Office Property Rent Surges By 8% in March Quarter Says Report

According to the Colliers’ Asia-Pacific Office Markets April 2024 report India's top office markets experienced up to an 8 percent year-on-year rise in rentals in January-March period, with Delhi-NCR leading the pack. Experts believe robust demand along with an infusion of high-end quality supply led to the uptick.

As life started to come back to normal after the coronavirus epidemic, rentals have seen considerable growth, so far, in 2024, surpassing pre-pandemic levels. Occupiers across the Asia-Pacific region are willing to pay higher rentals for superior quality offices, particularly in locations which facilitate talent acquisition, the report indicated.

The report said that weighted average quoted (WAQ) rents in Delhi-NCR rose to Rs 101.5 per square foot a month in the first quarter of 2024 from Rs 93.3 in the year-ago period. The growth of 8.8 percent is the highest among the six cities —Mumbai, Bengaluru, Hyderabad, Chennai, Pune and Delhi-NCR.

Delhi was followed by Chennai, with average monthly office rentals growing 6.6 percent YoY. In Pune, monthly rentals surged 4.2 percent, while Mumbai and Bengaluru were up 4 percent each. Hyderabad at 2.2 percent saw the lowest increase among the six cities.