JLL India Office Market Update q1 2024

India Office Market Update: Q1 2024
Research
India
2024
India Office
Market Update jll.co.in
Q1 2024
Q1 2024: At a glance
Net Absorption: New Completions:

8.30 mn sq ft 10.9% y-o-y 8.28 mn sq ft 16.9% y-o-y
Up by 10.9% compared to Q1 2023; 48.0% down Down by 55.8% q-o-q; Grade A stock
on a q-o-q basis at 814.7 mn sq ft
Vacancy: Rental growth driven by core

17.1% 10 bps q-o-q markets: 2.5% y-o-y
Marginal decrease of 10 bps q-o-q; likely to Rents remain sticky with growth seen in core
remain sticky around 17-18% in the near to markets and demand corridors; up y-o-y and
medium term q-o-q across all cities
2
Q1 2024 performance is second best in all previous same period

comparison; third straight quarter of over 15 mn sq ft gross
leasing activity
Second highest gross leasing ever recorded Delhi NCR and Bengaluru account for Domestic occupiers hold sway
in the first quarter of any year ~47% of the Q1 gross leasing activity Q1 belonged to domestic occupiers, particularly
Gross leasing in India’s top seven markets Delhi NCR and Bengaluru emerged as in the BFSI, Flex, and manufacturing/
was recorded at an impressive 15.16 mn sq ft frontrunners in the market, accounting engineering segments as they gained a
in Q1, an increase of 13.8% compared to the for 26.6% and 20.4% of the overall gross majority share in office leasing. While global
same period last year. This marks the third leasing in Q1 2024, respectively. Chennai corporations remain strong takers of office
consecutive quarter where gross leasing has continued its strong showing, following up space in India, their sluggish decision-making
surpassed the 15 mn sq ft mark, following the from the momentum witnessed in 2023, has seen the strong domestic economy pick
historical high of 20.94 mn sq ft in Q4 2023 contributing to a significant 17.6% share up the slack. Domestic occupiers intensified
and 16.03 mn sq ft in Q3 2023. Notably, this of the overall leasing. Mumbai and Pune their demand, contributing ~53% to the
also represents the second-highest gross followed with gross leasing figures of 2.11 gross leasing activity. This remains in line
leasing ever recorded in the first quarter of mn sq ft and 1.81 mn sq ft, respectively. with the trend being observed over the past
any year, only trailing the levels of 17.3 mn sq 2 years where domestic occupiers have
ft witnessed in Q1 2020. The quarter has set consistently gone toe to toe with their global
the platform for India’s office market to reach counterparts in space acquisition. Moreover,
and even surpass the peak activity levels this highlights the resilience and adaptability of
witnessed in 2023. India’s office market.
3
Net absorption relatively steady in Q1; supply shows

a big q-o-q decline
mn sq ft
24 20%
Net absorption at 8.3 mn sq ft, up 10.9% y-o-y 20.8
India’s net absorption across the top 7 cities, stood at 8.3 mn sq ft, up by 20 18.8
16%
10.9% y-o-y. This first quarter performance is second only to the Q1 2022 number 16
15.9
14.8 14.4
in the post-COVID period, signifying the consistent headcount growth-driven 12%
12.0
11.2 11.1
expansion activity by corporates in India. It is a testament to the country’s 12
9.9 10.0 10.5 10.7
9.1 8%
talent pool and competitive costs that most global firms’ business plans involve 7.7 7.5 7.9 8.3 8.3
8
capacity augmentation in India.
4%
4
The net absorption during the quarter was led by Delhi NCR with a 28.2% share,
followed by Bengaluru with 21.2% and Mumbai with 18.8% shares, respectively. 0 0%
The first quarter net absorption for the cities of Delhi NCR, Mumbai, Hyderabad Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024
Net Absorption (LHS) New completions (LHS) Vacancy (RHS)

and Chennai were also all at post-COVID highs compared to previous
Q1 numbers, symptomatic of expansion-led demand on track to near historic Note: The overall Pan India numbers for net absorption and vacancy have been historically
highs in the India office market. modified/changed to reflect then-prevailing market conditions. This change has primarily
Quarterly supply at a 15-quarter low been done on account of changes done to the Pune Office market data.
New completions kept pace with net absorption for Q1 2024 but were
at a 15-quarter low and down by 55.8% q-o-q. New completions in Q1 were
headlined by Hyderabad which accounted for a 25.1% share, followed by Delhi
NCR with 20.4% and Mumbai with 19.8% shares, respectively.
Vacancy falls 10 bps q-o-q

