India’s office market hits a new peak in 2025 as GCCs take 38% share and supply crunch looms

With annual leasing volumes rising more than 20% year on year, the current cycle marks not just a numerical high but a structural shift in how global and domestic enterprises view India as a long-term business destination, believes Shishir Baijal, International Partner, Chairman and MD, Knight Frank. “The fact that five major markets recorded their highest-ever transaction levels, each crossing the 10 mn sq ft threshold, highlights the geographically diversified nature of this expansion.”

Viral Desai, International Partner, Senior Executive Director- Occupier Strategy & Solutions, says GCCs accounted for 38% of total leasing, while third-party IT services and flexible workspaces recorded their highest-ever absorption. “Together, these trends point to a clear preference for larger, long-term commitments, highlighting evolving occupier strategies centred on talent access, operational efficiency and scalable growth.”

Office completion was recorded at a very robust 54.8 mn sq ft, registering an annual growth of 9% over 2024, while rents firmed up across all markets over the course of the year, as Indian landlords have been able to negotiate better terms in a market that has seen the strongest office markets struggle globally. “Rents grew between 1% and 16% YoY across all markets in H2 2025, with Kolkata growing at 16% YoY while NCR and Hyderabad grew at 10% YoY each, respectively.”