Headline: Office Rents in Delhi-NCR and Bengaluru Cross the ₹100 Mark

For the first time in history, average monthly office rentals in Delhi-NCR and Bengaluru have breached the ₹100 per sq. ft. milestone. According to the latest Q1 2026 report from Knight Frank, this surge is driven by a widening gap between high demand for premium workspaces and limited new supply.

In Delhi-NCR, rentals witnessed a sharp 15% annual increase, reaching ₹105 per sq. ft.   Bengaluru  followed closely with a 7% rise, bringing its average to ₹100.6 per sq. ft.   While Mumbai remains India’s most expensive market at ₹125 per sq. ft., the rapid growth in these two hubs highlights a shifting landscape.

The primary driver behind this "rental upcycle" is a persistent supply-demand imbalance.   In Q1  2026, leasing hit a record 29.9 million sq. ft., yet new completions stood at only 14 million sq.ft.   With vacancy levels tightening to 13.9% and developers prioritizing residential projects, the upward pressure on prime office rents is expected to continue throughout the year.