Higher than the national average of 35%, Bangalore also saw the tech sector accounting for an average 38%-40% share in annual leasing
Bengaluru, followed by Chennai, Hyderabad, and Delhi, is close behind Beijing as one of the top tech hubs across the Asia-Pacific driven by talent and a sustained demand for quality office spaces from domestic and multinational companies, said a report.
Globally, 46 top tech markets were identified from more than 115 tech cities in total and six of the 14 cities in the Asia Pacific region were in India.
Over the past financial year, the country has added more than 500,000 jobs in IT, the study said.
“The IT and tech-driven sectors remain the key driving force for the Indian economy,” said Anshul Jain, MD, India & South East Asia. “The strong market fundamentals coupled with key policy changes have not only made India a favourable investment hub for global IT players but also made it the most sought-after destination to find global tech talents and set footprints for further expansion.”
Higher than the national average of 35%, Bangalore also saw the tech sector accounting for an average 38%-40% share in annual leasing, said the report.
Nationally, Hyderabad, home to Microsoft and Facebook, has more than 44 million square feet of office projects under construction.
Another southern city, Chennai is the second largest software exporter and one of the largest data centre markets in India.
Experts say that the growth in tech leasing would continue.
“The demand has been stable so far. We expect to reach the 2019 commercial absorption level if the demand momentum is not hit by global financial turmoil,” said Mahesh Khaitan, Director of Sattva Group.
Based on the key evaluation metrics of talent, office real estate and business environment, the international property consultant shows the Asia Pacific is home to 14 tech cities globally.
Large scale Grade-A office projects in these locations along with a huge talent pool and affordable office rentals have attracted both national and global tech companies in these cities.
“We are quite bullish about India. It’s primarily driven by certain external and internal factors. While the COVID-19 pandemic was a dampener across the globe, the Indian IT services have benefited from it with close to 1 lakh people being recruited. So that is the internality which is pushing us and making us commit to the market,” said Gauri Shankar Nagabhushanam, CEO, India Business Parks, CapitaLand Investment.
Rebounding quickly and outpacing most other sectors, the Indian tech sector has been resilient to the initial effects of the pandemic. Office-using and tech employment fully recovered to pre-pandemic levels within two years in major Indian cities.
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