India Market Monitor Q4 2024 – Office

India’s o­ffice sector witnessed strong momentum in leasing activity in the October-December quarter of 2024, culminating in a record quarterly space take-up of 22.2 million sq. ft. This robust performance led to an all-time high absorption of 79 million sq. ft. in CY 2024, showcasing the unwavering confidence of occupiers in the country’s off­ice market.

Buoyed by steady inquiries and strong occupier confidence, the demand for off­ice spaces is anticipated to remain stable in the first half of 2025. Global capability centres (GCCs) are expected to maintain their growth momentum during the year, with new entrants setting up global centres and existing firms scaling their facilities. GCCs from the technology, engineering and manufacturing (E&M) and banking, financial services and insurance (BFSI) sectors will likely drive demand for both traditional and flexible office spaces.

The country’s off­ice supply pipeline is projected to remain strong in 2025, with the anticipated introduction of several high-quality, investment-grade assets. Bengaluru, Hyderabad, and Delhi-NCR are expected to lead the completions, followed by Pune, Mumbai, and Chennai. Furthermore, developers would continue to address occupiers' preferences by off­ering well-located, ‘future-proofed’ assets with state-of-the-art facilities.

Developers are also likely to emphasise eco-friendly construction methods, sustainable materials, and energy-eff­icient designs to cater to environmentally conscious investors and occupiers.

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