Commercial Space Shortage Hampers India's Boom

New Delhi is cracking down on businesses that operate in areas not zoned for commercial use. But businesses have nowhere to go in a booming city that suffers from a severe shortage of commercial real estate.

1 minute read

December 27, 2006, 12:00 PM PST

By Abhijeet Chavan @http://twitter.com/legalaidtech

"Even as government inspectors scuttle around New Delhi handing eviction orders to shopkeepers and other business owners [that violate zoning ordinances], the city is suffering from a dire lack of commercial space that leaves those affected with nowhere to go.

The shortage has become all the more glaring in light of India's booming economy, which grew 9.2% last quarter compared with a year earlier. Multinational companies are flocking to India for a piece of the action. But many arrive to find harsh realities masked by the dazzling statistics, such as crumbling infrastructure and a bureaucracy that has failed to address such problems.

The dearth of legal commercial space in Delhi - for offices, retail outlets, banks and restaurants - is a prime example of the impediments to efficient economic activity and growth in India."

FULL STORY: In India, a boom that's bursting at the seams

Saturday, December 23, 2006 in The Los Angeles Times

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