Bangalore is the capital city and the political, social and economic hub of the state of Karnataka. It is one of the fastest growing metropolitan cities in India today. The population of the city at 8 million in 2011 is expected to exceed 10 million by the year 2013. With less than 0.5% area of the state, it is home to more than 12% of its population. Bangalore is India’s fifth largest and its population has more than doubled over past 10 years.
The growth is attributable to economic reforms in India. The city’s growing popularity as a software destination and its ability to attract individuals to live and work has been commendable Historically the Government of India has taken the initiative to establish institution like MAC, HMT, ITC and ISRO etc., in Bangalore. This thrust has helped the city develop to a hub of information technology, electronics, precision engineering, aerospace, readymade textiles and electrical machinery. In fact, 33 of the top 200 software companies in the country are headquartered in Bangalore. It remains the IT hub of India, with over 70% of the revenues of the software industry being generated here.
Today the Indian and Multinational companies, who are in IT related business occupy close to a million square feet of space and have paved the way for a lot more peer groups to absorb several million square feet of space. On the whole, the upswing in commercial (office and retail) and residential space transaction continues. As predicted by many international real estate consultants like Brooke International, CB Richard, Jones Lang LaSalle, Cushman Wakefield, most facilities which are ready/nearing completion have been leased by end-users.
Bangalore has emerged as one of Asia’s fastest growing cities, with a growth rate of 76% between 1981 to 1991. During 1995-96 the market values had risen by more than 100% in all segments. With increased urban development activity, the city had achieved the distinction of the highest growth rate in the county at more than 40%.