Outlook 2023 India

HYDERABAD DEMAND & VACANCY

NET ABSORPTION (MSF) AND VACANCY RATE (%)

FORECAST

35.0%

7

 Annual net absorption of 6.0 msf is expected in 2022, driven by ongoing expansions in IT-BPM, flexible workspace and professional services sectors.  Net absorption for each 2023 and 2024 is likely to range around 6-6.5 msf.  Vacancy is expected to rise consistently through to 2024 due to the high volume of supply.  Although net absorption is forecast to slow beyond 2024, vacancy is expected to decline in light of limited new supply.

30.0%

6

25.0%

5

20.0%

4

15.0%

3

10.0%

2

5.0%

1

0.0%

0

2020

2021

2022F

2023F

2024F

2025F

2026F

Net Absorption

Vacancy Rate

Source: Cushman & Wakefield