2 hrs ago
India Office Absorption Hits Record 66.4 Million Sq Ft
India’s companies rented a record amount of office space in the first nine months of 2026.
They took nearly 66.4 million square feet, which was 8% more than during the same period a year earlier.
New office buildings also added nearly 51 million square feet.
Global Capability Centres, or large offices serving global businesses, rented 28 million square feet.
Hyderabad and Bengaluru were especially important locations for this demand.
Flexible office providers, banks and financial companies, and technology businesses were all expanding.
Many companies preferred newer, higher-quality buildings.
CBRE expects the office market to remain strong as companies continue growing in India.
India absorbed nearly 66.4 million sq. ft. of office space in January–September 2026, up 8% year-on-year.
Third-quarter absorption reached nearly 21 million sq. ft., while new nine-month supply rose 18% to nearly 51 million sq. ft.
Global Capability Centres leased 28 million sq. ft. during the first nine months, representing 42% of total leasing.
Hyderabad, Bengaluru and Pune accounted for nearly 89% of third-quarter development completions.
CBRE said demand from flex operators, BFSI and technology companies is supporting continued office-market expansion.
- Who
- Indian and global office occupiers, including Global Capability Centres, flex operators, BFSI companies and technology firms.
- What
- India recorded nearly 66.4 million sq. ft. of office-space absorption in January–September 2026, an 8% year-on-year increase.
- Where
- India, with Hyderabad, Bengaluru and Pune leading reported development completions and GCC leasing.
- When
- January–September 2026, with the third quarter covering July–September 2026.
- Why
- Demand was supported by company expansion, India’s talent base, steady economic growth and preference for newer, higher-quality buildings.
Key facts
- Nine-month absorption
- Nearly 66.4 million sq. ft., up 8% year-on-year
- Third-quarter absorption
- Nearly 21 million sq. ft., up 6% year-on-year
- Nine-month new supply
- Nearly 51 million sq. ft., up 18% year-on-year
- Third-quarter completions
- Nearly 19 million sq. ft., up 26% year-on-year
- GCC absorption
- 28 million sq. ft. in the first nine months, or 42% of overall leasing
- Leading GCC markets
- Hyderabad accounted for 37% of quarterly GCC take-up and Bengaluru for 28%
- Expansion outlook
- Nearly 77% of occupiers expect to expand their India office portfolios over the next two years
Quotes
Anshuman Magazine
Chairman and CEO for India, South-East Asia, Middle East and Africa at CBRE
“Flex operators, BFSI and technology occupiers are all expanding simultaneously, while occupiers across the board continue to gravitate towards higher-quality buildings. That breadth of demand is what gives this cycle its durability”
thehansindia.com
“Three-fourths of the space taken up this quarter was in buildings under ten years old, and flex has become the largest demand driver. The core plus flex model has moved from an experiment to a strategic portfolio decision”
thehansindia.com
Sources
Related news
India Office Leasing Climbs 7% as Flexible Demand Expands
Hyderabad GCC Expansion Poised to Add 8–12 Million Square Feet
India’s Commercial Real Estate Enters a New Growth Cycle
Mumbai Office Demand Seen Growing 12–15% Annually Through 2030
India Retail Leasing Reaches 2.22 Million Square Feet
Hyderabad’s GCC Hub Set to Add 70 Centres Within Year
Karnataka Seeks Central Action Over High-Cost Drug Price Gaps
Four Small-Cap Stocks Set October 2026 Split Dates
Moneyview Soars 76% in India Debut, Tops $1 Billion Valuation
Bengaluru Woman Challenges Schools’ Unwritten Housewives-Only Admission Expectation
