Office Rent

Top cities see lowest office vacancies in years amid business expansion

The growth was driven by strong leasing activity and robust net absorption, as companies expanded their workforce and office space in major cities

Delhi-NCR office leasing more than doubles in Q1 to 2.62 mn sq ft: Vestian

Office space leasing in Delhi-NCR more than doubled to 2.62 million square feet during April-June on better demand of workspace in Gurugram and Noida from corporates, according to Vestian. On Friday, US-based real estate consultant Vestian released its report on India's top seven office markets that showed a 10 per cent rise in absorption or leasing of office space to 18.79 million sq ft during the second quarter of this calendar year. The consultant attributed the rise in demand to increased activities in three southern cities (Bengaluru, Hyderabad and Chennai), whose share rose to 59 per cent from 46 per cent in January-March quarter. As per the data, Bengaluru retained its dominant position with leasing of 5.62 million sq ft area in the latest June quarter, an increase of 32 per cent from the year-ago period. In Hyderabad, the demand grew 5 per cent to 3.56 million sq ft, while Chennai saw a 4 per cent increase in leasing activities to 1.82 million sq ft. In Delhi-NCR, the off

Sumadhura launches Workship, targets 10,000 flex seats in 3 years

Sumadhura Group debuts in the managed office market with Workship in Bengaluru, plans to expand across India with over 10,000 seats and 1 million sq ft by 2027

DLF-GIC joint venture DCCDL reports 11% rise in office rent to ₹3,874 cr

DLF Cyber City Developers Ltd (DCCDL), a joint venture between DLF and GIC, has clocked 11 per cent growth in office rental income to Rs 3,874 crore during the last financial year on better demand for workspaces and rent escalation. The rental income from office space stood at Rs 3,497 crore in the preceding year. DLF holds nearly 67 per cent stake in the JV firm DCCDL while Singapore's sovereign wealth fund GIC has the remaining equity shareholding. According to an investors' presentation of DLF, the DCCDL's rental income from retail real estate properties grew 6 per cent to Rs 880 crore last fiscal year from Rs 828 crore in the 2023-24 financial year. DCCDL has an operational rental portfolio of 43 million sq ft, of which 39 million sq ft area is office space and 4 million sq ft retail real estate. Another 12 million sqft area is under construction. These commercial assets are primarily located in Gurugram, Noida, Chennai, and Hyderabad. DLF holds bulk of its rent-yielding renta

Top 7 Indian cities see 4-8% rise in office rent in 2024: Vestian

The rent for office spaces in India's seven major cities rose 4-8 per cent annually in 2024 while the eight big overseas markets saw a mixed trend in rental growth, according to Vestian. As per the data by real estate consultant Vestian, the average office rent in New York fell 1.3 per cent in 2024 to USD 7.5 per square feet per month. Shanghai saw a decline of 6.8 per cent to USD 2.8 per square feet per month, while Hong Kong witnessed a fall of 6 per cent to USD 5.9 per square feet a month. Office rent in Seattle dipped 1.9 per cent in 2024 to USD 4.7 per square feet per month. However, the average office rentals rose in London by 8.6 per cent to USD 8.6 per square feet per month. Miami saw a 7.3 per cent increase in office rent in 2024 to USD 5.1 per square feet per month, while Boston witnessed a 1.2 per cent rise to USD 5.5 per square feet per month. The average office rent in Singapore inched up 0.5 per cent in 2024 to USD 7 per square feet per month. Vestian CEO Shrinivas

First 3 quarters of 2024 witness office space leasing of 53.43 msf: Report

Gross leasing for the year is estimated to be about 70 msf

SBI Funds Management purchases Rs 103 crore office space in Mumbai

The deal comes at a time when India's office market is witnessing significant demand

Flexible office space market may rise to over Rs 14,000 cr in FY24: Report

India's flexible office space market size is estimated to rise 60 per cent to over Rs 14,000 crore this fiscal due to an increase in rent charged by operators per desk and portfolio expansion, according to Upflex India report. Upflex India, a marketplace for flexible workspaces, has released its first report 'Co-Working and Managed Offices Redefining the Indian Commercial Real Estate'. Real estate consultant Anarock brought US-based Upflex to India in 2021. As per the report, the annual co-working market size in terms of rental income is estimated to rise to Rs 14,227 crore this fiscal from Rs 8,903 crore in the previous year. The total portfolio of flexible workspace operators has increased to 12.66 lakh from 10.4 lakh in 2022-23. In terms of area, the portfolio has risen to 57 lakh square feet from 47 lakh square feet. Upflex data showed that the average price per seat per month has increased to Rs 10,400 from Rs 9,200 per desk. The occupancy level has increased to 90 per cent fr

Office rents up 7% in top 7 cities despite tepid leasing in H1FY24: Anarock

The report stated that amid increased office space completions, vacancy levels across most top cities rose marginally except in NCR, MMR, and Kolkata

