Ahmedabad's Office Market Surges with 25.5% Rent Upside, BFSI Dominates Leasing
Ahmedabad's office real estate market is experiencing significant growth, with a 25.5% rent premium and strong leasing activity led by the BFSI sector. The city is emerging as a key business and financial hub.
AhmedabadReal EstateBfsiGift CityOffice MarketReal EstateJul 18, 2025
The report captures the disciplined supply-demand dynamics in Ahmedabad’s office market. Both demand and new supply stood at 0.5 million sq. ft. in H1 2025, with the total Grade A office stock currently at 30.5 million sq. ft. and a healthy vacancy rate of 19.6%. Developers are optimistic about the city’s future, with projections suggesting the addition of nearly 9.7 million sq. ft. of new Grade A/A+ office space by 2030. This growth reflects Ahmedabad’s increasing appeal to both Indian and multinational companies.
The BFSI sector continues to drive leasing demand, contributing 56% of transactions, followed by IT/ITES at 30% and industrials at 8%. Ahmedabad’s strategic location near GIFT City is a significant factor in attracting financial services and technology firms. Notable transactions include HSBC leasing 0.18 million sq. ft. at Westpark in the Central Business District, and Cognizant and Hexaware securing significant space within GIFT City’s Pragya II project. The Secondary Business District holds 62% of the city’s office stock, but GIFT City is rapidly emerging as the growth engine, recording 0.3 million sq. ft. of gross leasing in just six months and hosting five major projects under active development.
Shekhar Patel, President of CREDAI, emphasized, “Ahmedabad is at a defining crossroads, and this report reflects a city that is not just growing, but preparing to lead. A 25.5% rent premium, robust leasing momentum, and the rise of GIFT City are markers of a city shaping its destiny. This is more than real estate; it is about building a thriving ecosystem where business, finance, and technology come together to create enduring value. As Prime Minister Modi envisions India as a global economic powerhouse, Ahmedabad is well on its way to becoming a shining example of that mission in action. At CREDAI, we are committed to ensuring that the city’s built environment keeps pace—sustainable, future-ready, and aligned with the aspirations of New India.”
The report also highlights the strong developer pipeline, with 35.3% of the upcoming supply in Ahmedabad until 2027 concentrated in GIFT City. This reflects developer conviction in the city’s trajectory as a financial and tech epicenter. Key upcoming developments include Shilp Centrica in GIFT City, Trogon Twin Towers in Gandhinagar, and The Goodwill Tower IT SEZ, which are set to redefine the city’s commercial skyline.
Abhishek Kiran Gupta, CEO of CRE Matrix, noted, “First, Ahmedabad’s housing market beat Mumbai in terms of housing units sold. Now, it’s aiming for India’s corporate growth too. In just six months, the city leased as much Grade A/A+ office space as it added—a perfect 1:1 demand-to-supply ratio. That’s balance. That’s momentum. Banks and financial firms led the charge, taking up 56% of all office leases. Yes, Ahmedabad is now a BFSI stronghold, and it’s just getting started. GIFT City alone accounts for over 35% of all upcoming supply by 2027. Rents are rising too. Market Rent is now 25.5% higher than Passing Rent—a clear signal. Ahmedabad is turning into a landlord’s market. The story is no longer just about Delhi, Bengaluru, Hyderabad, or Mumbai. Ahmedabad has entered the boardroom and it’s here to stay. ‘Amdavad’ best ma best che—and we’re tracking every data point of it.”
Ahmedabad’s growth is driven by strategic location advantages, infrastructure upgrades, cost-competitiveness, and progressive urban planning. As the city diversifies its tenant base and strengthens its commercial infrastructure, it is increasingly recognized as a key node in India’s broader economic and innovation landscape. The city’s transformation is a testament to its potential to become a leading business and financial hub in India.
About CREDAI:
Confederation of Real Estate Developers & Associations of India (CREDAI) is the apex body of private Real Estate developers in India, established in 1999. It represents 13000+ developers across 230 city chapters in 20 states and plays a crucial role in policy formulation by representing the views of its members to various ministries. Visit https://credai.org/abouts/ for more information.
About CRE Matrix:
CRE Matrix is India’s leading real estate data analytics platform, providing reliable and granular data across commercial and housing markets. It decodes millions of transaction records across office, retail, warehousing, industrial, and residential assets, turning raw data into real-time, actionable intelligence. Trusted by top developers, brokers, investors, lenders, and corporate occupiers, CRE Matrix drives smarter and faster decisions across the real estate lifecycle.
Frequently Asked Questions
What is the current vacancy rate in Ahmedabad's office market?
The current vacancy rate in Ahmedabad's office market is 19.6%.
Which sector contributes the most to leasing activity in Ahmedabad?
The BFSI (Banking, Financial Services, and Insurance) sector contributes the most to leasing activity, accounting for 56% of transactions.
What is the projected addition of new office space in Ahmedabad by 2030?
Ahmedabad is projected to add nearly 9.7 million sq. ft. of new Grade A/A+ office space by 2030.
What is the significance of GIFT City in Ahmedabad's real estate market?
GIFT City is a significant factor in attracting financial services and technology firms to Ahmedabad, recording 0.3 million sq. ft. of gross leasing in just six months and hosting five major projects under active development.
What is the role of CREDAI in the real estate industry?
CREDAI is the apex body of private Real Estate developers in India, established in 1999. It represents 13000+ developers across 230 city chapters in 20 states and plays a crucial role in policy formulation by representing the views of its members to various ministries.
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