Indian tech hubs offer lower office costs

Mumbai

India's major tech cities are proving to be more affordable for setting up office spaces compared to other Asia-Pacific (APAC) financial centers, a new report revealed on Friday. Fit-out costs — the expenses of making a space ready for office use — are 5 to 10 percent lower in India’s tech hubs than in top APAC cities.

According to a report by JLL, Bengaluru's office fit-out costs are 5 percent below the national average, while Hyderabad offers even more savings at 8 percent below average. Chennai stands out as the most economical, with costs about 10 percent below the national average.

Mumbai is the most expensive city in India for office interiors, with costs 7 percent above average, followed by Delhi at 4 percent. Kolkata and Pune are only slightly above the national level.

Despite this, Indian cities remain among the most cost-effective in Asia-Pacific. When compared to Hong Kong, cities like Mumbai, Delhi, and Bengaluru are significantly cheaper. Tokyo tops the list as the most expensive in APAC, on par with New York and London. Singapore, Sydney, Melbourne, and Auckland fall in the middle range.

Jipujose James of JLL India said these cost differences help companies plan better, especially those with offices in multiple cities. However, he noted that fast construction growth in Indian cities is quickly changing this cost landscape.

Cities like Tianjin in China and Ho Chi Minh City in Vietnam also offer low costs. But India’s tech hubs are growing fast, and office costs may increase as urban development continues across the country.