The IT industry continues to be the primary driver for the residential sector, because it results in considerable disposable income among the city’s middle class. The IT industry has three major components – IT software and services industry, IT hardware, peripherals and networking industry and IT enabled services industry.
The city’s commercial market is delineated into three spatial limits – CBD, Suburban and Peripheral. Bangalore has no true concept of Central Business District. This flexibility has resulted in business growth from MG Road to other main roads such as Residency Road, Richmond Road and Brigade Road, Infantry Road and Cunningham Road.
The Prime CBD consists of MG Road, Brigade Road and by-lanes directly around these two roads. With the spiralling costs of real estate on MG Road and unavailability of good quality premium space, the CBD extended towards the North and South of MG Road.
Consolidation of real estate portfolios by both Indian and Multinational (MNC) Information Technology (IT) companies has significantly boosted the real estate market in Bangalore. Growth in demand for back-offices and contact centers is ensuring continued growth in Bangalore’s CBD and suburban real estate developments.