Bengaluru Office Rents may Rise 5-7% in 2025 Amid IT and AI Demand

07 Feb 2025 CW Team

Bengaluru’s office rental market is set to experience a 5-7 per cent increase in 2025, driven by growing demand from the IT sector and AI-driven research labs. The city's office space requirements have been steadily rising, particularly with the expansion of global capability centres (GCCs) in recent years. This trend has now been further fuelled by increased interest from technology firms and research institutions specialising in artificial intelligence.

The Indian government’s push to establish AI research labs has contributed significantly to this demand. Additionally, sectors such as online gaming startups and pharmaceuticals are showing strong interest in flexible workspaces, positioning them as key drivers for the flex office sector in the coming year.

However, the gap between supply and demand for premium Grade A flexible office spaces has led to increased input costs for several operators, particularly in Bengaluru. Prime locations within the city’s central business district have already witnessed a 20 per cent surge in rental prices over the past year. The rising operational costs have further pressured workspace providers to optimize office rentals while maintaining operational efficiency.

As businesses continue to prioritize flexible workspaces, the sector is expected to evolve with more cost-effective and innovative solutions to meet the growing demand. The increasing presence of AI research, IT firms, and emerging industries is likely to shape Bengaluru’s commercial real estate landscape, solidifying its position as a leading hub for technology-driven enterprises.

News source: The New Indian Express

Infrastructure Transport

11 May 2026

Shivraj Chouhan Launches PMGSY IV and Announces Package for Madhya Pradesh

Union Minister Shivraj Singh Chouhan launched the Pradhan Mantri Gram Sadak Yojana (PMGSY) IV at Bhairunda in Sehore district during the 25 year celebrations and announced a development package for Madhya Pradesh. The programme was organised by the Union Ministry of Rural Development and attended by Chief Minister Dr Mohan Yadav, ministers of state, state ministers, legislators and senior officials from the centre and the state. The minister said the central government under the Prime Minister is committed to strengthening rural livelihoods through improved connectivity, housing and women's in..

DMR Engineering Reports FY 25-26 Financial Results

DMR Engineering reported its half year results for the financial year ended 31 March 2026 and published full year figures on a standalone basis. Standalone revenue from operations decreased by 2.01 per cent year-over-year to Rs 102.58 million (mn), while profit after tax declined by 43.94 per cent to nine point five six mn, leaving a profit after tax margin of nine point zero five per cent. Earnings per share stood at Rs zero point nine two, a fall of 44.71 per cent year-over-year. The company attributed part of the decline to one-off provisioning for bad debts and additional financing charges..

Atlanta Electricals Posts Strong FY26 Growth And Debt Free Finish

Atlanta Electricals reported audited consolidated results for the quarter and year ended 31 March 2026. The company recorded significant year-on-year revenue growth driven by capacity ramp-up at new facilities and higher utilisation at legacy plants. The announcement summarised operating improvements and strategic milestones achieved during the year. For Q4 the company reported revenue of Rs 7.48 bn and for FY26 revenue of Rs 18.52 bn, representing robust growth versus the prior year. EBITDA in Q4 was Rs. 1.49 bn and Rs. 3.44 bn for the full year, with margins expanding to 20 per cent in the q..