BFSI Firms Lease Record 1.35-Crore-Sq-Ft Office Space In 2024
Despite the record leasing volume, the BFSI sector's contribution to the overall gross leasing of office space across the seven major cities accounted for approximately 17-18% of the total.
Banking, financial services, and insurance companies emerged as a significant driver of office-space demand in India in 2024, leasing a record 135 lakh square feet across seven major cities.
This surge in leasing activity positions the BFSI sector as a key demand engine alongside the technology industry, according to data released by real estate consultant JLL India.
JLL India's analysis highlights that the office space leased by the BFSI segment in the past three years has outpaced the leasing volume recorded in the preceding six-year period, from 2016 to 2021.
The data reveals a substantial increase in the BFSI leasing in 2024, reaching a record 135 lakh square feet, a notable jump from the 113 lakh square feet leased in the previous year.
Despite the record leasing volume, the BFSI sector's contribution to the overall gross leasing of office space across the seven major cities remained relatively stable, accounting for approximately 17-18% of the total.
In 2024, the total gross leasing or absorption of office space across the National Capital Region, Mumbai, Chennai, Kolkata, Bengaluru, Hyderabad and Pune witnessed a significant increase, reaching 772 lakh square feet year-on-year, compared to 630 lakh square feet in the prior year.
A breakdown of the BFSI leasing activity in 2024 shows that domestic BFSI entities accounted for 31.7% of the total 135 lakh square feet leased, while foreign entities constituted a larger share, absorbing 68.3% of the office space.
In 2023, domestic firms' share was 42.3% and foreign entities' part stood at 57.7%.
The BFSI segment leased around 31 million (310 lakh) sq ft office space in the three-year period of 2022-2024, higher than even the 29 million (290 lakh) sq ft leased in the previous six-year period of 2016-2021, the consultant said.
JLL data is only of office space taken by BFSI directly from property owners. The workspaces taken by BFSI in coworking centres have not been factored in.
(With Inputs From PTI)