Average monthly office rentals in top 7 cities at $ 0.4-2/sq ft: Vestian

Average monthly rentals for prime office space in India's top seven cities are very low at USD 0.4-2 per square feet, which is one of the major factors driving demand for workspace from global firms, according to Vestian. Real estate consultant Vestian on Sunday released rentals data for major cities globally, which showed that average rent in New York, London, Miami, Seattle and Boston is USD 40-80 per sq ft per month. Rentals in Hong Kong, Singapore and Shanghai are USD 3-8 per sq ft a month. Vestian said the demand for office spaces in the medium to long term would remain strong in India's seven big cities because of cost-effectiveness. Shrinivas Rao, CEO, Vestian, said: "Indian office market has grown leaps and bounds in the past decade due to robust demand from large multinational companies. These companies set up their operations in India to reap the cost benefits." The demand for office spaces in India is expected to be buoyant amid current macroeconomic uncertainty across

Avg monthly rent of warehousing space up 4% in Delhi-NCR in 1st six months

The average monthly rent of warehousing and logistics space in and around the national capital region rose 4 per cent annually to Rs 22.5 per square feet in the first six months of this year on higher demand, according to real estate consultant Vestian. The leasing of warehousing and logistics space in Delhi-NCR increased 68 per cent to 4.7 million square feet in the January-June period this year as against 2.8 million square feet in the year-ago period. "The Indian warehousing and logistics sector is sailing through global headwinds on the back of strong and sustainable fundamentals. Several mega infrastructure projects are planned across the country to improve connectivity and reduce transit time," Vestian Chief Executive Officer Shrinivas Rao said. Across seven major cities, Vestian in a report on Wednesday said micro-markets of Delhi-NCR quoted the highest weighted average rentals of Rs 22.5 per sq ft a month compared to Rs 21.6 in the year-ago period. Bengaluru closely followe

Bengaluru's Whitefield to see 8-10% growth in office rental: Report

Business hub that hosts famed companies will gain from metro connectivity, it says

Bengaluru may see highest growth in office rent at 5-7% next year: Report

Office rentals in Bengaluru is expected to grow by 5-7 per cent -- highest in the Asia-Pacific region -- during the next year, according to Knight Frank India. In its latest report on 'AsiaPacific Outlook 2023', property consultant Knight Frank said that rent growth in the APAC region is expected to moderate in 2023 as corporate occupiers are looking to optimise overheads and generate savings. "The steady performance of the Indian office markets seen in 2022 is expected to sustain in 2023," it said. Bengaluru's prime office rental is expected to grow in the range of 5-7 per cent YoY (year-on-year) in 2023, highest amongst the 24 APAC cities tracked in the report. Mumbai and New Delhi are the other Indian cities tracked in the report. New Delhi's prime office rental is expected to grow in the range of 4-6 per cent YoY followed by Mumbai in the 3-5 per cent YoY in 2023. The consultant attributed the expected growth in office rentals to a comparatively strong economic outlook, ...

DCCDL office rent income up 14% to Rs 801 cr; retail assets revenue up 54%

Realty major DLF's rental arm DCCDL has reported a 14 per cent increase in office rental income to Rs 801 crore and 54 per cent rise in revenue from retail properties to Rs 184 crore during the quarter ended September 30. DLF Cyber City Developers Ltd (DCCDL) is a joint venture between DLF Ltd and Singapore's sovereign wealth fund GIC. DLF has nearly 67 per cent stake in the JV firm, while GIC has the remaining. In an investors presentation for the July-September quarter, DLF has also informed about the operational and financial performance of its JV firm DCCDL, which holds the bulk of its rent-yielding office and retail real estate portfolio. Some commercial properties are still being held by the parent company DLF. DCCDL's office rental income grew 14 per cent to Rs 801 crore during the second quarter of this fiscal, from Rs 701 crore in the year-ago period. Its retail revenue rose 54 per cent to Rs 184 crore from Rs 120 crore. Total rental income rose 20 per cent to Rs 986 crore

Dubai office rents are rising faster than in New York and London: Report

The rush for office space in the emirate is on show in skyscrapers like ICD Brookfield Place, which towers 800 feet over the financial district

Rent trends will largely mirror the demand curve: Niranjan Hiranandani

In a Q&A, the chairman of Hiranandani Communities explains that the pandemic has prompted the millennial to move from being a renter of residential property to an owner

Office rent rises by 9% in Hyderabad, drops in Delhi-NCR in July-Sep: JLL

Office rentals in Hyderabad rose to Rs 56.20 per sq ft from Rs 51.50, while in Pune rents increased to Rs 68.17 from Rs 64.81. The city has seen 4 million sq ft leasing of Grade A space

Now, ministries to pay rent, water & electricity bills for office space

Monthly rental payable to ministry would be in the range of Rs 24 to Rs 36 per sq ft/ per month

Most expensive office rent markets

Rents have increased on average by 2.3 per cent globally