+
Over 7,400 office leases up for renewal in 2021
Real Estate

Over 7,400 office leases up for renewal in 2021

Around 7,400 leases of 90 million sq ft are up for renewal in 2021 in the top six commercial real estate hubs in India – Bengaluru, Pune, Mumbai, Chennai, Gurgram, and Noida, according to Industry data and Anarock Research.

The year 2021 is also the highest lease expiry pipeline compared to the next two years – 2022 and 2023. In 2022, the estimate for 7,000 leases for approximately 78 mn sq ft and the lease renewal for 2023 for approximately 55 million sq ft. With around 7,400 leases expiring in 2021, Mumbai has the highest share of around 44% and Pune with 15% share. Both these cities are adversely affected by the second wave of Covid-19. The impact of leasing over the year bears watching, the research said.

The total leasing that comes up for renewal accounts for 90 million sq ft. In terms of space, Bengaluru has the highest share of around 37% and Mumbai with the second-highest area share of around 19%.

Out of total leasing renewal in 2021, Chennai has a 5% share in terms of area, and has a 12% share in total. Gurugram has a 15% share in terms of number and overall area. Noida has the lowest share of lease renewal of 3% for both lease numbers and the overall area.

The second wave of Covid is way more destructive than the first, and some companies are waiting and watching over their real estate decisions. The leasing activity has begun to tame down. It is also because of the average vacancy levels in Grade A office space across the top seven cities, breaching the 15% mark.

The rising number of the Covid-19 cases in the Mumbai Metropolitan Region (MMR) and Bengaluru, the markets with the highest commercial demand and stringent curfew restriction are a cause of concern.

Mumbai and Pune have seen a decline in daily cases of Covid. IT, ITeS companies are hiring in bulk to fulfil the increase of work orders and have a healthy pipeline for the current year as well.

Image Source


Also read: Co-working startup leases 2.5 lakh sq ft in Hyd

Around 7,400 leases of 90 million sq ft are up for renewal in 2021 in the top six commercial real estate hubs in India – Bengaluru, Pune, Mumbai, Chennai, Gurgram, and Noida, according to Industry data and Anarock Research. The year 2021 is also the highest lease expiry pipeline compared to the next two years – 2022 and 2023. In 2022, the estimate for 7,000 leases for approximately 78 mn sq ft and the lease renewal for 2023 for approximately 55 million sq ft. With around 7,400 leases expiring in 2021, Mumbai has the highest share of around 44% and Pune with 15% share. Both these cities are adversely affected by the second wave of Covid-19. The impact of leasing over the year bears watching, the research said. The total leasing that comes up for renewal accounts for 90 million sq ft. In terms of space, Bengaluru has the highest share of around 37% and Mumbai with the second-highest area share of around 19%. Out of total leasing renewal in 2021, Chennai has a 5% share in terms of area, and has a 12% share in total. Gurugram has a 15% share in terms of number and overall area. Noida has the lowest share of lease renewal of 3% for both lease numbers and the overall area. The second wave of Covid is way more destructive than the first, and some companies are waiting and watching over their real estate decisions. The leasing activity has begun to tame down. It is also because of the average vacancy levels in Grade A office space across the top seven cities, breaching the 15% mark. The rising number of the Covid-19 cases in the Mumbai Metropolitan Region (MMR) and Bengaluru, the markets with the highest commercial demand and stringent curfew restriction are a cause of concern. Mumbai and Pune have seen a decline in daily cases of Covid. IT, ITeS companies are hiring in bulk to fulfil the increase of work orders and have a healthy pipeline for the current year as well. Image SourceAlso read: Co-working startup leases 2.5 lakh sq ft in Hyd

Next Story
Real Estate

No glass boxes!

India is moving away from the ‘glass box’ syndrome, all-glass façades that were widely used in commercial buildings in the last two decades but came at a significant environmental cost given the country’s predominantly hot and humid climate. Poor thermal performance, excessive heat gain and dependency on mechanical cooling systems made buildings with glass façades energy guzzlers and significantly increased their carbon footprint.That said, it’s important to be aware that “glass is not the enemy,” points out Heena Bhargava, Architect, Architecture Discipline. “How it ..

Next Story
Infrastructure Transport

Why do pavements fail?

India’s highways continue to expand at a healthy pace. But conversations on the surface quality of highways are growing louder because major deficiencies and black spots continue to be identified, and they are cause for concern.“Road surface roughness causes vehicle vibrations that, in turn, can affect the performance of drivers,” explains Dr V K Gahlot, Road Safety Auditor, Centre for Research and Sustainable Development (CfRSD). “Continuous exposure may induce fatigue, a contributory factor to road accidents. Road surface roughness also affects the vehicle operating cost...

Next Story
Infrastructure Urban

APAC Logistics Rents Fall for First Time Since 2020

Logistics rents across the Asia-Pacific region declined 0.4% year-on-year in H1 2025, marking the first annual drop since 2020, according to Knight Frank’s Logistics Highlights H1 2025 report. Despite global trade tensions and cautious occupier sentiment, India emerged as a standout performer, driven by robust manufacturing momentum and supply chain recalibration.Regional Trends and DivergenceWhile rents largely remained stable across most markets, regional differences became more pronounced:Mainland China continued to see rental declines, though the pace of decline moderated to 12.8% YoY, s..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?