08 Jan 2011 - Iran (Tehran)

James Whitmee

The following is ur update on the market based on on-the-ground intelligence:

- Tehran is a major seismic zone and there may be a need for specialist due diligence to check that building options are safe

- There are good quality and well-specified office buildings in the city

- Prime rents are $33 /sq m /month - they may have gone as high as $50 quoting several years ago

- Rents are generally quoted in USD but payable in Rials

- Leases are often linked to Iranian inflation as published by Bank Markazi

- Leases are generally flexible, one year renewable

- If you agree to a longer term you may be able to get an initial reduction in rent

The main streets where most Iranian companies want to be and where the majority of foreign companies are located are:

- Ahmad Ghasir Street

- Ghaemmagham Farahani Street

- Africa Expressway and Africa Street

- Vali Asr Street

- Mirdamad Boulevard

Dastegerdi Street

- Shariati Street

- Pasdaran Street

- Gandi Street