India Office Figures Q3 2022
October 13, 2022
The office sector in India continued on the path of recovery in Q3 2022, with pandemic restrictions completely lifted across cities. Meanwhile, Return To Office (RTO) continued to pick up with varying occupancies across offices. Below are a few broad office trends observed in the quarter gone by:
- After a record performance in Q2 2022, leasing activity moderated by 30% Q-o-Q, reaching 12.7 million sq. ft. in Q3 2022. However, space take-up in 9M 2022 increased by nearly 66% on an annual basis to touch 42.1 million sq. ft.
- Bangalore, followed by Mumbai and Delhi-NCR, led the absorption; together they accounted for nearly two-thirds of the transaction activity in Q3. Absorption in 9M 2022 was led by Bangalore, Delhi-NCR and Chennai, accounting for over two-thirds of the space take-up.
- Supply also dipped during the quarter, declining by 43% Q-o-Q to touch about 9.5 million sq. ft. New project completions in 9M 2022 grew marginally by 4% on a yearly basis to reach 35.6 million sq. ft.
- Bangalore, Delhi-NCR and Hyderabad continued to lead supply addition, accounting for about two-thirds of the overall completions both during the quarter and in 9M 2022.
- Technology firms, flexible space operators and BFSI companies led the space take-up, together accounting for more than two-thirds of the overall leasing in Q3 2022.
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