Mumbai ($46/sqft, 12.6% vacancy) and Tokyo ($113/sqft, 4.6% vacancy) compete on different axes: Mumbai on rent and tax and Tokyo on talent depth.

  • Class A rent: Mumbai $46/sqft vs Tokyo $113/sqft.
  • Vacancy: Mumbai 12.6% vs Tokyo 4.6%.
  • Talent index: Mumbai 60 vs Tokyo 84.
  • Corporate tax: Mumbai 25.2% vs Tokyo 30.6%.
  • Premium flex/seat/month: Mumbai $420 vs Tokyo $980.

Mumbai vs Tokyo: Class A office comparison

Mumbai ($46/sqft, 12.6% vacancy) and Tokyo ($113/sqft, 4.6% vacancy) compete on different axes: Mumbai on rent and tax and Tokyo on talent depth.

TL;DR

  • Class A rent: Mumbai $46/sqft vs Tokyo $113/sqft.
  • Vacancy: Mumbai 12.6% vs Tokyo 4.6%.
  • Talent index: Mumbai 60 vs Tokyo 84.
  • Corporate tax: Mumbai 25.2% vs Tokyo 30.6%.
  • Premium flex/seat/month: Mumbai $420 vs Tokyo $980.

Market data side-by-side

MetricMumbaiTokyo
RegionAPACAPAC
CountryIndiaJapan
Class A rent (USD/sqft/yr)$46$113
Class A rent (local)320 INR50000 JPY
Vacancy12.6%4.6%
Trendrisingrising
Prime yield7.5%3%
Premium flex / seat / month (USD)$420$980
Submarkets covered46
Corporate tax25.2%30.6%

Lease norms

MetricMumbaiTokyo
Typical term5 yrs5 yrs
Typical rent-free4 mos4 mos
Lease normsStandard 5-year lease (often 3+2 or 5+5). Rent quoted as INR per square foot per month. Maintenance billed separately. Security deposit of 6-12 months standard. Stamp duty payable on lease execution.Tokyo leases are typically 5-7 years with a 2-year tenant notice. Standard leases are 'fixed-term' (teiki shakuya) or 'ordinary' (futsu shakuya) — fixed-term is increasingly common for Grade A. Rent is base + common-area maintenance billed separately. Restoration to original (genjo kaifuku) is contractual and significant. Personal seal (jitsuin) requirements apply.
Tax noteHeadline corporate tax 25.2% (concessional 17.16% for new manufacturing). Maharashtra state taxes apply.Effective corporate tax rate 30.6% (national + local). Tokyo Metropolitan corporate inhabitant tax adds a meaningful local component.

Talent

MetricMumbaiTokyo
Talent index (0–100)6084
Talent noteIndia's deepest financial-services and tech talent pool. Average all-in compensation indexes 60.The largest single-language white-collar talent pool in the world. Average all-in compensation for senior knowledge workers indexes 84 vs. New York's 100, though English-fluent bilingual talent commands a premium.

Transit & commute

Mumbai: Mumbai Suburban Railway is the primary mass transit. Mumbai Metro is expanding rapidly. Direct connection between BKC and the CBD remains the key infrastructure constraint.

Tokyo: JR Yamanote loop plus 13 metro lines connect every Class A address. Shinkansen termini at Tokyo, Shinagawa, and Ueno support inter-city corporate networks.

Top submarkets — Mumbai

Top submarkets — Tokyo

Decision criteria

Pick by cost

Mumbai is the cheaper Class A market on a USD basis.

Pick by talent depth

Tokyo has the deeper talent index (84/100 vs 60/100).

Pick by tax

Mumbai has the lower headline corporate tax (25.2% vs 30.6%). Local incentives can change the effective rate materially.

Pick by lease optionality

Mumbai typical term is 5 years with 4 months free; Tokyo runs 5 years with 4 months free.

Pick by transit

Mumbai: Mumbai Suburban Railway is the primary mass transit. Mumbai Metro is expanding rapidly. Direct connection between BKC and the CBD remains the key infrastructure constraint. Tokyo: JR Yamanote loop plus 13 metro lines connect every Class A address. Shinkansen termini at Tokyo, Shinagawa, and Ueno support inter-city corporate networks.

Run a 4-city comparison

Score Mumbai, Tokyo and up to two more markets side-by-side on Class A rent, vacancy, talent, corporate tax, and premium flex pricing — all in USD.

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Frequently asked questions

Is Class A office cheaper in Mumbai or Tokyo?
Mumbai is cheaper on a USD basis: $46/sqft vs $113/sqft.
Which has better talent depth, Mumbai or Tokyo?
Tokyo indexes higher on talent depth (84 vs 60).
Which has more sublease availability, Mumbai or Tokyo?
Mumbai carries higher vacancy (12.6% vs 4.6%) and therefore typically more sublease">sublease overhang.
What lease term should I expect in Mumbai vs Tokyo?
Mumbai typical term is 5 years with 4 months rent-free; Tokyo typical term is 5 years with 4 months rent-free.
How does transit and commuter access compare?
Mumbai: Mumbai Suburban Railway is the primary mass transit. Mumbai Metro is expanding rapidly. Direct connection between BKC and the CBD remains the key infrastructure constraint. Tokyo: JR Yamanote loop plus 13 metro lines connect every Class A address. Shinkansen termini at Tokyo, Shinagawa, and Ueno support inter-city corporate networks.

Editorial provenance

Reviewed by Kenji Watanabe — APAC contributing editor. Last updated 2026-04-15. See our methodology and editorial standards.

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