Ahmedabad sees 2.5 times jump in office absorption

Gujarat's biggest city Ahmedabad saw over 2.5 times jump in absorption of office spaces in the country in 2014, said a new report. For the first time in five years, it has crossed the absorption of 1 million square feet of office properties, said realty consultant Cushman & Wakefield.

The city witnessed an absorption of 1.5 million sq ft in 2014 as compared to 0.5 million sq ft in 2013.

Besides small base, absorption increased significantly in 2014, due to a growing demand for quality Grade A office developments, from companies as well as local entrepreneurs, Cushman said.

The city saw total supply of 2.3 millions sq ft, which 23 per cent higher than 2013.

The IT-ITeS sector contributed 50% to the leasing activity in 2014, followed by BFSI (31%) and manufacturing (11%). Prahladnagar witnessed 37% of the total net absorption during the year.