Knight Frank, in its current version of the Asia-Pacific Prime Office Rental Index for Q1 2022 famous that amongst all cities of the area, Bengaluru noticed the best progress in rental values within the first quarter at 5.8 per cent in Q1 2022 as in comparison with the earlier quarter.
The APAC regional index registered a rise of 0.8 per cent quarter-on-quarter (QoQ), rising by 0.3 per cent within the previous quarter, as most international locations within the area at the moment are opening up for world enterprise resulting in stability in financial actions. The total index is up 0.2 per cent year-on-year.
Of the 23 cities tracked by Knight Frank’s Asia-Pacific Prime Office Rental Index, 21 cities recorded secure or growing rents in Q1 2022, as in comparison with 13 within the earlier quarter.
Hong- Kong SAR continued to be Asia’s most costly workplace market with a value at US$ 186/sq ft/12 months.
Delhi-NCR was the ninth most costly market at US$ 60/sq ft/12 months (Rs 376/sq ft/month).
While Mumbai at US$ 50.9/sq ft/12 months Rs318/sq ft/month) and Bengaluru at US$ 26.7/sq ft/12 months Rs167/sq ft/month) held positions of fifteenth and twenty first positions by way of most costly workplace areas respectively.
This is regardless of a turbulent Q1 with accelerating inflation and the Russian invasion of Ukraine weighing down on market sentiment. Vacancy price, declined for the second consecutive quarter, is at 13.1 per cent in Q1 2022 for the APAC area. This ought to begin to cut back additional as extra Asia-Pacific markets begin to open their economies and staff steadily return to work within the CBDs.
Bengaluru
With a rise of 5.8 per cent, Bengaluru was the very best performing prime workplace market within the APAC area by way of rental progress within the final quarter. According to APAC Prime Office Rental Index, the present occupancy price for prime workplace in Bengaluru was acknowledged to be US$ 26.7/sq ft/12 months.
With the change within the COVID – 19 protocols, which at the moment are main an increasing number of corporations to name again their staff, there was an uptick in transaction actions within the metropolis. Adding to that, new completions have been intentionally stored low, retaining the values intact within the metropolis. The metropolis is anticipated to see an upward pattern in its rental worth over the subsequent 12 months. Bengaluru at present has an workplace stock of 17.5 mn sqm with a emptiness stage of 12.6 per cent.
Delhi-NCR
The prime workplace market of Delhi-NCR witnessed no change in rental values in Q1 2022 over the earlier quarter, nevertheless recording an annual rental worth progress of 1 per cent in Q1 2022. According to APAC Prime Office Rental Index, the present occupancy price for prime workplace house in Delhi-NCR was acknowledged to be US$ 60.1/sq ft/12 months (Rs 376/sq ft/month). The rental worth is anticipated to stay secure over the subsequent 12 months. Delhi-NCR at present has an workplace stock of 16.3 mn sqm with a emptiness stage of 14.7 per cent.
Mumbai Metropolitan Region (MMR)
The prime workplace market of the MMR witnessed a de-growth of 1.9 per cent in Q1 2022 on an annual comparability. The rental values remained secure over the earlier quarter in Q1 2022. According to APAC Prime Office Rental Index, the present occupancy price for prime workplace market of MMR was acknowledged to be US$ 50.9/sq ft/12 months (318/sq ft/month). The rental worth is anticipated to stay secure over the subsequent 12 months. MMR at present has prime workplace stock of 14.6 mn sqm with a emptiness stage of 20.6 per cent.
Source: www.financialexpress.com”