For a number of Chinese companies looking to lease office space outside of their home base, Delhi and National Capital Region (NCR) have emerged as the preferred place for their expansion plans. Chinese companies have leased more than half a million square feet of office space in Delhi-NCR in the past two years, real estate services firm JLL said in a report.
While Mumbai has seen around 85,537 sqft of office space leased by Chinese companies during this period, Delhi-NCR emerged as the most favoured office destination for Chinese companies in 70 major global markets, with leased space of 516,667 sqft.
“Chinese companies have been making their presence felt in Asia and have set up offices in major markets including India. Even though leasing is still largely driven by US and EU based companies in India, Chinese companies are fast setting up base to take advantage of the market size and the accelerated growth of the economy,” said JLL India CEO Ramesh Nair.
Delhi figures prominently among such cities while Singapore is the top destination for mainland firms expanding overseas. Not only is Singapore supposed to be Asia’s most stable and transparent market and a global financial services hub to boot, it also has strong links with China and is geographically well-placed to act as a gateway into Southeast Asia, the JLL report said.
Nair said that several Chinese companies, including Vivo, OPPO, Alibaba, ZTE, Huawei and Xiaomi, have expanded their footprint in India of late. Telecom firm Vivo took up more than 600,000 sqft of office space in NCR between 2014 and 2017 while OPPO occupied about 100,000 sqft. Further, players such as ZTE, Alibaba and Bank of China together took up office space of about 100,000 sqft in Mumbai between 2015 and 2017.