Traffic, air quality top infrastructure concerns for office occupiers, CBRE survey finds
Traffic congestion and commute time are top infrastructure challenges for office leasing. Poor air quality and water concerns also threaten business operations and employee experience. Access to public transport is crucial, with occupiers willin...
As per a CBRE survey, beyond transit, as many as 50% of the occupiers identified poor air quality (AQI levels) as a major infrastructure threat to business operations and employee experience, while 31% flagged water availability and quality concerns.
Access to commute infrastructure emerged as the most important facet for occupiers, with about 18% stating they would pay a premium for an asset with access to public transport.
“As India’s cities grow denser and commutes grow longer, occupiers are effectively counting it in their leases. Infrastructure access now sits at the centre of where and how corporates choose to locate their businesses. For developers and city administrations alike, this is a clear signal that connectivity investment and commercial real estate value are now inseparable,” said Anshuman Magazine, Chairman & CEO - India, South-East Asia, Middle East & Africa, CBRE.
While commute times and transit connectivity dominate the site-selection discourse, the survey highlighted that corporate occupiers are increasingly viewing urban infrastructure through a holistic liveability lens.
Furthermore, 29% of organizations said they expect waste management and sanitation challenges to disrupt daily workplace productivity.
“Commute has moved from being a convenience factor to a non-negotiable one. Occupiers are telling us clearly that access to transit, talent, and reliable last-mile connectivity, now shapes real estate decisions as much as rent or location prestige. In several transactions we are advising on, transit proximity is being weighed at the shortlisting stage itself, well before commercial terms are discussed,” said Ram Chandnani, Managing Director, Leasing Services, India, CBRE.
Consequently, to enhance ease of living across cities, state governments are undertaking focussed infrastructure initiativesranging from expansion of metro network to road development.
In Mumbai, the planned completion of metro lines 2B (DN Nagar–Mandale), 4 (Wadala–Kasarvadavali), and 6 (Lokhandwala–Vikhroli) by 2027 is expected to spark a leasing boom across the Worli, BKC, and Powai corridors.
In Delhi-NCR, the upcoming Golden Line (Aerocity-Tughlakabad) operational by 2027 and the proposed Yamuna Pushta elevated expressway bypass to Jewar Airport are driving heavy occupier pre-commitment interest.
In the South, Chennai’s six-lane greenfield Peripheral Ring Road, scheduled for completion by the end of 2026, combined with Pune’s runway extension and Purandar Airport development, are rapidly unlocking new, cost-effective submarkets for technology Global Capability Centers (GCCs).
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