Share of flex office space leasing jumps to 30 pc in Kolkata: Report

Renting of flexible office spaces in Kolkata is on the rise, and its share reached 30 per cent of the total leasing market in the first half of 2023, said a report released on Monday.

In 2022, the share of flex leasing was 20 per cent, up from just 6 per cent in 2019, said the report released by CBRE India.

Flex space refers to commercial rentals with multiple small tenants, offering more flexible space allotment and lease terms, typically less than a year.

''This trend is driven by the benefits of flexible terms, shared amenities, cost-efficiency, and reduced upfront costs,'' said Ram Chandnani, MD (Advisory & Transactions Services) at CBRE India.

''The increasing demand for flexible office solutions underscores their strategic significance in addressing evolving workspace needs. This trend aligns seamlessly with post-pandemic workplace preferences, which emphasise adaptable and scalable office solutions,'' he said after releasing the report at STATECON 2023.

Chandnani said he expects office leasing absorption to surpass 1 million sq ft in 2023 in the city.

A total of 1.3 million sq feet was leased in Kolkata last year.