Vacancy on a pan-India basis stands at 17.1%, a 10 bps decrease q-o-q. Core
markets and superior quality institutional assets continue to find favour from
occupiers resulting in significantly lower vacancy rates, usually in the single digits.
Note: Chart represents aggregate numbers for the seven cities of Delhi NCR, Mumbai, Bengaluru, Chennai, Hyderabad, Pune and Kolkata
Source: Real Estate Intelligence Service (REIS), JLL Research
4
Delhi NCR tops Q1 2024 net absorption, Hyderabad leads

in new supply
India Q1 2023 Q1 2024 Delhi NCR steals a march as it tops net absorption in Q1
2024, followed by Bengaluru and Hyderabad
Net Absorption 7.48 mn sq ft 8.30 mn sq ft
Delhi NCR emerged as the highest contributor to the quarterly
New Completions 9.96 mn sq ft 8.28 mn sq ft
net absorption for Q1 2024, with Bengaluru, Hyderabad and
Mumbai following in that order. Delhi NCR’s Q1 net absorption
Delhi NCR was the highest among all same-period numbers since 2008.
1.96 2.26 On a q-o-q basis, net absorption was up only in Delhi NCR
1.81 1.69 while being lower in all others. This was expected after a
record previous quarter net absorption performance. On a
Pan-India level, net absorption for Q1 2024 stood at 8.3 mn
sq ft, still better on a y-o-y basis, signalling a healthy appetite
for expansion-led demand and headcount addition for India
operations of global firms.
Kolkata
0.46 0.08
Hyderabad, Delhi NCR and Mumbai combine for a 65.3%
0.04 0.00
Mumbai share of completions in Q1 2024
0.88 1.50
Hyderabad New completions stood at 8.28 mn sq ft, the lowest
0.15 1.64
0.52 1.55 in 15 quarters and down by 55.8% q-o-q. Hyderabad led with
Pune 0.68 2.08
a 25.1% share of new completions, followed by Delhi NCR with
1.12 0.50
a 20.4% share. Mumbai also had a ~20% share in the quarterly
1.83 0.77 Chennai completions. Bengaluru’s new completions in Q1 were
0.63 0.67
Bengaluru down to their lowest since COVID with occupancy certificate
0.70 0.65
1.91 1.73 delays the source of disruption in the supply additions
4.75 1.45
during the quarter.
5
Tech leads Q1 occupier activity; Flex and manufacturing

continue their strong show
100%
10% 7% 7%
12% 13% 12% 11% 13%
90% 18% 5%
2% 1% 3% 10%
2%
4%
2% 8%
80% 18% 13%
12% 18% 18% 20%
Flex and manufacturing/engineering sectors remain bullish; 14% 18%
tech leads but continues to be impacted by sluggishness 70% 19%
In Q1, the tech sector maintained a steady share of gross leasing

60% 20%
at 24%. The sector is facing challenges due to global headwinds, 25% 32% 27% 23% 24%
23%
resulting in slower revenue growth and a decline in space take-up 29% 16%
50%
1%
by third-party outsourcing firms. 1% 1% 0% 1% 0.5%
0.3%
40% 3% 17%
Flex space operators continue to play a significant role, accounting 2% 18% 14%
21% 19% 18% 21%
for 21.0% of gross leasing, marking the highest post-COVID 30%
20% 14%
absorption by this segment.
14% 9%
10% 7%
Following closely behind, the manufacturing/engineering sector 20% 11% 6%
7%
12%
captured a 20% share in the quarterly gross leasing activity , the 8%
10% 20%
highest in almost three years. With the expansion of India’s GCC 15% 14% 17% 17% 17% 16%
11% 10%
ecosystem and the influx of high-end R&D work into the country, 0%
this segment is experiencing a sustained growth in demand. Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024
BFSI Consulting Flex
E-Commerce IT/ITeS Manufacturing
Miscellaneous Telecom, Healthcare & Real Estate
6
Rental values continue to strengthen in core markets

and quality assets
Rent: Q1 2019=100
125
Rents continue to strengthen across all major cities
On a q-o-q basis, average rental values were up across major office markets 120
in the range of 0.1-1.3%, barring Kolkata. Bengaluru, Chennai and Delhi NCR
115
saw maximum growth in Q1.
The rental values on a y-o-y basis (Q1 2024 vs Q1 2023) have increased across 110
all cities, with Chennai witnessing the maximum growth of 4.8%, followed
105
by Bengaluru and Kolkata with 3.8% and 3.7% growth, respectively. Mumbai,
Delhi NCR, Pune and Hyderabad recorded 3.0%, 2.6%, 2.4% and
100
1.8% y-o-y rental growth, respectively.
95
Q1 2019 Q1 2020 Q1 2021 Q1 2022 Q1 2023 Q1 2024
Rental growth driven by core markets Bengaluru Chennai Delhi Hyderabad Kolkata Mumbai Pune
Quality completions with strong pre-leasing rates and tight vacancy in
existing premium assets allow landlords to keep rents sticky and command
premiums in core markets. Rental flexibility remains a feature in the
peripheral markets.
While the strong supply pipeline is likely to create a more balanced market,
institutionally owned and managed assets would likely drive rental growth
going forward as well.
7
Deals >50,000 sq ft dominate quarterly leasing activity in Q1

