CRE Matrix & CREDAI Presents India Office Report Q3 CY'23

Pune, Noida, Hyderabad, and Thane are just a few of the vibrant Indian cities whose market rentals have experienced a significant double-digit increase. This indicates that occupiers are becoming more inclined to invest in premium premises inside more affordable office markets. Meanwhile, Delhi-NCR and MMR have experienced a decline in vacancies, contributing to an overall positive market trend. The first three quarters of CY'23 witnessed a robust office demand of 42 million square feet, with Bengaluru and Delhi-NCR contributing significantly at 25% and 20%, respectively. Projections for the entire CY’23, as per a report by CREDAI in association with CRE Matrix, suggest a prospective conclusion with office demand ranging from 55-57 million square feet. Notably, Grade A/A+ workspaces saw a remarkable 29% increase in demand in Q3 CY'23 compared to Q2 CY'23. This heightened demand was largely propelled by key sectors like IT/ITeS, BFSI, and Co-working, which collectively steered two-thirds of the nationwide office demand in 2023.