1 week Ago By PTI
The rent for office spaces in India's seven major cities rose 4-8% annually in 2024 while the eight big overseas markets saw a mixed trend in rental growth, according to Vestian.As per the data by real estate consultant Vestian, the average office rent in New York fell 1.3% in 2024 to $7.
5 per square feet per month.Shanghai saw a decline of 6.8% to $2.
8 per square feet per month, while Hong Kong witnessed a fall of 6 per cent to $5.9 per square feet a month.Office rent in Seattle dipped 1.
9% in 2024 to $4.7 per square feet per month.However, the average office rentals rose in London by 8.
6% to $8.6 per square feet per month.Miami saw a 7.
3% increase in office rent in 2024 to $5.1 per square feet per month, while Boston witnessed a 1.2% rise to $5.
5 per square feet per month.The average office rent in Singapore inched up 0.5% in 2024 to $7 per square feet per month.
Vestian CEO Shrinivas Rao said the decline in office space rents in some of the global markets is influenced by the emergence of technologies like generative AI and changes in office space utilisation strategies.Among seven Indian cities, Mumbai saw an increase of 6.7% in monthly average office rent to $1.
6 per square feet.Delhi saw an 8.2% rise in monthly rentals to $0.
9 per square feet, while Bengaluru witnessed a 4.7% rise to $1.1 per square feet.
The average monthly office rent in Pune stood at $1 per square feet in 2024, up 4.5% annually.In Chennai, the monthly office rent stood at $0.
8 per square feet in 2024, a rise of 7.7% annually.Hyderabad saw an appreciation of 4.
4% in average monthly office rent during 2024 to $0.8 per square feet.The average monthly office rent in Kolkata increased 3.
8% annually during 2024 to $0.6 per square feet, the Vestian data showed.Rao said the influx of new businesses and company expansions has led to significant demand for office spaces in India.
"Global firms are aggressively seeking office space in India due to robust economic growth compared to other major economies of the world, rich demographic dividend, large consumer base, rapid urbanisation, and the easy availability of skilled workforce at competitive rates, particularly in technology and finance," he added.Rao noted that this demand is driving the need for high-quality office spaces.The consultant said prime commercial hubs like Mumbai's BKC and Delhi's central business district (Connaught Place and adjoining area) command high rentals, with average rent reaching $3-4 per sq ft a month.
Google India To Pay Rs 3.55 Crore Monthly Rent For Office Space In Mumbai’s BKC — Details Here . Read more on Real Estate by NDTV Profit.
.