100%
90% 18%
Deal sizes of over 50,000 sq ft contributed ~60% of leasing activity 28%
33%
80%
Large-size deals (> 100,000) sq ft had the highest share of 39% in the quarterly 54% 23%
70% 61% 58%
leasing volumes, followed by the mid-sized deals (20,000-50,000 sq ft) with 60% 26%
a 27% share and 50,001-100,000 sf ft category accounting for a 21% share. 50% 30% 100%
30%
40% 17%
Chennai, Delhi NCR and Pune combine for ~62% share of 9%
30% 32% 17%
large-sized deals in Q1 17%
20% 32%
28%
30%
The cities of Chennai, Delhi NCR and Pune were the major contributors toward 10%
18%
13% 14%
large-size deals in the quarter with a combined share of ~62%. At a city level, 0% 5% 4% 4%
Bengaluru Chennai Delhi NCR Hyderabad Kolkata Mumbai Pune
Bengaluru, Chennai, Hyderabad and Pune saw large-sized deals (more than
< 20,000 sq ft 20,000-50,000 sq ft 50,001-100,000 sq ft > 100,000 sq ft
100,000 sq ft) contributing the most to their quarterly leasing volumes. Delhi NCR
also recorded the maximum transaction activity in the mid-size City-wise share of seats leased in Q1 2024
(20,000-50,000 sq ft), followed by large-sized deals. Mumbai witnessed maximum
transactions in deal size categories of up to 20,000 sq ft and 20,000-50,000 sq ft
with a 30% share each. In Kolkata, all transactions recorded during the quarter 13%
in the <20,000 sq ft category.
Flex, Tech and manufacturing sectors dominate the >50,000 sq ft category < 20,000 sq ft
39% Gross Leasing
The flex sector emerged as the biggest contributor in the >50,000 category with Volume 20,000-50,000 sq ft
a 27.4% share, followed by Tech with 24.0% and Manufacturing with 20.4%. The 27%
15.16 mn sq ft
50,001-100,000 sq ft
Flex sector also contributed the most towards deals greater than 100,000 sq ft
with a share of 29.5% followed by Tech with a share of 27.5%. > 100,000 sq ft
21%
8
Managed office demand continues to make waves

Number of seats
1,80,000 167,700+
1.27x Growth
1,60,000
1,40,000 1,31,700+
Q1 2024 saw flex seat leasing at 31,900+ seats with expectations of 2024 being 1,20,000
similar to 2023 numbers backed by the strong flex operator footprint growth 1,00,000 86,500+
visible currently and expected to sustain through the year. 80,000
60,000
40,000 31,900
20,000
0
2021 2022 2023 Q1 2024
In the Q1 2024 seat take-up, Delhi NCR emerged as the leader with a share of
21.4% share, followed by Pune with 21.0% and Bengaluru & Mumbai with a Seats Leased (LHS)
share of 17.2% and 15.7% respectively. 1.2%
9.7%
21.4%
Delhi NCR Pune
13.8%
Bengaluru Mumbai
The large-size (> 500 seats) managed space deals contributed the most
with ~45% share followed by mid-size (201-500 seats) deals with ~28% share. Chennai Hyderabad
15.7% 21.0%
Kolkata
17.2%
9
Outlook
In 2024, the pace of corporate space take-up is anticipated to significantly accelerate in the latter half of the year, following the general elections
and gross leasing is estimated to potentially surpass the 63 mn sq ft recorded just last year.
1
2024 on track to potentially surpass the
2
Strong demand momentum with headcount growth
3
Net absorption expected to track similar to last year
market momentum observed in 2023 plans pushing space take-up to new highs, driven with India’s resilience shining through. Rising Return
by a diversifying tenant base and new entrants to office levels are also creating occupier confidence
India’s office ecosystem is a blend of “office
to invest into new offices with focus on employee
to the world” and strong domestic sector growth.
The positive push for new demand is expected well-being, sustainability and flight to quality
While global corporations remain strong takers
to be driven by the entry of new Global Capability
of office space in India, their sluggish
Centers (GCCs) into the country, as well as the India’s office market has consistently demonstrated
decision-making has seen the strong domestic
expansion of operations for existing GCCs across unparalleled resilience and growth in the face of
economy pick up the slack.
all key and emerging technology segments. global sluggishness and has benefitted from its strong
India’s growth-oriented ecosystem continues Furthermore, India’s favorable manufacturing underlying fundamentals that support the sustained
to attract both domestic and foreign occupiers, policies are predicted to attract even more strongly growth in demand. It is a testament to the country’s
as global corporations make significant high-end research and development (R&D) work, talent pool and competitive costs that most global
investments into their India operations and further stimulating demand in the office market. The firms’ business plans involve capacity augmentation in
domestic occupiers follow expansion strategies. momentum of flex space operators amidst a likely India. As occupancies in offices rise across the country,
revival in tech outsourcing as global market conditions corporations are focused on sustainability and ESG as
improve are also expected to play a key role in taking the key driving force behind new office setups, even as
India’s office market to greater heights employee well-being remains at the centrestage in the
in 2024 and beyond. continued war for talent.
10
Delhi NCR
City insights
India Kolkata
Top seven cities Mumbai

