India’s office real estate market recorded the best-ever performance in 2025, wherein the net absorption reached an all-time-high of 61.4 million square feet, showing a 25% year-on-year growth. State Cushman & Wakefield Office Q4 MarketBeat report. The robust leasing momentum underlines renewed occupier confidence, driven by economic resilience, expansion by global firms, and India’s growing role as a preferred destination for business operations.
Among the top eight cities, Bengaluru led with 14.4 million sq ft, followed by NCR at 10.9 million sq ft, and together accounted for over 40% of the overall absorption. The other major markets that also saw decent demand were Mumbai, Hyderabad, Pune, and Chennai. Chennai and NCR recorded the most significant year-on-year growth, while the recovery was broad-based across geographies.
Sandeep Chhillar, Founder and Chairman, Landmark Group, says, “Gurugram continues to anchor NCR’s office market with its infrastructure, talent access, and corporate ecosystems. What’s notable today is the nature of demand: occupiers are committing earlier and for longer durations, especially in Grade-A assets that meet global benchmarks. The city’s emerging micro-markets are witnessing steady absorption even as new supply remains measured. This balance is what will push occupancy levels higher over the next two years. The market has moved from reactive leasing to strategic space planning, which is a strong indicator of sustained momentum.”
Ishwin Singh Hora, Director, Reach Group, said, “An annual growth of 25% in office space and a record absorption of 61.4 million sq ft clearly indicate that companies increasingly view India as a long-term strategic business destination. Among cities, Bengaluru recorded the highest absorption, followed by Delhi NCR, while key markets such as Mumbai, Hyderabad, Pune and Chennai also witnessed strong leasing activity. In particular, the sharp rise in net absorption in Chennai and Delhi NCR underscores the strengthening fundamentals of the office market. In the NCR, especially Gurugram, demand for Grade-A office space remains robust, driven by the growing presence of multinational companies, global capability centres and the BFSI sector. Superior connectivity, strong infrastructure and offices designed to prioritise employee experience are emerging as the first choice for occupiers. We are confident that this trend will continue to keep the office market stable, mature and growth-oriented in the coming years.”
Dr Amish Bhutani, Managing Director, Group 108, says,”The fact that the Indian office market has reached a record level of 61.4 million sq ft with a YoY growth rate of 25% is a manifestation of the growing confidence and importance of India on the global business landscape. In Noida- Greater Noida, this is being fueled by the growing demand for office space retention by GCCs, tech companies, and the expansion plans of domestic companies. Grade-A offices, especially those located along the Noida- Greater Noida expressway and near the Noida International Airport, are registering a growing demand due to occupiers’ interest. Thus, we foresee that this increase in demand will ensure that the office market remains resilient and geared for the future.”
Sonakshi Wadhwan, CBO (Office Transactions), Rise Infraventures, says, “The office market absorption is not merely a sign of recovery, but a clear indication that companies are viewing India as a long-term business base. Expansion by IT, BFSI, engineering firms, and especially GCCs has reshaped the demand for office space. Today, occupiers are prioritising office spaces that are technology-ready, offer large floor plates, and provide flexibility for future expansion. This shift has led to increased investment in Grade-A office developments, with quality projects consistently receiving strong responses. This structural shift will make office real estate market more stable, organised, and sustainable in the coming years.”
Salil Kumar, Director – Marketing and Business Management, CRC Group, says, “The data clearly tells that India’s office market momentum is real and broad-based. With over 61 million sq ft of net absorption in 2025, we’re seeing occupiers commit with far greater confidence. In Noida and Greater Noida, this is translating into strong traction from GCCs and multinational firms looking for scalable, Grade-A workspaces. Besides, the region’s value proposition has evolved rapidly, shaped by the upcoming Noida International Airport, expressway connectivity, and metro expansion. Hence, Noida-Greater Noida is increasingly being viewed as a long-term strategic office destination, not just within NCR, but in the national office market narrative.”
Gross leasing volumes over the year remained at approximately 89 million sq ft, marking the second successive year of holding at record highs. The leasing activity in 2025 was primarily driven by occupiers focusing on Grade-A, future-ready office spaces, while there was strong demand from IT-BPM firms, Global Capability Centres (GCCs), BFSI players, engineering companies and shared workspace operators. This inherent shift towards quality assets, which come bundled with sustainability features, advanced infrastructure, and employee-centric design, significantly boosted the absorption in premium office developments. Leasing momentum across key cities underlines a structurally healthy market, with most major office hubs seen taking strong take-up of Grade-A spaces.
