Hyderabad holds max vacant office space at 284 lakh sq ft: Vestian

Hyderabad has maximum vacancy in office space at 284 lakh sq ft among seven major cities amid strong supply in last few years, according to real estate consultant Vestian.

As per the Vestian data as of March 2025, Hyderabad has a total office stock of 1,620 lakh square feet, of which 284 lakh sq ft or 17.5 per cent area is vacant and yet to be rented out to corporates.

The vacancy in Hyderabad came down to 17.5 per cent from 19 per cent as no fresh supply came into the market during January-March period of this year.

After Hyderabad, the consultant data showed that Delhi-NCR has vacant office space of 232 lakh sq ft out of total office stock of 1,364 lakh sq ft. The vacancy rate in Delhi-NCR is 17 per cent.

Bengaluru, the country's most prominent office market, has a stock of 2,805 lakh square feet and out of that 7.5 per cent or 210 lakh sq ft is vacant.

In Chennai, the office vacancy is 7.1 per cent. The total office space stock is 843 lakh sq ft and 60 lakh sq ft is vacant.

Office space vacancy in Mumbai stands at 8.3 per cent. Out of 1,512 lakh sq ft office stock, 125 lakh sq ft is vacant.

Kolkata has a highest vacancy in percentage term at 28.9 per cent. The office space stock in Kolkata is 275 lakh sq ft and out of that 79 lakh sq ft is vacant.

Pune has a vacancy of 6.6 per cent. The total office space stock in Pune is 844 lakh sq ft, of which 56 lakh sq ft is vacant.

On the demand, Vestian data showed that the office space leasing rose 34 per cent in January-March this year to 179.6 lakh sq ft.

Shrinivas Rao, CEO of Vestian, said, "India's office market maintained its growth momentum in Q1 2025, driven by sustained demand across the major office markets in India. Even though the absorption decreased over the previous quarter, demand for office spaces by GCCs, IT-ITeS, BFSI, and Flex Spaces is expected to swell in the forthcoming quarters.