{"id":12443,"date":"2025-09-13T11:05:57","date_gmt":"2025-09-13T11:05:57","guid":{"rendered":"http:\/\/tezgyan.com\/index.php\/2025\/09\/13\/indias-office-space-demand-set-to-get-a-boost-as-85-firms-eye-expansion-in-two-years-report-real-estate-news\/"},"modified":"2025-09-13T11:05:57","modified_gmt":"2025-09-13T11:05:57","slug":"indias-office-space-demand-set-to-get-a-boost-as-85-firms-eye-expansion-in-two-years-report-real-estate-news","status":"publish","type":"post","link":"https:\/\/tezgyan.com\/index.php\/2025\/09\/13\/indias-office-space-demand-set-to-get-a-boost-as-85-firms-eye-expansion-in-two-years-report-real-estate-news\/","title":{"rendered":"India’s Office Space Demand Set To Get A Boost As 85% Firms Eye Expansion In Two Years: Report | Real Estate News"},"content":{"rendered":"


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India’s office market is entering a defining decade, marked by both resilience and reinvention, according to CBRE India.<\/h2>\n
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Flex space operators continue to hold a significant share of India\u2019s office leasing, consistently accounting for over 15% of annual absorption.<\/p>\n<\/figure>\n

Office space demand in India is set to get a major boost, with 85% of domestic firms planning to expand their portfolios over the next two years, according to real estate consultancy firm CBRE\u2019s latest India Office Occupier Survey 2025. The intent marks a sharp rise from 73% in 2024, reflecting stronger business sentiment, digital adoption and a shift towards an office-first approach.<\/p>\n

The report noted that companies have bounced back strongly since the pandemic years. Leasing by domestic firms during 2023-24 was nearly 86% higher compared to pre-Covid levels in 2018-19. \u201cIndia\u2019s office market is entering a defining decade, marked by both resilience and reinvention,” said Anshuman Magazine, Chairman & CEO of CBRE for India, South-East Asia, the Middle East & Africa.<\/p>\n

Office-First Policies Gaining Ground<\/strong><\/p>\n

The survey found that 94% of firms now prefer employees to work from office at least three days a week. More than half the companies (52%) have already adopted a full return-to-office policy, compared with 36% last year.<\/p>\n

Flexible Workspaces On The Rise<\/strong><\/p>\n

Flex space operators continue to hold a significant share of India\u2019s office leasing, consistently accounting for over 15% of annual absorption. The trend is expected to accelerate, with more companies planning to allocate up to half of their office portfolios to flexible workspaces in the coming years. Smaller occupiers, in particular, are leading this shift, 58% of them intend to place more than 10% of their office footprint in flex spaces within two years, according to the CBRE report.<\/p>\n

GCCs Fuelling Expansion<\/strong><\/p>\n

Global capability centres (GCCs) remain one of the strongest demand drivers, contributing 35-40% of total annual office absorption. The survey found that 65% of GCCs expect to expand in the next two years, especially in sectors such as banking and financial services, life sciences, and engineering. Average deal sizes by GCCs have also grown, rising to about 108,000 sq. ft. in the first half of 2025 from 91,000 sq. ft. in 2024, it added.<\/p>\n

Ram Chandnani, Managing Director-Leasing, CBRE India, said, \u201cGCCs alone account for about 35-40% of absorption, driven by their rapid evolution into high-value innovation hubs. Flexible workspaces are no longer a secondary option; they are becoming integral to occupier strategies.”<\/p>\n

ESG and Smaller Cities Gaining Traction<\/strong><\/p>\n

Sustainability has emerged as a key focus, with nearly three-fourths of GCCs already setting ESG targets for their real estate portfolios. At the same time, more occupiers are eyeing tier-II and tier-III cities for growth, citing access to skilled talent, lower costs, and improving infrastructure, CBRE said.<\/p>\n

CBRE expects these forces \u2014 office-first strategies, flex space adoption, GCC expansion, and sustainability \u2014 to shape India\u2019s office market in the years ahead, reinforcing the country\u2019s position as a global office hub.<\/p>\n

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Mohammad Haris<\/a><\/p>\n

Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h…Read More<\/span><\/p>\n<\/div>\n<\/div>\n

Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h… Read More<\/span><\/p>\n<\/div>\n<\/div>\n

First Published:<\/span><\/p>\n
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September 13, 2025, 15:41 IST<\/p>\n<\/div>\n<\/div>\n

News<\/a> business<\/a> real-estate<\/a> India’s Office Space Demand Set To Get A Boost As 85% Firms Eye Expansion In Two Years: Report<\/span><\/div>\n
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Last Updated:September 13, 2025, 15:48 IST India’s office market is entering a defining decade, marked by both resilience and reinvention, according to CBRE India. Flex space operators continue to hold a significant share of India\u2019s office leasing, consistently accounting for over 15% of annual absorption. Office space demand in India is set to get a…<\/p>\n","protected":false},"author":1,"featured_media":12444,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[45],"tags":[],"class_list":["post-12443","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"_links":{"self":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/posts\/12443","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/comments?post=12443"}],"version-history":[{"count":0,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/posts\/12443\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/media\/12444"}],"wp:attachment":[{"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/media?parent=12443"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/categories?post=12443"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/tezgyan.com\/index.php\/wp-json\/wp\/v2\/tags?post=12443"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}