Chennai MarketBeat Reports
Suvishesh Valsan • 01/10/2025
Cushman & Wakefield Chennai MarketBeat reports analyze quarterly economic and commercial real estate activity including supply, demand and pricing trends at the market and submarket levels.
CURRENT MARKETBEAT
Chennai Office Report
Chennai recorded office leasing volume of ~2.83 MSF in Q3-25, up 31% q-o-q. Fresh leasing comprised an 84% share. South-west led with 40% share, followed by Peripheral South-west (26%). Sector wise, IT-BPM dominated with 52% share. GCCs accounted for 37% of the demand in Q3. Net absorption hit a record 2.28 MSF, bringing YTD absorption to 5.36 MSF, ~2.5X the levels recorded in the same period last year. Vacancy stood at 12.08% with1.33 MSF of new supply. Rentals grew 7% y-o-y.
Chennai Retail Report
Chennai recorded retail leasing volumes of ~0.16 MSF in Q3-25, up 8% y-o-y. Main streets dominated with 88% share. F&B led with 24% share, followed by Accessories & Lifestyle (22%) segments. Domestic brands led with 74% share, while international brands captured 26%. Mall leasing stood at 0.02 MSF, with North-west submarket comprising 58% share.
Chennai Residential Report
Chennai recorded over 6,500 residential unit launches in Q3-25, an 8% y-o-y increase. Southern suburban markets led the activity, with Suburban South II contributing 54% and Suburban South I accounting for 36%. High-end and luxury units dominated with 59% share, a 3.4X increase, while mid-segment accounted for 41%. Mid-segment rentals in Suburban South I and II grew 2-3% q-o-q. Weighted average prices surged in Suburban South I (48%) and Suburban South II (18%), driven by premium launches.
Chennai Industrial Report
Chennai saw warehouse leasing volumes of 2.1 MSF. The western corridor dominated with over 80% share. Industrial sheds clocked 2.3 MSF of leasing, which is 2.3X the volume of H1-24. Engineering & Manufacturing occupiers comprised 57% of the demand.
India Capital Market Report
Cushman & Wakefield India Capital MarketBeat reports analyze quarterly economic and commercial real estate activity including supply, demand and pricing trends at the market and submarket levels.
CONTACT
VS Sridhar
Executive Managing Director - Tamilnadu & Kerala and Head GCC Advisory - Operations
India
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