Vacant IT rental space to peak in Kolkata

Rentals in the IT hub in Salt Lake Sector V and New Town could come under pressure later this year with vacancy figures set to touch an all-time high following the addition of 1 million sqft office space by this June. The problem though could be short term if the arrival of Infosys triggers the kind of growth that Chennai and Hyderabad has witnessed following the entry of the IT major to these cities. According to Indian real estate outlook for 2019 released by realty consultancy firm Ciril, grade-A office space will increase from 3.2 million sqft to over 4 million sqft within the next couple of months, leading to a glut in supply. With 85% of the plug and play office space situated in Salt Lake Sector V and New Town, the vacancy could shoot up from 35% to 45-50%.