There is 2 percent dip in office space leasing, say property consultants
Posted on: 12/Jul/2017 3:07:53 PM
Between January and June 2017, there is 2 percent dip in office space leasing, and has come down to 18.9 million sq. ft. across 7 major cities. However, the demand is likely to continue steady in the second half of the year, say property consultants.
In a statement, a leading property consultant said that the gross office take-up was of the range 9.6 million sq. ft. during the second quarter off 2017. This represents about 2 percent increase every quarter from the 9.3 million sq. ft.
In H1 2017, the office absorption is 18.9 million sq. ft. This is 2 percent lesser as compared to the corresponding period during the same period last year.
For this study, the property consultant had considered 7 major markets including Delhi-NCR, Mumbai, Chennai, Kolkata, Bengaluru, Pune and Hyderabad.
While there were substantial layoffs by the tech firms because of changes and automation in technology, it is likely that the commercial market will continue to remain in the same resilient phase with continued expansion plans proposed by prominent occupiers, said the associate director of the research.
With GST implementation, this will end with a marginal uptick of occupancy cost, but it will not have any adverse impact with the demand.
