Outlook 2023 India






 Bengaluru shall continue to remain as a leading KEY OUTLOOK

 Bengaluru is set to witness a record high supply of 13-14 msf in 2022.  Beyond this, ~34 msf of total supply is expected to complete during 2023 -2024, with the Outer Ring Road submarket being the major (>40%) contributor.  Beyond 2024, average annual supply is expected at 11-12 msf.

 Year 2022 is likely to witness a record demand volume of around 14 msf, which would be 2x growth compared to 2021.  2023 and 2024 are also likely to record high net absorption volumes in the range of 12-13 msf driven by rising return to office ratios and demand for quality spaces.  City vacancy is expected to see marginal uptick during 2023 and 2024 on account of high volume of supply.  However, prime submarkets will likely continue to experience tight vacancy levels in the range of 3-5%.

 Rents remained largely unchanged during 2021 and 2022.  As rising demand translates into higher space take-up in the near-to-medium term, rents are likely to resume growth from 2023 onwards.  Upward rental movement will take rents to INR 1160/sft/yr by end 2024.

destination for GCCs not just in India but globally, backed by its existing tech ecosystem, competitive office rentals and large talent pool.


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