Robust Infra, Business Friendly Environs Make TN Investment Hub

Chennai: Various factors including business friendly environment, strategic location, robust infrastructure has led Tamil Nadu’s emergence as a key investment hub, a report by real estate consulting firm CBRE South Asia Pvt Ltd has revealed.

The report jointly prepared by CBRE South Asia in association with Confederation of Indian Industry Tamil Nadu recently said the industry specific policies released by the Tamil Nadu government have also played a major role in attracting investments and generating employment, significantly.

The policies rolled out by the government offer subsidies and incentives thereby driving growth in key sectors like electronics, automobiles, information technology and IT enabled services, data centres among others. “The government is developing industrial and defence corridors to enhance the industrial ecosystem further promoting balanced growth across all districts,” the report said on Sunday.

On the real estate front, the report said the office space in Chennai was likely to cross 100 million sq ft by end of 2026 with total commercial space currently at 89 million sq ft. “The private equity investments made in the Chennai office assets touched $1.19 billion in 2022-24”, it said. The influx of capital and entry of prominent developers have facilitated the construction of high-quality office buildings, providing various space options for occupiers, it said. The Chennai office space which was once dominated by technology is currently witnessing a shift towards companies engaged in banking, financial services and insurance industry (BFSI). “Chennai is also positioning itself as a major hub for Global Capability Centres and it is ranked third in GCC leasing after Bengaluru and Hyderabad.