India's Top Cities Witness Record Office Space Supply in 2024
India's top seven cities saw a record-high supply of office space in 2024, driven by robust demand from IT-ITeS, BFSI, and flexible workspaces. The supply reached 515 lakh square feet, marking a significant milestone in the commercial real estate sector.
Commercial Real EstateOffice SpaceIndiaBfsiFlexible WorkspacesReal Estate PuneFeb 27, 2025
This surge was driven by strong demand for premium workspace, particularly from the IT-ITeS (Information Technology and IT-enabled services), BFSI (Banking, Financial Services, and Insurance), and flexible workspace sectors.
Real estate consultant Vestian released a report on the Indian office market, highlighting these trends.
The report indicated that office rent increased by 4 per cent to 8 per cent across the top seven cities last year.
The leasing or absorption of office space reached an all-time high of 707 lakh square feet, reflecting a 16 per cent annual increase.
Shrinivas Rao, CEO of Vestian, commented, \
Frequently Asked Questions
What cities are included in the top seven for office space supply in India?
The top seven cities for office space supply in India include Mumbai, Bengaluru, Hyderabad, Delhi-NCR, Pune, Kolkata, and Chennai.
What sectors are driving the demand for office space in India?
The sectors driving the demand for office space in India are primarily IT-ITeS, BFSI, and flexible workspaces.
How much did office space supply increase in Mumbai in 2024?
Office space supply in Mumbai increased by 170 per cent in 2024, reaching 73 lakh square feet.
Why did office space supply decline in Chennai in 2024?
Office space supply in Chennai declined by 57 per cent annually in 2024, falling to 29 lakh square feet.
What is the role of Global Capability Centres (GCCs) in the growth of office space demand?
Global Capability Centres (GCCs) are driving the growth in office space demand, particularly in cities like Bengaluru and Hyderabad, as multinational corporations expand their operations in India.
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