Bengaluru witnessed total office leasing activities of 2.7 million square feet in third quarter (Q3) of 2015.

However, net absorption was relegated to only about 600,000 square feet as a number of companies moved to captive built-to-suit spaces or relocated to recently built spaces.

Sanjay Dutt, Executive Managing Director, India, Cushman & Wakefield said, “Lower availability of ready space for absorption has led many corporations to hold on to their decisions of expansion in short-term as most office spaces which will come into supply in the next few months are already pre-committed to.”

Even the currently vacated spaces are high in demand and expected to get leased in short time. This tilt towards demand is expected to hold for a short period of time till supply starts to match up with demand in the New Year.

Bengaluru is expected to see upwards of 10 million square feet of net absorption by the end of 2015.

Published on November 9, 2015