Office Space Leasing

Demand for office space across eight major cities was at an all-time high during last year, beating previous high in pre-COVID year 2019, according to Knight Frank. During 2020 and 2021 calendar years, the office space demand had plunged due to the outbreak of COVID pandemic. Total office space absorption during the 2024 stood at an impressive 719 lakh square feet, surpassing the previous peak achieved in pre-pandemic 2019 by 19 per cent. On a Year-on-Year (YoY) basis, office space transactions in 2024 recorded a 21 per cent growth compared to 2023. This stellar achievement reflects India's economic resilience, sustained GDP growth, robust domestic consumption, and the country's increasing prominence in the global economic landscape, real estate consultant Knight Frank India said. The exceptional demand for office spaces underscores the confidence of global and domestic businesses in India's thriving business, it added. On the office market, premium managed office space operator

Bengaluru has led growth in India's key office markets, with gross leasing in the IT hub hitting a record nearly 220 lakh square feet in 2024, according to CBRE. Real estate consultant CBRE on Monday released data for nine major Indian office markets. In Bengaluru, the gross office leasing increased to 218 lakh square feet in 2024, from 155 lakh square feet in the preceding year. Flexible space operators rented 36 lakh square feet office space in Bengaluru during 2024, as against 22 lakh square feet in the preceding calendar year. New supply of office space in Bengaluru, however, declined to 140 lakh sq ft, from 154 lakh sq ft in 2023. In Bengaluru, the rentals stood at Rs 77-92 per square feet a month. CBRE said that office leasing recorded a historic high of 790 lakh sq ft in 2024 across nine cities. The absorption marked a 16 per cent annual growth, setting a new benchmark for leasing activity. Anshuman Magazine, Chairman & CEO - India, South-East Asia, Middle East & ...

India's office market was very active in 2024 with gross leasing of workspace witnessing a 19 per cent increase to a record 885.2 lakh square feet across eight major cities, according to Cushman & Wakefield. The gross leasing or absorption of office space stood at 745.6 lakh square feet in the preceding year, data from real estate consultant Cushman & Wakefield (C&W) showed. "The year 2024 has been a defining year for India's office sector, achieving record-breaking leasing volumes and reaffirming the country's position as the strongest growth market globally for office space demand," said Anshul Jain, Chief Executive, India, Southeast Asia and APAC Tenant Representation, Cushman & Wakefield. The growing presence of Global Capability Centers (GCCs), contributing nearly 30 per cent of total demand, underscores India's strategic importance for global multinationals, he highlighted. "As we move into 2025, the demand for Grade-A spaces is expected to remain robust, further

Office space demand remained strong this year with gross leasing of workspace rising 14 per cent to a record 66.4 million square feet across six major cities, according to Colliers India. Gross leasing of Grade A office spaces stood at 58.2 million square feet in 2023 calendar year. Real estate consultant Colliers India on Tuesday released the data for India's six major office markets. Bengaluru saw a record office leasing of 21.7 million square feet in 2024, up 39 per cent from 15.6 million square feet in the preceding calendar year. The gross office space leasing in Hyderabad rose 56 per cent to 12.5 million square feet from 8 million square feet. Mumbai witnessed a 43 per cent increase in demand to 10 million square feet from 7 million square feet, while Pune saw a modest 4 per cent increase in office space leasing to 5.7 million square feet from 5.5 million square feet. However, the demand fell in Chennai and Delhi-NCR. The gross leasing of office space in Chennai declined t

Chennai is set to add about 12-13 million sq ft of premium office space between 2025 and 2026 following strong demand from corporates engaged in various sectors and industry, a report by real estate consulting firm CBRE South Asia Pvt Ltd has said. Currently, the city is home to about 250 Global Capability Centres (GCC) that employ over 1.50 lakh professionals, constituting about 11 per cent of the total GCC talent. The presence of Global Capability Centres in Chennai is expected to touch 460 units by 2030, it said. Strategic policies by the government including the Tamil Nadu Startup and Innovation Policy, Research and Development Policy, payroll subsidy programme for newly established GCCs are solidifying the city's role as a hub for innovation and talent, the study has revealed. The real estate consulting firm CBRE, recently, released the report 'Tamil Nadu: The Epicentre of Capability and Innovation Leadership' which highlights the city's rising prominence as a key destination f

Stock listing in five years as corporate demand for flexible offices increases in cities

Companies expanding operations and consolidating facilities, according to CBRE

Demand for office space continues to be strong with gross leasing rising 31 per cent in July-September quarter across six major cities, according to Colliers India. Real estate consultant Colliers India data showed that the gross office leasing rose to 17.3 million square feet in July-September from 13.2 million square feet in the year-ago period. Bengaluru and Hyderabad accounted for over half of the leasing activity during this period. Bengaluru registered its highest-ever leasing in any quarter at 6.3 million sq ft, up 85 per cent from 3.4 million square feet in the year-ago period. In Pune, gross leasing rose to 2.6 million sq ft from 1 million square feet. Office space leasing in Mumbai and Chennai remained flat at 1.7 million square feet and 1.4 million square feet, respectively. Hyderabad witnessed a 16 per cent increase to 2.9 million square feet from 2.5 million square feet. Office demand in Delhi-NCR fell 25 per cent to 2.4 million square feet in July-September 2024 fr

The office space spanning 1.1 million square feet in Mumbai's Goregaon suburb is one of the largest commercial real estate deals in India

