The peace after Corona is now over. The excitement has returned to the offices and with this a new struggle has started – the search for a good office space. The situation is that in big cities of India, companies are not getting space to sit, and taking advantage of this opportunity, property owners are increasing the rent arbitrarily.
According to a report, the demand for office space in the country is at its all-time high in the second quarter of 2025. Due to high demand and low supply, office rents are skyrocketing in cities like Delhi, Mumbai, Gurugram and Bengaluru.
Delhi-Gurugram: Fares become rocket in the country’s capital
The condition of the country’s capital Delhi and the glittering Gurugram adjacent to it is the worst.
- Delhi Office rent in the last one year in posh areas like Connaught Place and Barakhamba Road 16% This is the fastest increase in the last 5 years.
- Gurugram Fares in Cyber City and areas around NH-48 also 16% Has climbed till. Due to excellent metro connectivity and being the hub of big companies, it has become difficult to find a vacant desk here.
Mumbai: The dream of a place in the city of dreams becomes expensive
Annual office space rent in Mumbai 11% Has increased at a speed of. In places like Bandra-Kurla Complex (BKC) and Nariman Point, big companies are ready to pay exorbitant rents. New office projects are being built less here and big companies are locking space for long periods, due to which it has become difficult for small businessmen to find space.
Bengaluru: Rent fire in IT hub
Most of the fires have taken place in India’s Silicon Valley i.e. Bengaluru. Annual office rent in IT hub area like Whitefield 20% There has been a record increase. The return of IT company employees to office and the demand for special kind of office space for hybrid work culture has sent the rents skyrocketing here.
Why is there such an uproar?
There are three big reasons behind this huge increase:
- End of ‘Work from Home’: Most companies have called their employees back to office.
- Demand is high, supply is low: New buildings are not being built as fast as companies need offices.
- IT and finance sector boom: Both these sectors are hiring heavily and they need big offices for their employees.
It is clear that this fight will not subside until there is a flood of new office projects in the market. Till then, companies will have to be prepared to dig deep into their pockets.
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