Hyderabad Ranks Among India’s Top Three Cities in Terms of Office Space Absorption - News

According to the latest office report for the second quarter of 2022 from leading real estate consulting firm CBRE South Asia Pvt Ltd, Hyderabad is among the top three cities in India, with 2.6 million sq ft of office space absorption in Q2 2022. The report’s findings also revealed strong demand for office space in India across major Indian cities in Q2 2022, with leasing activity increasing by 61 percent quarter-on-quarter (QoQ) to reach the highest-ever quarterly office space absorption of 18.2 million sq ft.
Engineering and manufacturing firms accounted for roughly 53 percent of space leasing, followed by life sciences (16 percent) and banking, financial services & insurance firms (15 percent). Smaller deals dominated transaction activity; 69 percent of absorption during the quarter was recorded in SEZ spaces, 22 percent in IT spaces, and 9 percent in non-IT spaces.
In Hyderabad, Qualcomm leased 1.1 million sq ft in CommerZone Wing 1, PwC leased about 0.35 million sq ft in My Home Twitza, and Legato leased about 0.33 million sq ft in aVance Business Hub (H9). Office absorption in major cities was 29.5 million sq ft in H1, a 157 percent increase year-on-year (Y-o-Y). In H1 2022, new completions totaled 26.1 million sq ft, up 26 percent Y-o-Y. During the quarter, Bengaluru, Delhi-NCR, and Hyderabad accounted for nearly two-thirds of the transaction activity.