Chennai commercial real estate grows 56% YoY; residential sector sees steady 10% rise in Q1 2025: Knight Frank

chennai: chennai's real estate market witnessed significant growth in the first quarter of 2025, with the commercial sector recording a 56 per cent year-on-year (yoy) increase in transactions, according to knight frank india's latest report.inits “india real estate: office and residential (january - march 2025)” publication, the consultancy noted that office space transactions in chennai totalled 1.8 million sq ft during q1 2025, driven mainly by global capability centres (gccs), which accounted for nearly 47 per cent of the activity. flex space operators followed, contributing 29 per cent, indicating increasing demand for agile workspaces.the quarter also saw 0.2 million sq ft of new office completions. average transacted commercial rents rose 3 per cent yoy to inr 69.2 per sq ft per month.on the residential front, the city registered a 10 per cent yoy rise in housing sales with 4,357 units sold. new launches reached 4,576 units, a 5 per cent increase. the average weighted residential price rose 7 per cent yoy to inr 4,854 per sq ft.mid-income housing, particularly in the inr 5-10 million range, led the residential segment with 1,907 units sold, marking a 5 per cent growth. higher ticket segments (inr 10 million and above) also showed strong gains.“chennai's real estate market has shown steady momentum in q1 2025, reflecting its strength as a strategic business hub and a stable residential destination,” said srinivas anikipatti, executive director, knight frank india.