| Internet retail sales has had a dramatic | | | | will outperform their competitors. |
| impact on retail properties in Bangalore | | | | Impact on commercial properties |
| by reinforcing the trend towards | | | | Technology is generating a net positive |
| entertainment and convenience oriented | | | | effect on the office employment growth |
| tenants, and enabling retailers to | | | | in turn creating a huge demand for real |
| expand into multichannel distribution | | | | estate in Bangalore. The demand for |
| systems incorporating Internet sites and | | | | "intelligent" building technologies by |
| "land based" stores. | | | | office tenants is not in its infancy. |
| Technology is so pervasive in our | | | | Regardless of the type or size of |
| society that it is difficult to isolate | | | | tenant, the key issues driving tenant |
| and evaluate its influence on real | | | | office leasing decisions are cost, |
| estate demand. Technology's influence on | | | | proximity to the boss's residence, |
| demand is generally positive given its | | | | access to current and potential |
| fundamental importance to economic | | | | employees, proximity to customers or |
| growth. | | | | clients, and proximity to restaurants |
| "Fortunately, through continuing | | | | and recreation. |
| innovations, adapting tenant mixes, and | | | | Few industrial property owners are |
| capital investment, retail property | | | | interested in "intelligent" building |
| owners can moderate many potential | | | | technology. Owners are focused on |
| declines in retail demand from | | | | providing the backbone infrastructure to |
| consumers. In the long term, rent | | | | enable the widest range of tenants to be |
| pressure is expected as and when the | | | | accommodated in their properties. |
| communication distribution channel | | | | Technology has been a key driver of |
| grows," says Zaffar Sait, DGM Business | | | | Bangalore's economy historically, and |
| Development, Prestige Group, Bangalore. | | | | will be so in the future. Accordingly, |
| However, technology will significantly | | | | while many new technologies appear, in |
| reduce demand in some areas and increase | | | | isolation, to reduce real estate demand, |
| demand in others, making winners or | | | | the net effect of technology on economic |
| losers out of certain properties or | | | | growth and real estate demand is fairly |
| geographic markets. Investors and other | | | | positive. |
| real estate professionals who maintain | | | | For more details on Bangalore |
| vigilance concerning technology change | | | | Properties, log on to magicbricks. |