Mumbai, June 8: Mumbai is all set to play host to the mother of all dotcoms,Yahoo!. The US firm is scouting about for 5,000 square feet of prime realtyfor its front office. Operations of the US-based Net giant will, however, belocated in Bangalore, according to a research paper of internationalproperty consultants Knight Frank.Yahoo!'s plans are in line with international and Indian Internet companies'strategy of setting up their marketing and front offices in Mumbai, evenwhile establishing their operational facilities in Bangalore, or Hyderabad,the report says.
The state government is also working overtime to frame a development planfilled with incentives to woo the information-technology (IT) companies. Thegovernment proposes to permit a floor space index (FSI) of 100 per cent overthe existing FSI. It also plans development of the commercial spacedesignated for the IT sector in residential, commercial, and industrialzones.
The other Internet companies which have set up their offices in Mumbai are:Satyam Infoway, which has acquired 15,000 square feet space in the TataEnterprise Centre in Vile Parle for Rs 7,000 per square feet and Globale-com, which recently purchased premises at the SK Industrial estate on SVRoad for Rs 3.59 crore.
Internet companies not going in for outright purchases are opting forleave-and-license agreements. Mill lands are also attracting interest, withIndiainfo.com and Reliance ISP taking up about 30,000 square feet and 60,000square feet respectively at Kamla mills.
Another software company Nirvana took on lease 17,000 squre feet in Nirlon'spremises at Goregoan for Rs 17 per square feet.
In Mumbai, many land-owners and corporates owning old, unused factorybuildings are vying to attract software companies to their premises. Thereis a huge demand for space for setting up call centres in suburbs, since alarge office space needs to be acquired at minimal costs, the report says.
Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.