With the economy regaining its momentum slowly, India will add up to 40 million sq ft of office space this year, which will be higher than many other advanced countries, but lesser than China.
"Despite the slowdown, India will add highest ever office spaces this year. We will see 30-40 million sq ft of office space coming up in 2009," global real estate consultant firm CB Richard Ellis chairman and managing director (South Asia) Anshuman Magazine told PTI.
The addition of office space will be more compared to many other advanced countries, except China, he added.
Magazine, however, said demand has not picked up yet and the huge supply would lead to correction in rentals.
"Prices can further fall in certain pockets depending on how much supply these places can absorb. In other places, prices have almost stagnated," Magazine said, adding that some locations in Bangalore are likely to see decrease in rentals.
"After 2-3 years when supply will decrease and demand will increase, probably then we will reach at a stage of equilibrium," replied Magazine when asked about the time by which office-space rentals could stabilise.