Pune
Hyderabad
Bengaluru
Chennai
11
Bengaluru
Leasing activity at par with Q1 2023
Key trends Overall v/s Relevant Stock – Stock, Vacancy
Area in mn sq ft Vacancy %
• Q1 2024 leasing activity in the city stood at 3.09 mn sq ft, at par with Q1 2023
250 14.00%
numbers. The manufacturing/industrial sector led with a share of ~37%, 13.3%
12.00%
followed by the IT/ITeS sector at 26% 200
10.6% 10.00%
150 8.00%
• Bengaluru’s net absorption stood at 1.7 mn sq ft, largely due to delayed
completions and a few tenant exits. SBD accounted for more than 50% of the 100 205.0 6.00%
net absorption, while Whitefield was the other top contributor 131.7 4.00%
50
2.00%
• New completions stood at 1.5 mn sq ft, headlined by the SBD sub-market. 0 0.00%
While there was a significant drop in supply due to delays in receiving Overall Grade A Relevant
occupancy certificates, the estimated supply for the entire year stands at 12-13 Completed Stock Vacancy %
mn sq ft, at par with the past 5-year annual average
Prominent upcoming projects
• Despite the low supply, the healthy leasing activity resulted in a 20-bps q-o-q
drop in vacancy. Driven by sustained demand for quality office spaces, the Name of project Submarket GLA (mn sq ft) Expected Completion
vacancy by the end of 2024 is expected to remain in the 13-14% range despite
Bagmane
the strong supply inflow SBD 0.70 Q2 2024
Constellation Taurus 4
• Overall average rent increased 1.3% q-o-q, marginally higher than the quarterly
Bagmane Solarium City
growth seen during 2023; maximum rental growth was seen in the CBD and SBD 0.60 Q2 2024
- Helium - West
SBD City submarkets
Century Downtown -
SBD 0.78 Q2 2024
Signature Tower
*Relevant stock has been identified based on project quality assessment, project age & upkeep, tenant quality,
current rent and rent growth, sustainability certifications and other relevant factors Source: Real Estate Intelligence Service (REIS), JLL Research
12
Bengaluru
Key submarkets: Net absorption* Grade A office stock: 205.0 mn sq ft (25.2% of total Grade A office stock in top 7 cities)
SBD 53.10% Name of project Q1 2024 Q-O-Q % Change Y-O-Y % Change
Whitefield 24.70% New Completions (mn sq ft) 1.45 -45.80% -69.50%
CBD 22.20%
Gross Leasing (mn sq ft) 3.09 -44.40% -0.80%
Key submarkets: New completions* Net Absorption (mn sq ft) 1.73 -39.70% -9.40%
SBD 72.40%
Vacancy % 13.30% -20 bps 30 bps
Whitefield 27.60%
22.20% Average Rent (INR/sq ft/month) 89.8 1.30% 3.80%

CBD
*Figures represent contribution of submarkets during the quarter under review

13
Chennai
Leasing activity breaks all previous Q1 records
• Chennai’s office market recorded its strongest ever first quarter leasing performance
80.0 12.00%
with a gross leasing volume of 2.67 mn sq ft. The market momentum was driven by
the tech sector, which led with the largest share, taking up 57%, followed by the BFSI 11.5% 11.50%
60.0
segment with a 16% share 11.00%
40.0 75.3
10.2% 10.50%
• With few completions during the quarter, net absorption was at 0.67 mn sq ft, up by 52.0
20.0
7.2% y-o-y. The OMR belt contributed the most to quarterly net absorption, followed 10.00%
by CBD, where small office format requirements were quite active 0.0 9.50%
Overall Grade A Relevant
• New supply addition in Q1 was at a seven-quarter low of 0.65 mn sq ft, headlined
Completed Stock Vacancy %
by the CBD and SBD OMR submarkets. Vacancy fell by 10 bps q-o-q and reached
a nine-quarter low, with all premium assets operating at high occupancy levels
• Rents on an overall basis rose by 1.1% q-o-q, driven by stronger growth in the
PBD West submarket. The corridors of the SBD and the OMR belt also saw rent Name of project Submarket GLA (mn sq ft) Expected Completion
increases of ~1% q-o-q
DLF Downtown
SBD OMR 0.9 Q1 2025
• Ongoing transactions in advanced stages for available vacancies in quality assets Phase 1 Block 3
as well as pre-leasing in select upcoming projects, coupled with occupier enquiries,
signal that demand momentum is expected to continue during coming quarters KRC Commerzone 2 Block 3 PBD OMR 0.7 Q1 2025
Embassy Splendid
PBD OMR 0.61 Q2 2025
TechZone Block 4
14
Chennai
PBD OMR 41.40% Name of project Q1 2024 Q-O-Q % Change Y-O-Y % Change
CBD 37.80% New Completions (mn sq ft) 0.65 -74.30% -6.70%
SBD OMR 23.90%

