Corporates Pre-Lease 108 Lakh Sq Ft Office Space in 6 Months

New Delhi, Apr 25 (PTI) Indian and foreign companies have pre-leased nearly 110 lakh square feet of prime office space in Bengaluru, Mumbai and Delhi-NCR during the last six months amid paucity of quality workspaces, according to Anarock.

In a statement on Friday, real estate consultant Anarock said, "Close to 38 deals measuring approximately 10.8 million (108 lakh) sq ft of office space have been pre-committed by corporates in Bengaluru, Mumbai and NCR in six months ending March 2025".

Pre-commitments are lease deeds signed by corporates with real estate developers at the under-construction stage. This helps the former in securing strategic locations, better negotiation on leases, and mitigate future rental risks.

Bengaluru saw about 5.7 million (57 lakh) sq ft of office space pre-committed by corporates, followed by Mumbai at 3.1 million (31 lakh) sq ft and Delhi-NCR at 2 million (20 lakh) sq ft.

As supply of quality Grade A+ office supply has been dwindling in the past two years, many corporates have resorted to signing pre-commitment deals with real estate developers, Anarock said.


Peush Jain, MD-Commercial Leasing and Advisory of Anarock Group, said, "The creation of quality new supply has not kept pace with the post-pandemic surge in absorption as a return to the office took effect."

"Besides, the rising demand for quality office space from domestic companies and global MNCs and the evolution of workplace strategies with advanced technological infrastructure and increased focus on Environmental, Social, and Governance (ESG) parameters have been fuelling pre-commitment deals," he said.

According to Anarock data, the net office absorption reached nearly 50 million sq ft in 2024, marking a 29 per cent year-on-year increase. New office supply totalled 48.1 million sq ft, marking a marginal 1 per cent increase from 2023.

Commenting on the data, Madhusudhan G, CMD of Bengaluru-based Sumadhura Group, said, "Bengaluru continues to lead office space absorption across India, reaffirming its position as the country's foremost commercial hub. The city's deep talent pool, strong infrastructure, and thriving tech and startup ecosystems have consistently attracted global and domestic occupiers alike."

Angad Bedi, CMD of Bengaluru-based construction firm BCD Group, said the robust pre-commitment by companies during the last six months is a testament to the strong fundamentals of the Indian economy which continues to attract investments from global and indian investors.