Indian office leasing market witnessed a substantial surge in 2023, Bengaluru takes the lead
Indian office leasing market witnessed a substantial surge in 2023, Bengaluru takes the lead (Representational Image )
In an impressive uptick, the Indian office leasing market witnessed a substantial surge in 2023, with Bengaluru taking the lead, according to Colliers India. The year saw a remarkable rise in the absorption of office spaces, and both the National Capital Region (NCR) and Chennai also demonstrated notable growth.
Arpit Mehrotra, Colliers India’s Managing Director, highlighted Bengaluru’s significant role in this growth. The city accounted for 25% of the total office leasing in the country, underscoring its leading position. This surge signals Bengaluru’s ongoing attractiveness as a major business hub in India.
Key Contributions to the Office Leasing Surge:
Technology Sector: With nearly 14 million square feet leased, the technology sector was a significant contributor.
Engineering and R&D: These sectors also played a vital role in the office leasing market.
Flexible Workspace Industry: Witnessing substantial growth, this industry absorbed around 8.7 million square feet.
A Positive Outlook for 2024
The Indian commercial real estate market, specifically office leasing, is set for ongoing growth in the coming year. Robust demand from a variety of domestic companies across different sectors is anticipated to sustain the upward trend in India’s office leasing market. The country’s substantial talent pool, cost-effective rentals, and supportive office market environment will enhance India’s status as a key location for office spaces.