Gross Leasing (mn sq ft) 2.67 -21.70% 41.70%
Key submarkets: New completions* Net Absorption (mn sq ft) 0.67 -79.80% 7.20%
CBD 44.40%
Vacancy % 10.20% -10 bps -180 bps
SBD OMR 33.70%
Average Rent (INR/sq ft/month) 71.5 1.10% 4.80%
PBD OMR 21.90%

15
Delhi NCR
Trumps all cities with highest contribution to overall leasing activity
• Q1 2024 saw Delhi NCR’s net absorption rising to 2.26 mn sq ft, its highest in four Area in mn sq ft Vacancy %
years. Gurgaon was the highest contributor to net absorption with a 56% share 200.0 30.0%
followed by Noida having a share of 40% 25.0% 25.0%
150.0
20.0%
• Similar to the net absorption trend, gross leasing volume rose to 4 mn sq ft in Q1,
100.0 15.0%
highest among all cities and was driven by notable transactions in Gurgaon and 151.1 12.0%
10.0%
Noida. Flex space operators took the lead with a dominant share of 35%, followed 50.0
60.0 5.0%
by manufacturing with 18% and BFSI at 16%. Flex operators leased more than 6,800
0.0 0.0%
seats driven by demand from occupiers across industries
• In Q1 2024, new completions reached 1.68 mn sq ft taking the Delhi NCR office stock Completed Stock Vacancy %
to 151 mn sq ft. Majority of the supply (96%) was completed in Gurgaon followed
by Delhi SBD (4%). The average pre-commitment rate in new completions was 31% Prominent upcoming projects
• The overall vacancy declined by 70 bp q-o-q to 25.0% in Q1 2024. Supply of around Name of project Submarket GLA (mn sq ft) Expected Completion
9 mn sq ft is expected to come on-stream by end of 2024, with Gurgaon’s share
at 76% and 23% in Noida DLF Downtown Block 4 Gurgaon 2.04 2024
• Transactions in key existing buildings that had lower vacancy levels closed at higher
TRIL Intellion Park
rentals, pushing overall city rent upwards. New phases of existing buildings saw Gurgaon 1 2024
Phase 2 Tower 1 & 2
higher rentals quoted by developers owing to high demand and quality offered
in new age buildings Godrej GCR Gurgaon 0.85 2024
16
Delhi NCR
Gurgaon 56% Name of project Q1 2024 Q-O-Q % Change Y-O-Y % Change
Noida 40% New Completions (mn sq ft) 1.69 48.20% -6.40%
Delhi SBD 4%
Gross Leasing (mn sq ft) 4.03 6.00% 1.10%
Key submarkets: New completions* Net Absorption (mn sq ft) 2.26 1.50% 15.40%
Gurgaon 96%
Vacancy % 25.00% -70 bps -270 bps
Delhi SBD 4%

17
Hyderabad
Net absorption at nearly 3x of Q1 2023 levels

• Gross leasing stood at 1.37 mn sq ft, up by 40.4% y-o-y. On a q-o-q basis, this was 140.0 25.0%
24.6%
lower by 50%. IT/ITeS led with the biggest share at 23.7%, followed by BFSI and flex 120.0
24.0%
with 22.0% and 17.3%, respectively. The healthcare segment accounted for 100.0
21.9%
17%, underpinning the strong demand from this segment, especially in the form 80.0 23.0%
of GCCs and R&D centers 60.0 124.0 22.0%
40.0
• The net absorption in Q1 2024 stood at 1.55 mn sq ft, nearly threefold of net 21.0%
absorption in Q1 2023, albeit lower by 44.1% q-o-q. Demand was seen to be higher 20.0 80.4
in HITEC City, which accounted for 62% of the quarterly net absorption numbers 0.0 20.0%
• The city recorded completions of 2.08 mn sq ft during the quarter, largely Completed Stock Vacancy %
concentrated in SBD and Gachibowli, with only a solitary mid-sized
completion in HITEC City Prominent upcoming projects
• At the overall city level, vacancy rose by a marginal 10 bps q-o-q. Amidst robust Name of project Submarket GLA (mn sq ft) Expected Completion
supply in the pipeline, vacancy in the city is expected to come under pressure but
is expected to be largely tight in the Hitec City corridor SAS Infra I Tower A Gachibowli 3.24 Q2 2025
• Rents rose marginally by 0.4% q-o-q on an overall basis, with the middling vacancy
levels now impacting the rent growth ability of the office market despite healthy EON Hyderabad Gachibowli 2.33 Q3 2025
demand momentum
Vasavi Skycity Tower 2 Gachibowli 1.65 Q1 2025
18
Hyderabad
Hitec City 62% Name of project Q1 2024 Q-O-Q % Change Y-O-Y % Change
Gachibowli 31% New Completions (mn sq ft) 2.08 -66.80% 208.10%
SBD 6%
Key submarkets: New completions* Net Absorption (mn sq ft) 1.55 -44.10% 195.80%
SBD 46%
Vacancy % 24.60% -10 bps 360 bps
Gachibowli 40%
Hitec City 14%

