARASHTRA 1,550 931 11.8% C 5.0% D D E E D

Delhi A A A A Surat, GUJARAT 3,991 1,435 6.4% E 4.9% C E E C E

N E PA L Vadodara, GUJARAT 1,835 2,240 6.4% D 4.9% D D D D D

East
Bhubaneshwar, ORISSA 996 1,007 7.8% D 11.0% D D D D E

Jaipur C C C B
B H U TA N Coimbatore, TAMIL NADU 1,820 1,334 11.0% C 8.0% E C D C C

Kochi, KERALA 1,524 2,165 11.1% B 8.5% C C B B C

Lucknow E C E C
Mangalore, KARNATAKA 858 1,586 12.7% D 8.4% D C D C E

South
Mysore, KARNATAKA 1,076 1,636 12.7% D 8.4% E C E D E

Thiruvananthapuram, KERALA 1,146 2,567 11.1% C 8.5% E C C B C

Vijayawada, ANDHRA PRADESH 1,337 1,334 8.5% C 7.0% E E D D E

Vizag, ANDHRA PRADESH 1,644 1,611 8.5% C 7.0% D D C C C

BANGLADESH

Ahmedabad C B C C

Indore C C E E
Kolkata A B B B

Vadodara D D D D

M YA N M A R
Surat E C E E

Jones Lang LaSalle’s World Winning Cities Research Programme aims to identify the rising urban stars amongst
Nagpur B C C D B AY O F
Bhubaneshwar D D D D
B E N G AL the emerging markets across the globe. A number of the world’s most dynamic cities are located in India.
Nashik C D D E Jones Lang LaSalle Meghraj has identified 26 cities which are now firmly on the radar screen of the real estate
Mumbai B A A A sector. We have set out to grade and compare these cities on the basis of market transparency and current
levels of real estate activity. Whilst it reveals substantial differences in market characteristics, undoubtedly all
Pune A B B C
26 cities provide substantial opportunities for real estate occupiers, developers and investors.
ARABIAN
SEA

INDIA CITY COMPARISONS
Vizag C D D C

Hyderabad B B B B
Real Estate Demand Real Estate Stock Infrastructure Human Capital
City Shopping 4 & 5-Star Air Passengers Power- Literacy Higher Education
STATE/TERRITORY Retail Offices Hotels Offices Institutes at
Centres Hotels (000s, 2006) Quality & Cost Rate (%) State Level
Vijayawada C E E D Tier I Delhi, DELHI A A A A A A 20,443 D 81.7% 176

Bangalore, KARNATAKA B A B B A B 8,125 C 66.6% 1,528

Goa D E E B
Mumbai, MAHARASHTRA A A A A B A 22,249 B 76.9% 1,880

Tier II Chennai, TAMIL NADU B B B B A B 8,974 B 73.5% 1,027

Legend
Hyderabad, ANDHRA PRADESH B B B B B C 5,750 A 60.5% 1,871
Real Estate Retail Market Office Market Hotel Market
Transparency Activity Activity Activity Kolkata, WEST BENGAL B B B B B B 5,993 B 68.6% 578
A – Highest Grade; E – Lowest Grade
Pune, MAHARASHTRA B B C B B C 1,574 C 76.9% 1,880
Mangalore D D C D
Tier III Chandigarh, CHANDIGARH C C C C C D 155 A 81.9% 25
Real Estate Transparency 2008
Bangalore B B A B
A Delhi, Pune, Kolkata, Chandigarh Jaipur, RAJASTHAN D D C C C B 791 D 60.4% 866
Highest
Chennai B B B B
B Mumbai, Bangalore, Hyderabad, Chennai, Kochi, Nagpur Lucknow, UTTAR PRADESH C D D C E C 613 C 56.3% 1,976
North

C Ludhiana, Jaipur, Ahmedabad, Indore, Nashik, Vijayawada, Vizag, Thiruvananthapuram, Coimbatore Ludhiana, PUNJAB C E E C E D None D 69.7% 374
Mysore D E C E
D Vadodara, Goa, Mangalore, Mysore, Bhubaneshwar Ahmedabad, GUJARAT B D D B C C 2,491 E 69.1% 931

Lowest E Lucknow, Surat Goa, GOA E E B C D B 2,212 B 82.0% 44

Indore, MADHYA PRADESH C E E C D D 358 B 63.7% 1,100

Coimbatore C E C D

Nagpur, MAHARASHTRA C C D D C D 663 A 76.9% 1,880

West

Current Real Estate Market Activity-Top Dozen Cities

Nashik, MAHARASHTRA E D D D E D None C 76.9% 1,880
Kochi B C C B Retail Market Activity Office Market Activity Hotel Market Activity
Surat, GUJARAT C E E C D D None B 69.1% 931
Delhi A Bangalore A Delhi A Vadodara, GUJARAT D D E E E D 404 D 69.1% 931

Thiruvananthapuram Mumbai A Delhi A Mumbai A

Bhubaneshwar, ORISSA
East

C E C C E D E D E D 350 C 63.1% 896

Bangalore B Mumbai A Goa B
Coimbatore, TAMIL NADU C C C E C E 867 B 73.5% 1,027
Kolkata B Chennai B Bangalore B
Kochi, KERALA D C B C C B 2,563 D 90.9% 407
Pune B Hyderabad B Chennai B
Mangalore, KARNATAKA D C D D D E 482 C 66.6% 1,528
Hyderabad B Pune B Jaipur B
South

Mysore, KARNATAKA C C D E D E None E 66.6% 1,528

S R I L A N K A Chennai B Kolkata B Hyderabad B

Ahmedabad B Kochi C Kochi B Thiruvananthapuram, KERALA E C C E C C 1,781 D 90.9% 407

Chandigarh C Chandigarh C Kolkata B Vijayawada, ANDHRA PRADESH E E C E E E None C 60.5% 1,871

0 100 200 300 400 500Kms IN D I A N O C E AN Ludhiana C Trivandrum C Pune C Vizag, ANDHRA PRADESH D D C D D C 331 D 60.5% 1,871
Tier I cities Tier II cities Tier III cities Jaipur C Mangalore C Trivandrum C
The 26 cities above have been graded into 5 groups with ‘A’ denoting the highest, or most favourable conditions, and ‘E’ denoting the lowest, or least favourable conditions. Grades have been based
Kochi C Jaipur C Ahmedabad C on current activity and are not a measure of potential future activity or performance. Differences in grades between the real estate demand and stock indicators within an individual city do not
COPYRIGHT © JONES LANG LASALLE MEGHRAJ 2008. Based on the Survey of India Map. No part of this publication may be reproduced or necessarily indicate a supply-demand disequilibrium.
transmitted in any form or by any means without prior written consent of Jones Lang LaSalle. It is based on material that we believe to be reliable. High High High Population and Income/Capita provided by Market Skyline of India, 2006-07, Indicus Analytics Pvt. Ltd., www.indicus.net
Whilst every effort has been made to ensure its accuracy, we cannot offer any warranty that it contains no factual errors. We would like to be told Activity Level Activity Level Activity Level Stamp Duty figures relate to existing commercial properties and include Stamp Duty plus any applicable surcharges. Registration charges and transfer charges are not considered. Figures accurate
of any such errors in order to correct them. as at February 2008.