Small office space hot in Kolkata market, Real Estate News, ET Real Estate

Kolkata: In Kolkata, nine out of 10 office space deals in 2022 were for properties less than 50,000 sq ft. Only one in 10 was 50,000-1 lakh sq ft in size, with no more than 1 lakh sq ft.

Overall office space demand in the city is projected to grow from a little over 0.8 sq ft in 2021 to over 1.1 sq ft in 2022, a year-on-year increase of 42%.

real estate consultancy firm knight frank india The study revealed that in Kolkata, office space of 50,000 sq ft comprised 70% of floor space transactions in 57 deals, with the remaining five deals of 50,000-1 lakh sq ft accounting for the remaining 30% during the year. happened. In 2021, around 84% of floor space transactions were below the 50,000 sq ft category, with just 16% in the 50,000 sq ft to 1 lakh sq ft bracket.

In percentage terms, Kolkata saw the highest proportion of small office space transactions, followed by Chennai at 57% and Mumbai at 49%. The highest number of small office deals, however, was in Bengaluru at 247, followed by Pune at 185.

Knight Frank India Senior Director (East) Abhijit Das said that the demand for office space in Kolkata continues to strengthen in 2022, with the highest office space leasing in the last three years.
“During 2020 and 2021, there was a significant reduction in transaction volumes due to mobility restrictions due to the pandemic. In 2022, the office market in Kolkata could be seen emerging out of crisis. References to office space demand by various sectors In 2017, the IT sector’s share has increased despite some players postponing expansion plans. With a hybrid work mode strategy, IT sector occupiers continue to lease new office space to establish their office space footprint Das said.

Pan-India, office leasing volumes were recorded at over 51 million sq ft in 2022, the second best historically.

“In this, in the IT/ITeS driven markets of Bengaluru, Hyderabad and Pune, more than 50% of their total office space was leased out by occupiers taking up more than 100,000 sq. ft. Larger spaces are generally for value driven services like R&D. and GCC, which is a sign of India’s continued progress in this sector. We expect the pace of office transactions to be largely sustained through 2023,” said Knight Frank India Chairman and Managing Director Shishir Baijal,