19
Kolkata
Dip in leasing activity due to delayed decision making
• Gross leasing stood at 0.07 mn sq ft in Q1 2024, with office take-up in the city 35.0 25.0%
20.1%
driven primarily by flex operators and BFSI firms. While there is active interest from 30.0
20.0%
occupiers and enquiries in the market, the low leasing activity during the quarter 25.0
was the result of delays in decision-making by occupiers.The Salt Lake submarket 20.0 14.4% 15.0%
accounted for most of the quarterly leasing activity with a 65% share followed 15.0 29.3 10.0%
by Rajarhat at 26% 10.0
17.6
5.0%
5.0
• With no new completions reported and a dip in demand, vacancy decreased
0.0 0.0%
marginally by 30 bps q-o-q Overall Grade A Relevant
• Due to the low leasing activity in the market, rents remained stable on a q-o-q basis Completed Stock Vacancy %
across all sub-markets. In the future, rent growth is likely to be driven by upcoming
quality Grade A supply across all sub-markets Prominent upcoming projects
• Supply of around 0.95 mn sq ft is expected by end of 2024, mainly in the CBD and Name of project Submarket GLA (mn sq ft) Expected Completion
SBD submarkets. Given strong occupier preference for the CBD submarket, vacancy
levels are expected to decline with an anticipated surge in leasing activity Ideal Unique Center EM Bypass 0.78 Q4 2024
One Prime Rajarhat 0.15 Q4 2025
RSH Crest Rajarhat 0.16 Q1 2025
20
Kolkata
Salt Lake 65% Name of project Q1 2024 Q-O-Q % Change Y-O-Y % Change
Rajarhat 26% New Completions (mn sq ft) 0 -100.00% -100.00%
Gross Leasing (mn sq ft) 0.08 -88.10% -86.50%
Key submarkets: New completions* Net Absorption (mn sq ft) 0.08 -81.20% -83.40%
No new completion
during the quarter Vacancy % 20.10% -30 bps 10 bps

21
Mumbai
Best Q1 performance with domestic occupiers taking lead
• The year started off well with an overall leasing activity of 2.1 mn sq ft in the first 160.0 13.5%
quarter, higher than the average quarterly leasing witnessed in 2023. Domestic 140.0 13.0%
12.9%
occupiers took the lead in driving demand, contributing ~78% of the total leasing 120.0
12.5%
activity. Moreover, the activity was dominated by the BFSI sector, with 100.0
12.0%
a significant share of 43.8% 80.0 151.1 11.2% 11.5%
60.0
• The quarter recorded a net absorption of 1.5 mn sq ft, predominantly backed by 40.0 11.0%
61.9
strong leasing activity recorded in the Western Suburbs submarket. Some of the large 20.0 10.5%
deals in the Western and Eastern Suburbs submarkets from the BFSI category helped 0.0 10.0%
net absorption reach these levels Overall Grade A Relevant
Completed Stock Vacancy %
• New completions stood at 1.6 mn sq ft, largely driven by a couple of large-sized
projects in the Western Suburbs and Thane sub-markets Prominent upcoming projects
• In Q1 2024, rents rose by 1.1% q-o-q, while on a yearly basis, rents were up by 3.1%. Name of project Submarket GLA (mn sq ft) Expected Completion
The increase was primarily on the back of quality project completions in the Western
Suburbs and one project completion in the SBD BKC Cygnus Eastern Suburbs 0.7 Q2 2024
Centaurus Thane 1.9 Q4 2024
Hiranandani Eastbridge Eastern Suburbs 0.9 Q4 2026
22
Mumbai
Western Suburbs 22% Name of project Q1 2024 Q-O-Q % Change Y-O-Y % Change
Eastern Suburbs 15% New Completions (mn sq ft) 1.64 -51.00% 991.30%
SBD North 14%

Key submarkets: New completions* 1.5 -42.30% 70.50%

Net Absorption (mn sq ft)
Western Suburbs 69%
Vacancy % 12.90% 0 bps -60 bps
Thane 24%
SBD BKC 7% Average Rent (INR/sq ft/month) 135.3 0.10% 3.00%

