Rajarhat New Town posts 27% rental growth as Kolkata’s office market consolidates

Rajarhat New Town recorded the sharpest rental growth in Kolkata’s office market in the first half of 2026, with rents up 27% year-on-year to between Rs 42 and Rs 62 per sq ft per month, according to data covering the city’s commercial property sector.

Salt Lake City wasn’t far behind, posting 17% rental growth with values ranging from Rs 52 to Rs 67 per sq ft per month. Together, the two micro-markets accounted for nearly 94% of total office transactions in the city during the period, underscoring occupiers’ continued preference for these established business hubs.

The rental growth came even as overall leasing activity cooled: office transactions totalled 8 lakh sq ft in January-June 2026, down 26% year-on-year, following a record year for leasing in 2025. Vacancy nonetheless fell to 27.5%, its lowest recorded level, as no new office completions came onto the market during the period.

Saket Mohta, MD of Merlin Group, said the market remained “fundamentally healthy, as reflected in rising rentals, lower vacancy and sustained occupier interest in Salt Lake and Rajarhat.”