Hyderabad’s Commercial Real Estate Sector recorded an increase in the first quarter of 2025, driven mainly by the extension of IT services of third parties. According to Knight Frank India “India Real Estate: Office and Residential (January 2025)”, the city recorded 4 million square tracks in office space, which is 31% year-on-year growth, the highest quarterly volume of transactions in five years, according to the report.
Leasing in the office space was dominated by third parties, which represents 49% of the total transactions in Hyderabad. The extension of the sector reflects the growing demand for solving outsourced IT and the attraction of the city as a key technology center. After closely rented global capabilities (GCC) centers (GCC) 1.6 million square feet and ensured a 41% market share.
According to the report, on the residential queue, the market has seen a slight decline in sales, with 9,459 units sold in Q1 2025, which is a 1% decline year -on -year. The new starts also dropped by 4% year -on -year, with 10,661 units introduced during the quarter. Despite the moderation of sales, housing prices in Hyderabad continued to rise, while the average weighted price increased by 9% year -on -year to 6 164 GBP per square foot.
The residential segment recorded the highest demand in the price group of 1 to 2 Crore, which represented 4,257 units. However, the category of Crore 2 to 5 recorded growth of 14%.
“Hyderabad’s Commercial Market Demonstrated Remarkable Strength in Q1, Fuelled by Strong Leasing Activity From-Party It Firms and Gccs, Placing The City Among The Top Transaction Hubs Momentum, Underscoring Resilient Buyer Confidence and the City’s Evolving Real Estate Dynamics, ”Said Joseph Thilak, National Director, Occupier Strategy and Solutions, Knight Frank India.
Published – April 3 2025 20:21 is
