CONTACT US
Share: Share on Facebook Share on Twitter Share on LinkedIn I recommend visiting cushmanwakefield.com to read:%0A%0A {0} %0A%0A {1}

Footprint of Chennai’s Future Business Districts and Resurgence of Integrated Townships

Shweta k • 20/01/2022

Rajiv Gandhi Salai evolved as one of the most sought-after destinations in Chennai to work and live with the amalgamation of lucrative investments; experiences of Walk-to-Work culture combined with the imminent infrastructure that connects south with the rest of Chennai.

With the shift in workplace preferences, Chennai witnessed a pivotal shift in business districts traversing south to the – IT Corridor. Rajiv Gandhi Salai is dotted as the self-sustaining growth corridor which offers copious options for integrated townships with city-like high-end infrastructure and amenities - assuring high rental yield and capital appreciation over the years.

The impending infrastructure fuelling connectivity with the shift in business districts and preferences towards communal living are expected to drive burgeoning residential demand over the next few years.

In this report, we delve into how the unprecedented times of the pandemic brought about a newfound interest in integrated townships. The rationale behind the shift in business districts and how Rajiv Gandhi Salai conceived as the IT metropolis with its testament to high-end integrated townships, now caters to a diverse community.

Read the Report.

Are you looking for a property in Chennai?
 
Properties for Sale Properties for Lease

CURRENT MARKETBEAT

Office Buildings CBD
Chennai Office Report

Chennai recorded gross office leasing volume (GLV) of ~2.02 MSF in Q4-25, supported by strong occupier activity across key corridors. IT-BPM dominated with 43% share, while flex operators (20%) and BFSI (17%) continued to expand. GCCs remained a major growth engine, accounting for 51% of Q4 leasing and 41% annually, the highest ever for Chennai. Net absorption hit a record 7.02 MSF for the year, fueled by healthy pre-commitments in new Grade A supply. Vacancy held steady at ~12%, while rentals rose 2% q-o-q and 6% y-o-y.

Download the report

Shopping Retail
Chennai Retail Report

Chennai recorded 0.14 MSF of retail leasing in Q1-2026, with main streets dominating at 89% share, led by Peripheral South and North west. Fashion drove demand with a 40% share, followed by department stores and F&B at 17% each, largely supported by domestic brands. Mall leasing saw a marginal uptick to 0.02 MSF, with Grade A+ malls operating at near full occupancy of 1–2%. Main street rentals continued to firm up across key corridors, supported by sustained demand and limited availability of quality retail space.

Download the report

Warehouse Internal Rack
Chennai Residential Report

Chennai recorded ~3,700 residential unit launches in Q1 2026, with Suburban South II leading at 38%, followed by Suburban West (18%) and Suburban North (17%). Premium housing led supply with 61% share, shot up 253% q-o-q and 28% y-o-y, as high-end and luxury launches made up 44% and 17% share respectively. The mid-segment contributed 37%, while affordable housing remained limited. High-end capital values rose 6-11% y-o-y, mid-segment by 11-18%, and mid-segment rentals increased 9-16% y-o-y, led by strong demand in key submarkets.

DOWNLOAD THE REPORT

Warehouse Internal Rack
Chennai Industrial Report

Chennai recorded 3.1 MSF of warehouse leasing in H2‑25 – a strong 50% increase over H1 – led by robust 3PL demand. Periyapalayam and Sriperumbudur contributed nearly 70% of activity, with annual leasing rising to 5.2 MSF. Industrial leasing remained healthy at 2.1 MSF, driven by strong E&M and automobile requirements, with Sriperumbudur and Oragadam leading take‑up. Rentals saw 5–11% YoY appreciation in select northern submarkets, supported by sustained demand.

DOWNLOAD THE REPORT

Warehouse Internal Rack
India Capital Market Report

Cushman & Wakefield India Capital MarketBeat reports analyze quarterly economic and commercial real estate activity including supply, demand and pricing trends at the market and submarket levels.

Download the report

More Insights

Small-Banner_ Indian Real estate 2030 (CII)4_Dipti Goyal.png
Insights • Sustainability / ESG

Indian Real Estate 2030: Technology, Sustainability, & Growth

India’s real estate sector is poised for remarkable growth, driven by urbanization, government initiatives, and technological advancements.
07/03/2025
Stephenson Harwood 07.jpg
Insights • Investment / Capital Markets

Mumbai’s Office-SEZs get a new lease of life as leasing volume surge

Mumbai witnessed an unprecedented rise in leasing done in SEZ-designated (Special Economic Zone) buildings with 1.50 MSF of lease transactions recorded in these buildings in 2024.
06/02/2025
AdobeStock_18607589.jpeg
Insights

Kolkata – Emergence of a Major Warehousing and Logistics Destination

Kolkata’s emergence as a major national warehousing and warehousing destination over the past few years highlights a significant shift in the city’s and region’s real estate sector and puts it on a firm pedestal for future growth.
06/02/2025

CAN'T FIND WHAT YOU'RE LOOKING FOR?

Get in touch with one of our professionals.
With your permission we and our partners would like to use cookies in order to access and record information and process personal data, such as unique identifiers and standard information sent by a device to ensure our website performs as expected, to develop and improve our products, and for advertising and insight purposes.

Alternatively click on More Options and select your preferences before providing or refusing consent. Some processing of your personal data may not require your consent, but you have a right to object to such processing.

You can change your preferences at any time by returning to this site or clicking on Privacy & Cookies.
MORE OPTIONS
AGREE AND CLOSE
These cookies ensure that our website performs as expected,for example website traffic load is balanced across our servers to prevent our website from crashing during particularly high usage.
These cookies allow our website to remember choices you make (such as your user name, language or the region you are in) and provide enhanced features. These cookies do not gather any information about you that could be used for advertising or remember where you have been on the internet.
These cookies allow us to work with our marketing partners to understand which ads or links you have clicked on before arriving on our website or to help us make our advertising more relevant to you.
Agree All
Reject All
SAVE SETTINGS