Hyderabad Beats Bengaluru with highest new office supply in FY23 - Anarock report
The indian economy is now more robust than those of the most industrialized countries, but Thakur cautions that the future has to be closely watched. "It's possible that the indian office market's present slump won't end until the first half of 2024. Many IT/ITeS businesses have reduced their operations and are not trying to grow. Thus, the office markets in the top 7 cities will be subdued in the final quarter of 2023 and the first quarter of 2024. In the second half of 2024, depending on how the global economy develops, we anticipate some stability.
Office Rentals see 4 percent y-o-y Surge
The average office rental in India's top 7 office markets increased by a respectable 4% annually. The average monthly rent for Grade A office space in india in the fiscal year 2022–23 was INR 79/sf, an increase of 4% over the previous year. The increase in input prices is primarily to blame for this growing trend.
The most costly office rental market among the top 7 office markets is MMR, where monthly rent has reached INR 132/sf. Bengaluru was second with rents of INR 85/sf/month, while NCR was third with INR 82/sf/monthly rentals. kolkata has the lowest monthly average office rental rates in the current fiscal year, at INR 54/sf.