Kolkata's office market achieved exceptional growth in Q3 2025, with transaction volumes reaching 0.5 million sq ft, a 190% year-on-year surge. Strong IT and flex space demand, combined with limited Grade A supply, propelled rental values to 14% YoY growth, the highest among major Indian cities.
Mumbai's office sector shines with 11% year-on-year rent increase, the thirteenth straight quarter of growth per Knight Frank's Q3 2025 report. Premium Grade A spaces in Nariman Point, Lower Parel, and Bandra-Kurla Complex draw strong demand as developers prioritize project completions over new launches in a supply-constrained market.
Ahmedabad's office market showed impressive growth in Q2 2025, recording 161,000 square feet in gross leasing, dominated by GIFT City at 70%. The city added 0.8 million SF of new space, with net absorption hitting 3 million SF over the past year, dropping vacancy rates to 26%. Engineering & manufacturing and IT-BPM sectors each claimed 24% of leasing activity, signaling strong economic momentum.
Mumbai's office sector showed remarkable growth in Q2 2025, with gross leasing reaching 4 million square feet. Flexible workspaces led the charge, followed by BFSI and IT-BPM sectors. Net absorption hit a high of 2.6 million square feet, signalling strong market demand.
Amazon Development Centre India leases 220000 sq ft from WeWork in Chennai, marking 2025's largest office transaction. The 40-month deal accommodates 3500+ work units, underscoring Chennai's rising prominence alongside Bengaluru and Hyderabad in India's tech real estate landscape.
High-quality office buildings in Noida sectors 62, 63, 125, and 132 experience record demand as tech companies and startups seek modern amenities and superior connectivity.
Kolkata's office leasing surged 60% year-on-year in H1 2025, led by major IT outsourcing and flexible workspace deals, driving vacancy rates to their lowest since 2019 and boosting rents by 10%.
Gurugram-based Incuspaze expands in Chennai's IT corridor with 2.5 lakh sq ft lease at Olympia Crest, offering premium workspace tailored for IT/ITES firms with modern amenities and strategic OMR Zone 1 location.
AIPL Masterpiece secures ₹200/sq.ft rental deal on Golf Course Road, Gurgaon, setting a new benchmark for premium office spaces and corporate demand in the region.
Pune's commercial real estate market witnessed a robust 22% year-on-year rise in office space absorption in Q1 2025, driven by IT/ITeS, manufacturing, and co-working sectors.
Hyderabad's office leasing activity exceeds 2023 averages by 11%, reaching 2.5 million sq ft in one month, driven by business expansion.
In Q1CY24, Grade A office space demand in India surged, driven by key cities. CEDAI predicts demand will hit 70 MSF by 2024, supported by economic growth.
India's Q1 2024: 9% rise in home sales, 43% surge in office leasing, driven by global capacity centers, with Mumbai leading residential growth.