23
Pune
Record leasing activity by flex operators
• Gross leasing activity in Q1 2024 was recorded at 1.81 mn sq ft, the best first quarter 100.0 13.5% 14.9% 16.0%
performance among all such periods of previous years. Domestic occupiers 14.0%
80.0
dominated with a 60% share, mainly driven by flex operators. Flex accounted for 12.0%
60.0 10.0%
around 50% of leasing activity, followed by manufacturing/industrial segment at
8.0%
24% and IT/ITeS at 22.4% 40.0 78.8 6.0%
54.6 4.0%
• Net absorption in Q1 2024 was recorded at 0.5 mn sq ft, a dip of 71% q-o-q, largely 20.0
2.0%
on account of some occupier exits
0.0 0.0%
• New supply stood at 0.77 mn sq ft with one project in the SBD submarket getting Overall Grade A Relevant
completed. The overall vacancy in the city settled at 13.5% in Q1 2024, up Completed Stock Vacancy %
by 10 bps q-o-q.
• Overall gross rents in the city settled at INR 80.1 per sq ft per month, up by 0.6% q-o-q
and 2.4% y-o-y, driven by growth in the SBD office corridors Name of project Submarket GLA (mn sq ft) Expected Completion
• Occupiers continue to remain growth-oriented as evidenced by ongoing space International Tech Park
SBD 1.5 Q3 2024
enquiries which are robust and indicate a healthy appetite for expansion-driven Pune – Kharadi – Block 2
space activity, which will translate into growth in net absorption numbers in the
Godrej Centre CBD 1.5 Q1 2025
upcoming qaurters
Note: The overall Pune numbers for net absorption and vacancy has been historically changed to reflect then
EON West – Phase 1 Suburbs 1.25 Q2 2025
prevailing market conditions..
24
Pune
SBD 99% Name of project Q1 2024 Q-O-Q % Change Y-O-Y % Change
Suburbs 1% New Completions (mn sq ft) 0.77 -58.10% -57.90%
Key submarkets: New completions* 0.5 -71.00% -55.00%

Net Absorption (mn sq ft)
SBD 100%
Vacancy % 13.50% 10 bps -80 bps
*Figures represent contribution of submarkets during the
quarter under review
25
Annexure I
Office Submarket Definition
Bengaluru Chennai Delhi NCR

• CBD – St. Marks Road, MG Road, Ulsoor/Halasuru, • CBD – Anna Salai, Cathedral Road, NH Road Junction, • Delhi CBD – Connaught Place (CP), Barakhambha Road,
Infantry Road, Racecourse Road, Millers Road, Madras RK Salai, MRC Nagar, Egmore and T Nagar Kasturba Gandhi Marg, Janpath Road, Parliament
Bank Road, Brunton Road, Sampangi Rama Nagar, Lady Street, Tolstoy Marg, Baba Kharak Singh Marg, Shankar
• SBD – Anna Nagar, SP Road, Mount Poonamallee
Curzon Road, Lalbagh Road, Cubbon Road, Lavelle Market, Bhai Veer Singh Marg
Road, Guindy, Velachery, Adyar, Vadapalani,
Road, Raj Bhavan Road, Sadashivanagar, Vasanthnagar
Nelson Manickam Road • Delhi SBD – Aerocity, Mathura Road, Jasola,
• SBD – CV Raman Nagar, Inner Ring Road, Koramangala, Jhandewalan, Malviya Nagar, Mohan
• SBD OMR – Pre-toll Old Mahabalipuram Road (OMR).
Outer Ring Road, Hebbal, Thanisandra Road, Co-operative, Munirka, Nehru Place, New Friends
Yeshwanthpur, Tumkur Road, Bellary Road, Peenya, • PBD OMR – Post-toll OMR + Pallavaram Colony, Okhla, Saket, Vasant Kunj
Bannerghatta Road, Kanakapura Road, Sarjapur Main Thoraipakkam Road (PTR)
• Gurugram – NH8 (including DLF Cyber city and Udyog
Road, Yelahanka, Devanahalli • PBD GST – GST Road Vihar), MG Road, Golf Course Road, Golf Course
• Whitefield - Whitefield, Brookefield, Kundalahalli, • PBD West - Ambattur Extension Road, Manesar, Sohna Road
ITPL Road, Hoodi
• Noida – Noida City, Noida – Greater Noida
• Electronic City - Hosur Road, Electronic Expressway, Greater Noida
City Phase I and II
26
Annexure I
Office Submarket Definition
Mumbai Kolkata Hyderabad

• CBD – Nariman Point, Cuff Parade, Fort, Ballard Estate • CBD – Park Street, Camac Street, Russell Street, • CBD – Begumpet, SP Road, Punjagutta, Raj Bhavan
AJC Bose Road, Sarat Bose Road, Chowringhee, Road, Somajiguda
• SBD Central – Worli, Parel, Prabhadevi,
Shakespeare Sarani, Landsdowne
Lower Parel, Dadar • SBD – Banjara Hills, Jubilee Hills, Ameerpet
• SBD – EM Bypass near Ruby till Abhishar, Tangra, Topsia
• SBD BKC – Bandra Kurla Complex, Kurla, Kalina • Hitec City – Madhapur, Kondapur, Hitec City, Kukatpally
• Salt Lake
• SBD North – Juhu, Andheri-Kurla Complex, Andheri • Gachibowli – Gachibowli, Nanakramguda, Raidurg,
East, Andheri West, Santa Cruz, Vile Parle, Jogeshwari • Rajarhat Gopanpally, Kokapet
• Western Suburbs – Malad, Goregaon • Suburbs Others – Shamshabad, Uppal, Pocharam
• Eastern Suburbs – Ghatkopar, Vikhroli,

