Pune Records 11.1% Increase While Mumbai Tops India’s Office Rental Market With 28% Hike; Hyderabad, Delhi NCR Follow
Housing Sales Fall 19% Across Nine Cities; New Supply Drops 30% in Q2 2025
Pune, May 24 – The Mumbai Metropolitan Region (MMR) has taken the lead as India’s most expensive commercial office market, witnessing a sharp rise in rentals. According to a report by real estate consultancy Anarock, average rents in MMR surged by 28%, climbing from ₹131 per sq ft in 2022 to ₹168 per sq ft in 2025.
This spike is largely attributed to the increasing demand for high-end office spaces in key commercial hubs like Bandra-Kurla Complex (BKC), Lower Parel, and Andheri East. Sectors such as finance, IT/ITeS, and startups are driving this demand, benefiting from post-pandemic business recovery.
Following Mumbai, Hyderabad saw the second-highest jump in office rentals with a 24.1% increase—from ₹59 to ₹72 per sq ft. The rise reflects the city’s growing appeal to IT and business service sectors.
In Delhi-NCR, office rents climbed by 20%, from ₹92 to ₹110 per sq ft. This growth has been supported by major infrastructure upgrades and the expansion of corporate hubs in Noida and Gurugram.
Bengaluru, another major IT destination, reported a 15.8% hike in average rental values, reaching ₹95 per sq ft in 2025. Areas like Outer Ring Road, Whitefield, and Electronic City continue to attract global enterprises.
Meanwhile, Pune and Chennai recorded moderate increases of 11.1% and 9.1% respectively, indicating stable office space demand in these cities.
An earlier study by Anarock had noted a significant rise in capital values across India’s top seven cities between 2021 and 2024, outpacing rental growth in several micro-markets.
The evolving trends highlight a robust rebound in India’s commercial real estate sector.
