Flexible space spreads to 10.8 million sq ft in 2019: CBRE Report

Chennai: As per the CBRE report, the flexible space take-up touched 10.8 mn sq. ft. in 2019. Among the key markets, Bangalore and Hyderabad accounted for about half of the flexible space take-up in India. Leading real estate consulting firm, CBRE South Asia Pvt. Ltd, announced the findings of its latest report titled ‘India Flexible Space Digest – 2019’. On the back of technology adoption, increased occupancy rates and growing investments, the year 2019 recorded an all time in flexible leasing activity.

The overall stock in flexible space market saw a historic increase of about 60 per cent from about 19 million sq. ft. in 2018 to touch 30 million sq. ft. in 2019. The flexible space stock was mainly dominated by Bangalore, followed by Delhi – NCR and Mumbai in 2019.The CBRE report also highlighted that the uptake in the flexible space leasing in 2019 was dominated by hybrid spaces and managed space (77 per cent)  followed by coworking and business centres (23 per cent).

Commenting on the findings of the CBRE report, chairman and CEO, India, South East Asia, Middle East and Africa, CBRE, Anshuman Magazine said, ‘In today’s dynamic technology driven business environment, corporates are beginning to explore various workplace solutions which could result in capex reduction and increased agility of their RE portfolio in the sector. Given the overall performance of the sector, we expect the demand to remain steady with an overall stock of flexible space anticipated to cross 40 mn sq. ft. by the end of 2020’

NT Bureau