By laksh5382 
According to a new real estate counseling report, Chennai saw its highest leasing activity the largest of the last five quarters- Q1 in 2025 in 2.9 million square feet.
About 60 percent of this came from Pallavaram-Thorapakkam (PTR) area and Old Mahabalipuram Road (OMR) Zone 2 Micro Markets. Flex space lease, on 0.3 MN SQ Ft, increased more than 3x more than the relevant period of 2024.
Recently, the report of Colliers India said that the strong demand and medium supply in Q1 2025, Q1 2025 dropped the vacancy level 300 basis points (BPS).
Tata Consultancy Services’ Ozone Tech Park in OMR Zone was leased by 690,000 square feet; The report stated that Walmart leased a 465,400 square feet lease at Capitland ITPC-Reddial Road in Pallavaram-Taorapakkam Road (PTR).
Top seven markets
All over India, the top seven markets sturked the office lease 15.9 million square feet in Q1 2025, showing the growth of year-on-year (YOY).
Bengaluru and Delhi NCR simultaneously took about half of the leasing activity during the quarter. While Delhi NCR looked at its highest quarterly lease in the last 10 quarters, Chennai also saw 93 percent of Yoy japles in 2.9 million square feet, which was operated by space tech-up by technology firms.
Overall, the new supply Q1 touched 9.9 million square feet during 2025, which was equal to the same period last year. Bengaluru and Delhi NCR simultaneously participated two-thirds of the new supply during Q1 2025. About 90 percent of the new supply during Q1 2025 was concentrated in three cities-Bengaluru, Delhi NCR and Pune.
With the demand for new supply in most cities, the average office fares increased by 8 percent annually during Q1 2025.
The technology sector continued the demand for office space, on a 4.4 million square foot lease of traditional office space during Q1 2025, 28 percent of the total demand during the quarter. The report stated that BFSI and engineering and manufacturing demands were also healthy in 3.4 million square feet and 2.4 million square feet, as well as accounting for 36 percent in total space.
Published on 14 April 2025