Archive · 10 Oct 2026
Net Office Leasing Falls 20% as Gross Activity Sets Record
Companies occupied less additional office space in eight major Indian cities during the first nine months of 2026 than they did a year earlier.
Net leasing fell to 36.7 million square feet from 46 million.
Cushman & Wakefield said limited supplies of suitable new offices and a strong previous-year comparison helped explain the drop.
But total leasing activity, including renewals and advance bookings, reached a record 64.6 million square feet.
Five cities saw net leasing fall, while Bengaluru, Hyderabad and Ahmedabad saw it rise.
Bengaluru had the highest net leasing, at 11 million square feet.
Cushman & Wakefield said demand remained healthy and reported 14.1 million square feet of net absorption in the third quarter.
More office space was completed in the September quarter, which the consultant said could make room for future growth.
It also said some businesses are planning further ahead and considering more locations.
Net office leasing across eight major Indian cities fell 20% to 36.7 million sq ft in January-September 2026, from 46 million sq ft a year earlier.
Cushman & Wakefield attributed the decline to limited fresh supply of quality offices and comparison with a strong 2025 base.
Gross leasing, which includes fresh leasing, renewals and pre-leasing, rose 1% to a record 64.6 million sq ft.
Net leasing declined in Mumbai, Delhi-NCR, Pune, Chennai and Kolkata, while it increased in Bengaluru, Hyderabad and Ahmedabad.
The consultant reported 14.1 million sq ft of third-quarter net absorption and said increased September-quarter completions could support future expansion.
- Who
- Cushman & Wakefield reported the figures; the data concerns businesses leasing office space.
- What
- Net office leasing fell 20% to 36.7 million sq ft, while gross leasing rose 1% to a record 64.6 million sq ft.
- When
- January-September 2026; the report was published October 10, 2026.
- Where
- Eight major Indian cities: Mumbai, Delhi-NCR, Pune, Chennai, Kolkata, Bengaluru, Hyderabad and Ahmedabad.
- Why
- Cushman & Wakefield cited limited fresh supply of quality workspaces and a strong 2025 comparison base.
Caution about the decline
Resilience and future growth
Interpreting lower net leasing
Caution about the decline
Net leasing fell 20%; Cushman & Wakefield said limited fresh supply and a strong 2025 base contributed to the decrease.
Resilience and future growth
Cushman & Wakefield executives described occupier demand as healthy, while gross leasing reached a record 64.6 million sq ft.
Scope for expansion
Caution about the decline
Limited first-half supply constrained occupier options across several markets.
Resilience and future growth
The consultant said increased September-quarter completions could create capacity, with pre-commitments gaining traction and businesses considering more locations.
- Net leasing
- 36.7 million sq ft in January-September 2026, down from 46 million sq ft a year earlier.
- Gross leasing
- 64.6 million sq ft, up 1% and a record for the first nine months of a year.
- Third-quarter net absorption
- 14.1 million sq ft.
- Cities with net leasing declines
- Mumbai, Delhi-NCR, Pune, Chennai and Kolkata.
- Cities with net leasing increases
- Bengaluru, Hyderabad and Ahmedabad.
- Bengaluru
- Net leasing increased 16% to 11 million sq ft from 9.5 million sq ft.
- Ahmedabad
- Net leasing increased 81% to 1.2 million sq ft from 0.7 million sq ft.
