Blitz Bureau
NEW DELHI: India’s commercial office real estate sector achieved exceptional growth in the first half of 2025, with net office leasing surging 40 per cent (year-on-year) to 26.8 million square feet across the top seven cities, a report said on August 23. Bengaluru maintained market leadership with 6.55 million square feet of absorption, while Pune emerged as the fastest-growing market with 188 per cent growth.
“New office supply increased 25 per cent to 24.51 million square feet, creating balanced market dynamics. Vacancy rates improved marginally to 16.3 per cent, and average rentals grew 4 per cent to Rs 88 per square foot per month. The IT-ITES sector dominated with 29 per cent market share, followed by co-working spaces at 22 per cent,” said Peush Jain, MD-Commercial Leasing and Advisory, Anarock Group.
Market fundamentals remain healthy, supported by Global Capability Centre (GCC) expansion and sustained corporate confidence, positioning the sector for continued growth through 2025. GCCs drove office demand in H1 2025, leasing 5.45 mn sq ft in Bengaluru, 2.81 mn sq ft in NCR, 2.77 mn sq ft in Pune, 0.95 mn sq ft in Chennai and 1.93 mn sq ft in Hyderabad.
Bengaluru led with 64 per cent growth, Pune saw 188 per cent growth in office absorption and 533 per cent in new supply.