Amazon Expands in Bengaluru with 1.1 Million Sq Ft New Office Space
- Industry News
- June 20, 2024
India’s office market thrives in 2024, with leasing surpassing 47 million sq ft by Q3 and flex spaces rising to 20% of demand. Tier-II cities gain traction, rentals grow by 5-10%, and sustainability drives new developments. Projections for 2025 include solid growth, GCC expansion, and broader sector participation.
READ MOREIndian businesses are increasingly embracing office leasing for flexibility and cost-efficiency. In Q3 2024, leasing activity surged 66%, led by Bengaluru and Hyderabad. Domestic firms now drive 47% of demand, with tech, BFSI, and hybrid work models fueling growth. The future promises tech-driven, scalable, and sustainable leased spaces.
READ MOREIndia’s office space market recorded 18.61 million sq ft absorption in Q3 FY25, driven by BFSI and flex spaces contributing 39%. Southern cities led with 61% share, Bengaluru dominating at 36%. Vacancy dropped to 14.8%, while Hyderabad led new completions. Despite a 4% dip in construction, rentals remained stable.
READ MOREDelhi NCR ranks India’s most expensive office market and 6th in Asia-Pacific, with rents at ₹340/sqft/month. Mumbai follows at 8th with ₹317/sqft, while Bengaluru ranks 18th as a cost-effective option. Knight Frank highlights stable rents, strong global demand, and record transaction volumes driving India’s thriving office market.
READ MOREIndia’s real estate market will see a steady recovery and transformation in 2024. Office leasing nears pre-pandemic levels, fueled by IT and hybrid work models, while e-commerce drives warehousing demand. Residential trends favour integrated townships and sustainable green buildings. Affordable housing expands, though affordability challenges persist in major cities like Mumbai and Delhi.
READ MOREIndia leads the Asia-Pacific office market, driving over 70% of Q3 2024 leasing demand, fueled by a 10.7% YoY surge in regional activity. With rising rental rates, robust absorption in Bengaluru and Hyderabad, and 1.34 million square meters of new completions, India cements its position as the APAC market leader for 2025.
READ MORE