Surging Demand: India's Office Space Market Thrives

India's office space demand surged in 2023, with gross leasing reaching 66.4 million square feet across major cities, marking a 14% rise. Bengaluru, Hyderabad, and Mumbai showed significant growth, while Chennai and Delhi-NCR saw declines. The demand was largely driven by technology, engineering, and financial services sectors.

India's office space demand reached record levels this year, with a remarkable 14% increase in gross leasing to 66.4 million square feet across six major cities, as per data from Colliers India.

Bengaluru led the surge with a 39% rise, hitting 21.7 million square feet, while Hyderabad and Mumbai also saw substantial growth. In contrast, Chennai and Delhi-NCR faced declines in leasing activity.

Fueled primarily by technology, engineering, manufacturing, and financial services sectors, the demand for office space is expected to stabilize at elevated levels in the coming years, with annual uptake potentially exceeding 60 million square feet.

(With inputs from agencies.)