Kanjurmarg, Powai, Mulund.
• Navi Mumbai - Vashi, Belapur, Mahape, Airoli
• Thane
Pune
• CBD – Pune Cantt, Bund Garden Road, Shivaji Nagar,
Deccan, Station Road, Koregaon Park, Shankar Seth
Road, Wakdewadi, Senapati Bapat Road
• SBD – Karve Road, Baner, Satara Road, Kalyani Nagar,

Airport Road, Nagar Road, Yerwada, Hadapsar, Viman
Nagar, Aundh, Kharadi, Kothrud, Mundhwa
• Suburbs – Hinjewadi, Lohegaon, Pimpri, Chinchwad,

Bhosari, Balewadi, Wakad, Pashan, Fursungi, NIBM
27
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JLL India Office Market Update q1 2024

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JLL India Office Market Update q1 2024

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India Office Market Update: Q1 2024

Net Absorption: New Completions:

Vacancy: Rental growth driven by core

Q1 2024 performance is second best in all previous same period

Net absorption relatively steady in Q1; supply shows

Net Absorption (LHS) New completions (LHS) Vacancy (RHS)

Vacancy falls 10 bps q-o-q

Delhi NCR tops Q1 2024 net absorption, Hyderabad leads

Tech leads Q1 occupier activity; Flex and manufacturing

In Q1, the tech sector maintained a steady share of gross leasing

BFSI Consulting Flex

E-Commerce IT/ITeS Manufacturing

Miscellaneous Telecom, Healthcare & Real Estate

Rental values continue to strengthen in core markets

Deals >50,000 sq ft dominate quarterly leasing activity in Q1

Source: Real Estate Intelligence Service (REIS), JLL Research

Managed office demand continues to make waves

share of 17.2% and 15.7% respectively. 1.2%

Source: Real Estate Intelligence Service (REIS), JLL Research

Top seven cities Mumbai

Key trends Overall v/s Relevant Stock – Stock, Vacancy

SBD 53.10% Name of project Q1 2024 Q-O-Q % Change Y-O-Y % Change

Whitefield 24.70% New Completions (mn sq ft) 1.45 -45.80% -69.50%

22.20% Average Rent (INR/sq ft/month) 89.8 1.30% 3.80%

*Figures represent contribution of submarkets during the quarter under review

Key trends Overall v/s Relevant Stock – Stock, Vacancy

CBD 37.80% New Completions (mn sq ft) 0.65 -74.30% -6.70%

SBD OMR 23.90%

*Figures represent contribution of submarkets during the quarter under review

Key trends Overall v/s Relevant Stock – Stock, Vacancy

Gurgaon 56% Name of project Q1 2024 Q-O-Q % Change Y-O-Y % Change

Noida 40% New Completions (mn sq ft) 1.69 48.20% -6.40%

*Figures represent contribution of submarkets during the quarter under review

Key trends Overall v/s Relevant Stock – Stock, Vacancy

Gachibowli 31% New Completions (mn sq ft) 2.08 -66.80% 208.10%

*Figures represent contribution of submarkets during the quarter under review

Key trends Overall v/s Relevant Stock – Stock, Vacancy

One Prime Rajarhat 0.15 Q4 2025

RSH Crest Rajarhat 0.16 Q1 2025

Rajarhat 26% New Completions (mn sq ft) 0 -100.00% -100.00%

Gross Leasing (mn sq ft) 0.08 -88.10% -86.50%

Average Rent (INR/sq ft/month) 59.4 0.00% 3.70%

*Figures represent contribution of submarkets during the quarter under review

Key trends Overall v/s Relevant Stock – Stock, Vacancy

Centaurus Thane 1.9 Q4 2024

Hiranandani Eastbridge Eastern Suburbs 0.9 Q4 2026

SBD North 14%

Key submarkets: New completions* 1.5 -42.30% 70.50%

SBD BKC 7% Average Rent (INR/sq ft/month) 135.3 0.10% 3.00%

*Figures represent contribution of submarkets during the quarter under review

Key trends Overall v/s Relevant Stock – Stock, Vacancy

SBD 99% Name of project Q1 2024 Q-O-Q % Change Y-O-Y % Change

Suburbs 1% New Completions (mn sq ft) 0.77 -58.10% -57.90%

Gross Leasing (mn sq ft) 1.81 -13.00% 41.40%

Key submarkets: New completions* 0.5 -71.00% -55.00%

Bengaluru Chennai Delhi NCR

Mumbai Kolkata Hyderabad

• Western Suburbs – Malad, Goregaon • Suburbs Others – Shamshabad, Uppal, Pocharam

• Eastern Suburbs – Ghatkopar, Vikhroli,

• Navi Mumbai - Vashi, Belapur, Mahape, Airoli

• SBD – Karve Road, Baner, Satara Road, Kalyani Nagar,

• Suburbs – Hinjewadi, Lohegaon, Pimpri, Chinchwad,

Rohan Sharma Ketan Bhingarde Srija Banerjee Shweta Kakkar