Mumbai’s Office Real Estate Roars Back: Highlights from Q3 2023!

Mumbai led office leasing activity in Q3 2023, with a record 50% year-over-year increase in net absorption, according to a report by CBRE South Asia. The city saw a total of 3.3 million square feet of net absorption during the quarter, driven by strong demand from the BFSI, technology, and engineering and manufacturing sectors.

The BFSI sector was the largest contributor to leasing activity in Mumbai, accounting for 63% of the total. The technology sector accounted for 10% of the leasing activity, followed by the engineering and manufacturing sector with 8%.

Some of the notable leasing transactions in Mumbai during Q3 2023 include:

• A leading BFSI company leased 1,600,000 sqft in Oberoi Commerz III
• Upgrad Education leased 122,000 sqft in BKC 51
• HDFC leased 100,000 sqft in One International Center – III

The strong leasing activity in Mumbai is a sign of the city’s growing importance as a business and financial hub. The city’s well-developed infrastructure, skilled workforce, and proximity to other major cities in India make it an attractive destination for businesses of all sizes.

What does this mean for the Mumbai office market?

The strong leasing activity in Q3 2023 is a positive sign for the Mumbai office market. It indicates that there is a strong demand for office space in the city, and that businesses are confident in the city’s economic growth.

The report also noted that the overall office leasing activity in India increased by 33% year-over-year during Q3 2023. Bangalore, Hyderabad, and Pune were the other key cities that saw strong leasing activity during the quarter.

The Indian office market is expected to continue to grow in the coming years, driven by strong economic growth and rising demand from businesses of all sizes.

What does this mean for businesses looking to lease office space in Mumbai?

The strong leasing activity in Mumbai means that there is a limited supply of available office space in the city. Businesses that are looking to lease office space in Mumbai should be prepared to act quickly and to pay a premium for space.

However, there are still some good deals to be found in the Mumbai office market. Businesses should work with a qualified real estate agent to find the best possible space for their needs and budget.

What can businesses do to prepare for the rising demand for office space in Mumbai?

Businesses that are looking to lease office space in Mumbai can prepare for the rising demand by:

• Starting their search early: The earlier businesses start their search for office space, the more likely they are to find the best possible space for their needs and budget.
• Being flexible with their budget: Businesses may need to be prepared to pay a premium for office space in Mumbai.
• Working with a qualified real estate agent: A qualified real estate agent can help businesses find the best possible space for their needs and budget, and can also negotiate on their behalf.

Source: Housing

Disclaimer: The views expressed above are for informational purposes only based on industry reports and related news stories. PropertyPistol does not guarantee the accuracy, completeness, or reliability of the information and shall not be held responsible for any action taken based on the published information.