Purpose, Advantages and Disadvantages of Central Business District (CBD)

Business Centres in Chennai, Serviced Office Space in Chennai.

Location, location, location! The magic word when it comes to office space. What your office will look like, comes after where are you going to work out of? Do you work out of the Central Business District of your city, or set up operations somewhere a little less crowded?

Office space is at a premium. While it is getting increasingly difficult to find space and build a setup from scratch, it is getting more convenient to move into serviced office space. And the advantage is that these spaces are more often than not, located in and around the Central Business Districts of the cities.

For a company, an address is vital. It becomes easier to operate and gain trust amongst those you deal with. It becomes all the more official and serious if you have managed to secure a good office space. Where you are located says a lot about you. For example, if you are a pan-India software company operating out of Tamil Nadu, it makes sense to be working out of the Business Centers in Chennai. The main purpose behind operating out of a Central Business District is to be in the thick of the action.

However, there are a few advantages and drawbacks, discussed in detail below.


  1. The centre of activity:- You will be at the epicentre of everything, if you choose to work out of the Central Business District. A network of transport will already be there, so customers, suppliers and others who want to get to your office will find it very convenient.
  2. Awareness:- Since you are in the hive of activity, you will be aware of what is going on around you, in the market. Competitor’s moves, amongst other things, become clear. Operating out of the main commercial nerve-centre of the city means you are up to date with everything in the business-world around you.
  3. Prestige:- Being located in the Central Business District leaves a very favourable impression with those your firm deals with on a daily basis. Employees will feel proud of the fact that they are situated in such an important part of the city.
  4. Infrastructure:- The infrastructure in the offices located in the Central Business District tend to be of slightly better quality. You will probably enjoy tall buildings offering the finest of amenities and features to make your employees and customers’ office experience a favourable one.


  1. Costs:- Expect high costs. Renting office space around the Central Business District certainly isn’t cheap. The day to day running costs will automatically increase, by way of innocuous expenses. For example, if you’re buying printer paper, expect it to cost slightly more in the Central Business District than in the suburbs.
  2. Pollution:-The prime location often means incessant noise and air pollution. Traffic snarls on congested roads lead to vehicular pile-ups. The resultant honking and exhaust fumes from stationery vehicles will all accumulate to create a rather noisy, unpleasant atmosphere.

While the above points may or may not sum up all the benefits and disadvantages of working out of the Central Business District, it is important to know that your location might be great, but if you’re slacking in other areas of business, your company won’t do very well. In some cases, luck may be on your side. For example, if you are located on the 15th floor of a tower, you really need not worry about the pollution affecting you. Whether it is serviced office space in Chennai, Hyderabad, Pune, Mumbai or even Colombo,location becomes of paramount importance for a business. Whether you want to be located in the Central Business District or not, would entirely depend on the choice you make, after taking into account factors such as location of suppliers, clients, costs, etc.