GCC-Driven Office Space Demand in India Surges 8% in Q1-Q3: Colliers Report
A recent report by Colliers highlights an 8% increase in GCC-driven office space demand in India, reaching 50.9 million square feet in the first nine months of 2025. Key cities like Bengaluru, Pune, and Mumbai are driving this growth.
GccOffice SpaceReal EstateIndiaColliersReal Estate NewsSep 25, 2025
The report indicates that these three cities collectively accounted for more than half of the quarterly Grade A office space uptake. Notably, each of these cities saw an annual demand growth of at least 40% in Q3 2025.
Bengaluru retained its dominance with 14 million sq. ft. of leasing and a 27% share in the overall India office space demand. According to Arpit Mehrotra, Managing Director of Office Services, India, at Colliers, “India's office market continues to demonstrate resilience, crossing the 50 million square feet benchmark in the first nine months of the year, despite ongoing external volatilities and trade frictions.”
This steady momentum has been fueled by a surge in space uptake by GCCs and continued traction in leasing activity from domestic firms. GCCs have already leased close to 20 million sq. ft. in 2025 across the top seven cities, contributing around 40% of the overall office space demand.
Looking ahead, although occupiers are likely to carefully evaluate evolving scenarios, global technology firms are expected to continue bolstering Grade A space uptake and play a pivotal role in driving office space demand close to 70 million sq. ft. by the end of the year, as per Mehrotra.
New supply across the top seven office markets remained robust in Q3 2025, with 16.6 million square feet of completions, marking a 15% annual increase. Pune led the momentum with a nearly 4 times surge in quarterly completions at 4.6 million square feet, followed by Bengaluru and Delhi-NCR.
Conventional leasing in the first nine months of 2025 stood at 41.7 million sq. ft., primarily driven by the technology and BFSI sectors. In terms of flex space activity, Bengaluru, along with Pune and Chennai, collectively accounted for nearly two-thirds of the flex space uptake in Q3 2025.
“Overall, the preference for agile workplace strategies and flex space adoption continues to be on the upswing across India and can potentially account for one-fifth of the overall demand in 2025,” said Vimal Nadar, National Director and Head of Research at Colliers India.
Frequently Asked Questions
What is the percentage increase in GCC-driven office space demand in India for the first nine months of 2025?
The GCC-driven office space demand in India increased by 8% in the first nine months of 2025.
Which city led the office space demand in Q3 2025?
Bengaluru led the office space demand in Q3 2025, retaining its dominance with 14 million sq. ft. of leasing and a 27% share in the overall India office space demand.
How much office space did GCCs lease in 2025?
GCCs leased close to 20 million sq. ft. in 2025 across the top seven cities, contributing around 40% of the overall office space demand.
What is the expected office space demand by the end of 2025?
The office space demand is expected to reach close to 70 million sq. ft. by the end of 2025, driven by global technology firms and continued leasing activity.
Which cities accounted for nearly two-thirds of the flex space uptake in Q3 2025?
Bengaluru, Pune, and Chennai collectively accounted for nearly two-thirds of the flex space uptake in Q3 2025.
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