India tops APAC office market activity: India topped the Asia-Pacific region's office market in the July-September quarter with a 70 per cent share of demand, according to a report released on Friday.

India tops APAC office leasing activity

According to a report by Colliers India, India topped APAC office leasing activity with 17.3 million square feet. More than half of the demand for A-grade offices in the country came from Hyderabad and Bengaluru. Overall new supply in India followed demand, with over 14.4 million square feet of new construction in the third quarter, the report said.

Arpit Mehrotra, Managing Director, Office Services, Colliers India, said rental growth varies from city to city. The overall rental property cycle is in line with Australia, Japan and New Zealand. Additionally, competitive rentals and strong demand from diverse occupant segments will continue to strengthen the Indian office market's position in the APAC region.

Increased demand in these countries

The Asia-Pacific office market is forecast to grow to 2025 and new data shows that top markets grew 10.7 per cent year-on-year in the third quarter. Demand was strong in countries such as India, New Zealand and Singapore, with annual growth in office leasing in these markets exceeding 30 per cent, the report said.

Vimal Nadar, Senior Director and Head of Research at Colliers India, said that leasing activities in India are witnessing a steady increase. The uptake of Grade A space may be 54 to 64 million square feet in 2024. Talking about supply in Asia-Pacific, many big projects may be completed in the coming quarter. This may lead to an increase in supply. The report said that despite the uncertainties, demand and supply will remain almost equal and due to this the rental rates may remain in a limited range.