Around 55 per cent of the total office demand during January-June period across eight major cities was for an area up to 1 lakh square feet while the remaining 45 per cent leasing transactions were for larger workspaces, according to Knight Frank India. Real estate consultant Knight Frank data showed that transactions for office spaces above 1 lakh square feet stood at 15.69 million square feet during the first half of this calendar year. "Large office space contributed 45 per cent of the overall commercial transactions across eight leading cities in the country," it added. Office space leasing in mid-segment or spaces between 50,000 square feet and 1,00,000 square feet was recorded at 7.28 million square feet during January-June 2024, constituting 21 per cent of the total leasing transactions during this period. The consultant's data showed that office space leasing in small office spaces or spaces below 50,000 sq ft were recorded at 11.7 million square feet, accounting for 34 per

Over the past two years, BHIVE has expanded its managed office portfolio by adding 1.5 million square feet

Leading global companies have taken on lease nearly 53 million square feet of office space since 2022 across six major cities to set up Global Capability Centres (GCCs) with maximum demand in Bengaluru, according to CBRE and Zyoin. In their joint report, property consultant CBRE and hiring solutions firm Zyoin highlighted that GCCs have significantly amplified their Indian operations over recent decades, propelled by a skilled workforce, cost efficiency, and a conducive business climate. This GCC growth trajectory is anticipated to be concentrated in India's top six metropolitan areas, driven by their exceptional talent pools, enabling expansion and future development. "Global corporations are affirming their long-term commitment to India by securing larger office spaces for their GCCs," the consultant said. Nearly 53 million square feet of office space was leased by GCCs between 2022 and the first half of 2024 across Bengaluru, Hyderabad, Chennai, Pune, Delhi-NCR and Mumbai. Out

Office space leasing absorption in Kolkata surged 33 per cent year on year to 0.4 million square feet in the April-June quarter of 2024, according to the CBRE India Office Figures Q2 report. The key sectors driving absorption in Q2 2024 were technology (40 per cent), BFSI (21 per cent), and flexible space operators (10 per cent). "The office space leasing absorption in April-June 2024 was 0.4 million square feet against 0.3 million square feet in the YoY period, a CBRE official said. Another real estate consultant, Knight Frank India, also said that Kolkata's office market saw a significant increase in office leasing volume, with 0.7 million square feet of office space transacted in H1 2024 (January-June 2024). This represents a 23 per cent growth compared to H1 2023, according to Knight Frank India's report "India Real Estate: Residential and Office" (January-June 2024). Average office space rents increased by 6 per cent year-on-year (YoY) during H1 2024, it said. Knight Frank a

Mumbai leads trend; India's office market to see 'sustained growth': Colliers

India expected to have more than 1,900 such facilities by 2025 and more than 2 mn will be employed there, it says

The demand of premium office space across major cities is likely to exceed 70 million square feet this year and going forward as work-from-home is no longer a concern for the Indian commercial real estate market, said Cushman & Wakefield India chief Anshul Jain. Cushman & Wakefield, one of the leading global real estate consultants, is bullish on the Indian office market, driven by high demand from global capability centres (GCCs) and domestic companies across major sectors. In an interview with PTI Videos, Jain, Chief Executive, India & Southeast Asia and Head of Asia Pacific Tenant Representation, Cushman & Wakefield, said, "India is now being called the Office of the world interestingly. And the demand in India is one of the highest in Asia, and in fact the rest of the world." Indian office market across seven major cities is witnessing a very strong demand, with both gross leasing and net leasing reaching around pre-COVID level, he said. "So, from an office market .

India's prime office markets saw a 4-8 per cent year-on-year rise in rentals in the first quarter, propelled by strong demand and an influx of high-quality supply, according to Colliers' latest report

Rating agency ICRA has estimated that around 530 lakh square feet of office spaces are eligible for small and medium REITs (SM-REIT) listing, creating a monetisation opportunity of Rs 67,000-71,000 crore. In November last year, the Sebi board cleared the amendments to the REITs Regulations, 2014, in order to create a regulatory framework for the facilitation of SM REITs, with an asset value of at least Rs 50 crore vis-a-vis minimum asset value of Rs 500 crore for existing REITs. As per the notification, the minimum price of each unit of the scheme of SM-REIT shall be Rs 10 lakh or such other amount as may be specified by Sebi from time to time. The size of the asset proposed to be acquired in a scheme of the SM-REIT is at least Rs 50 crore and less than Rs 500 crore. "Small and Medium REITs will provide an opportunity for small Grade A and most of the Grade B office developers to monetise their investments. Also, Fractional Ownership Platforms (FOPs) are expected to be formalised, .

Demand for retail spaces in shopping malls and high-street locations may decline up to 15 per cent this year from a record 71 lakh square feet in 2023 calendar year with retailers being cautiously optimistic, according to CBRE. Leasing of retail spaces in shopping malls and high street locations rose 48 per cent to 71 lakh (7.1 million) square feet in 2023 across eight major cities as against 48 lakh (4.8 million) square feet during the 2022 calendar year. In its report '2024 India Market Outlook', real estate consultant CBRE has projected that the leasing of retail space is expected to sustain between 6-6.5 million (60-65 lakh) square feet in 2024. It also expects a stable supply of retail spaces on completion of numerous high-quality mall developments. Around 5-6 million (50-60 lakh) square feet of investment-grade mall space will become operational in tier-I cities, the consultant said. Anshuman Magazine, Chairman & CEO - India, South-East Asia, Middle East & Africa, CBRE, .

It's not clear how Neumann is planning to line up financing for his bid