Pune's Office Market Poised to Surpass 10 Million Sq. Ft. in 2025

Pune's office market is on track to achieve a historic milestone in 2025, with gross leasing volumes projected to exceed 10 million square feet. The city's strategic importance in India's commercial real estate landscape is underscored by robust demand from key sectors including engineering, manufacturing, and IT-BPM.

PuneReal EstateOffice MarketLeasing VolumesCommercial PropertyReal Estate PuneJul 08, 2025

Pune's Office Market Poised to Surpass 10 Million Sq. Ft. in 2025
Real Estate Pune:Pune’s office sector is set to surpass 10 million square feet and establish a new leasing benchmark in 2025. In the first half of 2025, the city recorded its highest gross leasing volume (GLV) at 6.8 million square feet, ranking it among the top four office markets in India, alongside Bengaluru, Mumbai, and Delhi NCR. Pune is also expected to cross the historic high of 15 million sq. ft in new office supply by year-end.

According to Cushman & Wakefield, Pune’s GLV increased by 67% year-on-year and by 54% compared to the second half of 2024. This GLV encompasses all leasing activity in the market, including fresh take-ups, contract renewals by corporates, and pre-leasing activities, reflecting buoyancy in the overall market activity.

Pune contributed 16%, or 6.8 million square feet (msf), to the pan-India GLV of 42 million square feet in the first half of 2025, positioning it alongside Bengaluru (9.9 msf), Mumbai (8.2 msf), and Delhi NCR (7.4 msf).

Moinuddin Patel, managing director of Cushman & Wakefield Pune, stated that with gross leasing volumes projected to exceed 10 million square feet for the first time, Pune’s office market is on track to achieve a historic milestone in 2025, driven by sustained demand across key sectors. “The continued momentum in the flexible workspace segment, the resilience of engineering and manufacturing occupiers, and the steady expansion of Global Capability Centres (GCCs) underscore Pune’s growing strategic importance in India’s commercial real estate landscape,” he said. This growth has also been supported by a healthy pipeline of high-quality supply and a more balanced, occupier-friendly environment.

The strong momentum in the office market is driven by robust demand from the engineering and manufacturing sectors, IT-BPM, and flexible workspaces, which collectively accounted for 4.6 million square feet, or 70%, of the leasing activity in H1 2025. GCC transactions were at 2.7 msf. Around 36% of leasing was by BFSI, 51% from engineering and manufacturing, and 10% from IT-BPM. Additionally, Pune is now the second-largest flexible workspace market. Over the past three years, flexible workspaces in Pune have maintained an average annual footprint of 1.56 million square feet, accounting for about 19% of the city’s overall GLV.

On the supply side, Pune experienced a healthy infusion of new office space in the second quarter, adding nearly 8 million square feet of new supply in the first half of 2025, with 90% categorised as Grade A and A+ office space.

Frequently Asked Questions

What is the projected gross leasing volume for Pune's office market in 2025?

Pune’s office market is projected to exceed 10 million square feet in gross leasing volume (GLV) in 2025.

Which sectors are driving the demand in Pune's office market?

The engineering, manufacturing, and IT-BPM sectors are the primary drivers of demand in Pune's office market.

What is the significance of flexible workspaces in Pune's office market?

Flexible workspaces have maintained an average annual footprint of 1.56 million square feet in Pune over the past three years, accounting for about 19% of the city’s overall GLV, making Pune the second-largest flexible workspace market.

How much new office space was added in Pune in the first half of 2025?

Pune added nearly 8 million square feet of new office space in the first half of 2025, with 90% categorized as Grade A and A+ office space.

What percentage of the pan-India GLV did Pune contribute in the first half of 2025?

Pune contributed 16%, or 6.8 million square feet, to the pan-India GLV of 42 million square feet in the first half of 2025.

Related News Articles

GCC Leasing in India Witnesses Significant Growth
Real Estate Pune

GCC Leasing in India Witnesses Significant Growth

The Indian real estate market is experiencing a surge in leasing activities

May 29, 2024
Read Article
Real Estate TV Stars: How Agents Became the Main Attraction
Real Estate Mumbai

Real Estate TV Stars: How Agents Became the Main Attraction

Producers Fenton Bailey and Randy Barbato reveal how they discovered the star power of real estate brokers, paving the way for hit TV shows like Million Dollar Listing and Selling Sunset.

June 30, 2024
Read Article
Maharashtra Set to Revolutionize Electronics with First OSAT Facility in Navi Mumbai
Real Estate Pune

Maharashtra Set to Revolutionize Electronics with First OSAT Facility in Navi Mumbai

Maharashtra takes a giant leap in electronics manufacturing with the inauguration of its first OSAT facility in Navi Mumbai, set to become operational by September.

July 18, 2024
Read Article
Sohna Road Housing Market Sees Significant Surge in Capital Appreciation and Rental Values
real estate news

Sohna Road Housing Market Sees Significant Surge in Capital Appreciation and Rental Values

Sohna Road's housing market has witnessed a 54% capital appreciation and 40% rent rise since 2022, making it one of the top-performing micro-markets in Delhi-NCR.

September 18, 2024
Read Article
Faridabad: A Rising Star in the NCR Real Estate Market
Real Estate

Faridabad: A Rising Star in the NCR Real Estate Market

Long overshadowed by its neighbours, Gurugram and Delhi, Faridabad is now emerging as a prominent player in the National Capital Region (NCR) real estate landscape. With its strategic location, robust infrastructure, and growing economic opportunities, Fa

November 30, 2024
Read Article
Gautam Adani Inspects Navi Mumbai Airport: Progress and Launch Date Revealed
Real Estate Mumbai

Gautam Adani Inspects Navi Mumbai Airport: Progress and Launch Date Revealed

Gautam Adani, chairman of the Adani Group, recently reviewed the progress of the Navi Mumbai International Airport. The ambitious project, set to be completed in five phases, aims to alleviate the growing congestion at Mumbai's Chhatrapati Shivaji Maharaj

March 17, 2025
Read Article