For the first time rents in all top six office markets surpass pre-pandemic levels

Bengaluru: Average rents across all the top six office markets have surpassed pre-pandemic levels for the first time in 2024, according to a report by professional services and investment management company Colliers released on Wednesday.

The core micro-markets saw the highest growth with up to a 25 per cent increase as compared to the pre-pandemic time. These micro markets have seen higher rental growth compared to the 2-8 per cent city-level appreciation between 2019 to 2024.

As per the report, demand revival has driven rental recovery.

Hyderabad and Pune achieved pre-pandemic rental levels in 2022 itself. While Bengaluru and Chennai reached 2019 rental levels in 2023, Delhi-NCR and Mumbai completed the recovery cycle finally in 2024.

Delhi NCR and Pune saw the highest rise in average rentals at about 8 per cent each during the 2019-2024 period.

Since 2019, cumulative demand and supply across the six major office markets of the country have been recorded at 264 and 234 million square feet respectively.