Bengaluru tops in India’s green office space, NCR 2nd

Bengaluru has been ranked as India’s top city in the green office space with 104.5 million square feet of green offices that accounts for about 30 per cent of the country’s total, followed by National Capital Region (NCR) in the second spot with 70.2 million square feet that works out to a 21 per cent share, according to a CII-CBRE report on real estate released on Wednesday.

The country’s commercial capital, Mumbai, figures at the third spot with a 17 per cent share that measures 56.6 million square feet. Next on the list of green office space are Hyderabad with a 15 per cent share, Chennai 9 per cent, and Pune 8 per cent.

The area covered by green-certified office buildings in the top six Indian cities shot up by over 36 per cent to 342 million square feet in June 2023 compared to the levels in 2019, the report states.

The report released at the CII Realty 2023 conclave in New Delhi states that green certified green office spaces that are classified as environmentally sustainable grew at a compounded annual rate of about 7.1 per cent over the past five years.

According to the report, office leasing touched 26.4 million square feet between January and June this year, with Bangalore, Chennai and the NCR accounting for 60 per cent of the total.

Space taken up by the industrial & logistics (I&L) sector recorded a 35 per cent growth to 19.1 million square feet during this period, while retail leasing jumped by 24 per cent to 2.9 million square feet.

"An annual office stock supply of 51-53 million square feet is expected for the entire 2023, with Bengaluru, Hyderabad, and Delhi-NCR dominating the office space completions. The investment activity is projected to pick up pace in July-December 2023 with an overall investment between $6-6.5 billion," the report said.