Office Rent Surges in Major Indian Cities: Anarock Report

Office rent in Mumbai, Hyderabad, and Delhi-NCR has increased significantly over the past 2.5 years, driven by strong demand for prime workspaces. According to real estate consultant Anarock, rental values are showing healthy growth across major metros as businesses push harder for a full-fledged return to office life.

In its report, Anarock noted that the US, which is seeing considerable business policy uncertainty, accounts for 45 per cent of total office space leasing in India, ahead of all other countries. Peush Jain, MD - Commercial Leasing & Advisory at Anarock Group, highlighted that US-based banks contribute as much as 48 per cent of BFSI leasing in Mumbai. “American companies' appetite for prime Indian Grade A office spaces remains undiminished,” Jain said.

From 2022 to 2025, a powerful post-pandemic rebound has fueled consistent and growing demand for premium workspaces, especially in hotspots like MMR, Delhi-NCR, and Hyderabad. In MMR, the average monthly office rent has risen to Rs 168 per square feet from Rs 131 per square feet in 2022. Delhi-NCR has registered a 20 per cent growth in rent from Rs 92 to Rs 110 per sq ft. Hyderabad saw a growth in office rental values of 24.1 per cent to Rs 72 from Rs 58 per square feet.

Office rent in Bengaluru rose 16 per cent to Rs 95 per sq ft from Rs 82 in 2022. Pune and Chennai markets showed only moderate rental growth of 11.1 per cent and 9.1 per cent, respectively. The office rent in Pune is Rs 80 per sq ft and in Chennai Rs 72 per square feet.

Shesh Rao Paplikar, Founder & CEO of BHIVE workspaces, commented on the data, “The 16 per cent increase in office rentals in Bengaluru signals a resilient rebound in commercial real estate, driven primarily by strong demand from technology, GCCs (Global Capability Centers), and flexible workspace providers.” This rental surge reflects rising confidence in India's talent ecosystems, infrastructure upgrades, and return-to-office mandates.

Kirthi Chilukuri, Founder & MD of Stonecraft Group, added, “The surge in office rentals across India's major cities signals a renewed business confidence and a decisive shift toward future-ready workspaces. Hyderabad's impressive 24 per cent growth highlights its transformation into a go-to hub for tech and innovation-driven enterprises, backed by strong infrastructure and a dynamic talent pool.”