Decline in using of office space in NCR, Mumbai, Blore

According to a report, the market share of the total office space transacted in the country by the three leading hubs of National Capital Region, Mumbai and Bangalore reduced to about 62 per cent in the third quarter of this year from about 75 per cent in the previous quarter. This was due to these three cities witnessing a decline in transaction activity while other office markets such as Hyderabad and Chennai showed an increase in the same, according to a report by real estate consultancy CBRE. The report, which covered seven cities comprising NCR, Mumbai, Bangalore, Chennai, Hyderabad, Pune and Kolkata, pointed to the overall office space absorption sliding by 14 per cent quarter-on-quarter during the third quarter of 2012, to about 6 million square feet as compared to over 7 million square feet in the previous quarter. Existing vacancy levels and lower demand also resulted in a decline of about 47 per cent on a quarter-on-quarter basis in new office space supply across these leading cities, with about 5 million square feet of office space being completed in Q3 against over 9 million square feet in the previous quarter.