In a significant boost to Tamil Nadu's software industry, the state government plans to establish IT parks along three sites of the 50-meter strip along the eastern side of Chennai's Outer Ring Road (ORR).
The Chennai Metropolitan Development Authority (CMDA) has granted enter upon permission for three locations — Malayambakkam, Mannivakkam, and Vandalur — in response to Tidel Park Limited's request.
After conducting a comprehensive land valuation along the ORR stretch, sites were allocated accordingly. The first IT park, covering 5.33 acres in Malayambakkam, is valued at Rs 3 crore per acre. The second park, spanning 5.04 acres in Mannivakkam, has a land value set at Rs 5 crore per acre. The third IT park, planned on a 0.5-acre plot in Vandalur, holds a land value of Rs 8.05 crore per acre.
The government's focus is currently on attracting Global Capability Centers (GCCs) to establish operations in the state, which could potentially create high-end job opportunities. According to Knight Frank's report, there are approximately 160 GCCs in Tamil Nadu, accounting for about 10% of the national total.
CBRE South Asia Pvt Ltd forecasts that GCCs are expected to lease office space totaling 62 million sqft between 2023 and 2025, as outlined in their report, 'India’s Global Capability Centres - Charting a New Technology Era'.
Sectors such as technology, engineering, manufacturing, and banking, financial services, and insurance (BFSI) are anticipated to lead leasing activities in the region. Additionally, industries including life sciences, automobiles, and aviation are poised to expand their operations in India's Greater Chennai region.
A total of 13 state departments have jointly announced 59 projects covering 226 acres along the stretch. Recently, the appointment of a consultant was made to devise a comprehensive plan for developing a 1 km stretch on both sides of the road. The primary objectives of the consultant include identifying suitable areas for implementing the Land Pooling Area Development Scheme (LAPDS) and formulating an economic development plan for the corridor.
However, there has been a setback in this process as the consultant has been relieved of their duties by top officials due to delays. Meanwhile, the Tamil Nadu Industrial Development Corporation has secured 36 acres of land along the stretch, valued at approximately Rs 70 to Rs 75 crore, for establishing warehouses.
The designated areas for these facilities include Morai (11 acres), Karungaracheri (6.9 acres), Kummanur and Angadu (4.2 acres), Periyamullaivoyal (5.06 acres), and Minjur (9.22 acres). According to a report from Coldwell Banker Richard Ellis, Chennai witnessed a record-breaking leasing activity of six million sqft, while the supply stood at 6.3 million sqft.
In an effort to create greater employment opportunities for the youth, the government aims to attract Global Capability Centers (GCCs) to establish their presence in the state. GCCs have the potential to offer high-end job opportunities, aligning with the government's objective of fostering skilled employment. Reports indicate that Tamil Nadu currently hosts approximately 160 GCCs, contributing to roughly 10% of the national GCC count.
For inquiries regarding the new IT parks slated for development along Chennai's Outer Ring Road in Tamil Nadu, including Mannivakkam, Malayambakkam, and Vandalur, please contact Wisdom Properties. They can provide information and assistance regarding these upcoming projects..