Is Nariman Point A Sinking Ship? Current Situation of Residential, Commercial, Real-estate at Nariman Point.

Monday, September 17, 2012 ·


Once upon a time Nariman Point used to be treated as one of the Best Business Districts not just in India but Asia’s also, but now it is slowly turning in Ghost Market or say sinking Titanic ship.
Real estate prices in Nariman Point business district are more or less the same since last 15 years although, in the same time span, prices of residential buildings at Nariman point appreciated tremendously. There are several reasons behind it. But there are two main culprits behind this; one Government and other owners themselves. We might be offending to RealEstateDealStreet.com’ s current and prospective clients but that is true. What we have realized is that there are 3 types of owners in Nariman Point.
1)      Those who were lucky, or smart to realized that this ship is sinking and left it.
2)      Those who had great journey on this ship for not only few years but decades. These types of owners are not bothered about the water is seeping slowly into the ship and it might sink if they don’t act. They think it has been working for so many years and will continue to work in their favor.
3)      Those who have given up hopes and are watching slow death of this prominent business place and not doing any thing. These set of owners call and ask us the current prices of offices in Nariman Point are so that they can sell it off and desperately looking for buyer who is interested in Nariman Point location but it is getting difficult.

We at RealEstateDealStreet.com are really surprised that there are only few of such an influential stake holders, who are concerned about its glory, prestige and legacy. We firmly believe there should be one group of people who should address the problem of rising water and understand that but if we come up with an innovative idea then we can stop this then this ship will able to serve us for many decades.
RealEstateDealStreet.com thinks that if we apply few things then this business district will turn around. Occupancy level which is currently less then 65% can come up to 90 – 95%.
  1. Municipal Taxes: - In Nariman point municipal tax is an issue on which all the owners are confused. Societies have been fighting against this unreasonable demand of government. Bureaucrats are at their best to kill this golden goose out of their personal greed. They have put such high taxes on Nariman Point offices under collector fee, because Nariman Point was constructed on collectors land. Till few years ago these taxes were unreasonable but bearable. But now BMC (Bombay Municipal Corporation) has increased it by almost 10 times. Now taxes are similar or higher than even the rent one gets from his property in Nariman Point. Due to this, many offices are vacant and waiting for more clarity on this issue creating such a big unused space in Nariman Point. Nariman Point and World Trade Center at Cuffe Parade are prime example of how to waste scared resources like real estate.
  2. Hawkers: - It seems Nariman Point doesn’t have footpaths now days as almost 70% of footpaths area is being used by hawkers creating a bad impression on visitors especially expats. The smell of food and filth created by them is really black spot on such a prominent business district. Government should do something to remove these encroachers but it is like expecting too much, as it seems these hawkers now have electricity and telephone connection also, which makes them legal in a way.
  3. No Budget Restaurant: - In Nariman Point there is no budget restaurant where low rank employees can have meals. If government comes up with some solution where not only staff of firms which has offices in Nariman Point but regular visitors also can have meal at reasonable cost, then the menace created by hawkers will also reduce to a certain extent. Almost all restaurants such as, Status, Relish and restaurants at CR2, Hotel Trident (Oberoi) are not budget restaurants. 
  4. Parking: When Nariman Point was created, car was a luxury. Things which were luxury yesterday have become a necessity today. In 1970’s only owners would have a car but now in changing business environment even employees have their own cars and this infrastructure no longer handle the increasing load. Government need to built an under ground parking place to handle this but then again, it is too much to expect because the space they had building a parking place, they sold it to create CR2.
  5. Reasonably Priced Shopping Centre: - Nariman point doesn’t have any reasonably priced shopping centre in the vicinity. CR2 and the shopping center at Hotel Trident are not for budget user.
  6. Change Commercial Building to Residential: - Now we see that the way deals are happening in only residential building of Nariman Point, NCPA Apartments and prices of offices at Nariman Point. It is giving a very clear indication that residential has stronger demand compared to offices. So why not change few buildings from commercial to residential and bring some equanimity in demand and supply?
  7. Improvement of Buildings :- Except very few buildings like Bhaktawar, Free Press House, Embassy Center, Makers Chambers, Nariman Bhawan etc. Who have put some effort to improve their lobby, façade etc., buildings like Arcadia, Mittal Court, Mittal Tower etc are in shambles. In these buildings after 9PM the staff cooks food at the podium, changes uniforms etc. These things create a very bad impression. All Nariman Point buildings are over staffed. If societies use modern technology like internet to send the bill, notices and use net banking, file returns and pay taxes online and have modern automatic elevators then they don’t need such army of staff. Over staff podium looks very crowded and it creates lots of nuisance and corruption.
  8. Miscellaneous: - Few things like improvement of foot paths, educating of societies is very important because right now they are creating inconvenience to not only to office owners and their employees but visitor also in the name of security. Rules are laid down by people who either don’t have vision or have their selfish interests if not both. Societies have become a big ADDA of corruption
RealEstateDealStreet.com thinks that if these few things get implemented then Nariman Point can restore some of its lost glory again. We agree that certain things can’t be changed like in buildings of new business district such as Lower Parel or Bandra Kurla Complex (BKC) but then they also don’t have few things like Marine Drive which Nariman Point boast of. There is nothing comparable to a walk at Marine Drive after a hard day at work watching the endless ocean one side and the twinkling glory of Malabar Hill on other.

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