During January-March, Office Space Leasing in Delhi-NCR Increased by More Than 2.5 times, According To a Report

In the January-March period of last year, office leasing totalled 7, 00,000 square feet. New office space supply declined 10% to 1 million square feet from 1.1 million square feet. At the end of last month, the Delhi-NCR had a total supply of office space of 118.7 million square feet.

According to Colliers, the gross lease of office space in the Delhi-NCR market increased by more than 2.5 times to 1.8 million square feet between January and March, owing to increased demand from corporations and co-working spaces.

In the January-March period of last year, office leasing totalled 7, 00,000 square feet.

New office space supply declined 10% to 1 million square feet from 1.1 million square feet.

At the end of last month, the Delhi-NCR had a total supply of office space of 118.7 million square feet.

In its Delhi – NCR Office Market Snapshot for Grade – A (premium) buildings, Colliers India stated, “Gurugram topped office leasing activity, accounting for over 72 percent share in Q1 2022; DLF Cybercity emerged as the most favoured micromarket.”

It said that vacancy remained constant due to consistent leasing in the face of limited supply.

“In Q1 2022, supply is projected to be centred on NH-48, Golf Course Extension Road, and Noida Expressway,” Colliers said.

During the first quarter of the calendar year 2022, the vacancy rate for office space was 23.5 percent. The monthly average rent was Rs 91.6 per square foot.

DLF, Brookfield, Bharti Realty, and Max Estates are among the prominent developers in Delhi-NCR that provide office space for leasing.

DLF Cyber City Developers Ltd, a joint venture between DLF and Singapore’s sovereign wealth fund GIC, owns and operates various commercial property  in Gurgaon.

Brookfield, a worldwide investment group, has purchased a 51% share in Bharti Enterprises’ four commercial buildings, including Worldmark at Aerocity in the national capital, for Rs 5,000 crore.

Max Estates has two commercial developments in Noida: “Max Towers” and “Max House” in Okhla, Delhi. Max Estates has partnered with New York Life Insurance Company for its third commercial project, Max Square, in Delhi – NCR.

WeWork, Smartworks, Skootr Global, The Executive Centre, Simpliwork, Awfis, and The Office Pass are among the co working companies with a significant presence in the NCR.

According to a Colliers analysis, gross office space leasing in the top six cities increased dramatically from 4.7 million square feet a year ago to 13 million square feet in January-March 2022, while supply doubled to 14.3 million square feet from 7 million square feet.

Bengaluru, Chennai, Delhi-NCR, Pune, Hyderabad, and Pune are the six cities monitored by Colliers India. These six cities have a combined office space stock of 601 million square feet.

“The second quarter of 2022 will be critical, as more businesses are expected to build offices. The year 2022 is expected to be a great year if the general leasing trend continues “Ramesh Nair, CEO of Colliers India, said.