Outlook 2023 India

DELHI NCR

DEMAND & VACANCY

NET ABSORPTION (MSF) AND VACANCY RATE (%)

FORECAST

6

35.0%

 Net absorption during 2022 (5.43 msf) is likely to double that achieved in 2021. With an increase in hiring plans and return to office ratios, recovery in office demand has gained momentum in 2022.  Demand is expected to pick up further over the next few years with the IT-BPM sector expected to remain a key driver for leasing activity in the NCR market.  Despite steady demand levels in the market even post 2024, vacancy is expected to increase marginally with respect to higher supply entering the market.

30.0%

5

25.0%

4

20.0%

3

15.0%

2

10.0%

1

5.0%

0.0%

0

2020

2021

2022F

2023F

2024F

2025F

2026F

Net Absorption

Vacancy Rate

Source: Cushman & Wakefield