Indian Metros Show Strong Office Market Growth and Rankings in Asia-Pacific

India and Australia are key drivers of Asia-Pacific office market growth, with Hong Kong SAR remaining the most expensive. In India, Delhi-NCR ranks 6th priciest at USD 72.33/sq ft, Mumbai 8th at USD 68.51, and Bengaluru 19th at USD 36.84. These three cities leased 1.88 crore sq ft of prime office space, with Mumbai recording a 56 lakh sq ft leasing record and 7.5% rent growth. Delhi-NCR saw an 8.2% rent growth.

The report highlights India and Australia as the primary forces driving growth in the Asia-Pacific office market. Hong Kong SAR continues to hold the top spot as the most expensive office market in the region, with average rents reaching USD 158.96 per sq ft annually. Within India, Delhi-NCR leads as the costliest market, ranking 6th in Asia-Pacific at USD 72.33 per sq ft. Mumbai follows closely, securing 8th place with rents at USD 68.51, while Bengaluru is positioned at 19th, with rents averaging USD 36.84 per sq ft. Collectively, these three Indian metropolitan areas demonstrated robust activity, leasing a substantial 1.88 crore sq ft of prime office space in the last quarter, a 3% increase from the same period in 2025 (likely a typo for an earlier year or quarter). Mumbai set a new leasing record, transacting 56 lakh sq ft in a single quarter, and experienced a 7.5% increase in office rents. Despite a 16.2% vacancy rate, Mumbai's rents are projected to rise from the current Rs 4,025 per sq ft annually. Delhi-NCR also recorded consistent rent growth of 8.2% year-on-year, with rents expected to remain stable around Rs 4,428 per sq ft amidst a 14.2% vacancy rate. The report specifically focuses on 'prime' or 'A-grade' office spaces, which are key attractors of global investment, hence the detailed coverage of India's top three metros. Chennai did not make it to the top 24 list for Asia due to its comparatively lower office rent and transaction values.