New Delhi: India’s office real estate sector recorded its strongest performance in 2025, with a total office space usage of 6.14 crore square feet across eight major cities, marking a 25 percent increase from the previous year. This is the highest level achieved so far, according to a recent report.
The report by commercial real estate services firm Cushman & Wakefield attributes this growth to increasing corporate confidence and the market’s ability to meet rising demand. Companies are expanding their operations by leasing larger office spaces.
Bengaluru led the office space usage with 1.44 crore square feet, followed by Delhi NCR with 1.09 crore square feet. Other cities such as Mumbai (96 lakh square feet), Hyderabad (91 lakh square feet), Pune (82 lakh square feet), Chennai (70 lakh square feet), Kolkata (14 lakh square feet), and Ahmedabad (8 lakh square feet) also witnessed strong demand.
Notably, Chennai and Delhi NCR saw the highest growth compared to the previous year, with increases of approximately 187 percent and 82 percent respectively, highlighting a rapid rise in office space demand in these cities.
The total office leasing volume (GLV) in 2025 reached around 8.9 crore square feet, of which nearly 80 percent was new office space leased. The share of Global Capability Centers (GCCs) also increased to 2.93 crore square feet, accounting for about one-third of total leasing.
Ankush Jain, CEO for Offices and Retail in India, Southeast Asia, Middle East, Africa, and Asia Pacific at Cushman & Wakefield, said the expansion of GCCs, rapid adoption of technology, strong presence of companies from various sectors, and a large skilled workforce position India to maintain a leading role in the global office market in 2026 and beyond.
Despite a higher supply of new office spaces, strong demand led to a significant reduction in vacant office space, marking the fastest annual decline recorded so far. Most major cities saw a decrease in unoccupied office areas.
The report also noted an increase in office rents across all eight major cities, with Hyderabad and Mumbai recording the highest annual rent rise of 12-14 percent. Ahmedabad, Delhi NCR, and Chennai also saw healthy rent growth ranging between 6-9 percent.
My name is Bhupendra Singh Chundawat. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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