Bengaluru and Mumbai Lead Office Leasing Boom in India, Says Colliers Report

Colliers, a global commercial real estate services company, reported that India’s office market continued its strong performance in the second quarter (Q2) of 2024. The top 6 cities saw 15.8 million square feet of office leasing.

Increase in New Office Space

In Q2 2024, new office space in the top 6 cities increased by 6% compared to the same period last year, totaling 13.2 million square feet. This was a 16% rise over the previous quarter.

City-wise Performance

Four out of six cities saw more than a 20% increase in office leasing, indicating strong market sentiment. Bengaluru and Mumbai led the demand, accounting for more than half of India’s leasing activity. Mumbai saw a significant 3.5 million square feet of leasing, twice the levels of Q2 2023, and added the most new space at 4.0 million square feet.

Sector-wise Demand

The demand was driven by sectors like BFSI, Technology, and Engineering & Manufacturing. Flex spaces also saw healthy leasing of 2.6 million square feet, with Bengaluru and Delhi-NCR accounting for 65% of this activity.