New Delhi: A host of under-construction projects in the capital and the NCR are likely to get delayed by over an year or may be ceased completely due to drop in rental demand, global real estate consultant CB Richard Ellis said on Sunday.
“Several under construction projects are expected either to be delayed by over 12 months or halted for lack of leasing,” a CB Richard Ellis report said.
The year 2009 is expected to be challenging with credit turning tight, buyers disappearing, higher expectations in terms of ‘better deals´ and sluggish business models across sectors, the report said.
The Central Business District (CBD) of Connaught Place witnessed enhanced levels of second hand space as a result of tenants relocating to more cost- effective destinations, it added.
The average rental in CBD has declined to Rs285 per square feet from December 2008 to Rs245 per square feet in March 2009.
The report observed, with more malls becoming operational in the Saket District Centre, basic infrastructure, which was already undeveloped in the first place, is getting increasingly stretched due to enhanced traffic flow, poor access roads and insufficient parking space, all have added to the infrastructure woes.