New Delhi, Sep 9 : Eighty-five per cent of Indian companies plan to expand their office portfolios in the next two years, rising from 73 per cent in 2024, according to a CBRE South Asia Pvt Ltd report released on Tuesday.
The demand for office space will grow as firms push an office-first policy and tighten hybrid work arrangements. Strong growth across key sectors and rapid digitalisation continue to fuel this expansion. Compared to 2018–19, domestic firms leased 86 per cent more office space in 2023–24, showing a clear resurgence.
Almost 94 per cent of companies now want employees to work from office at least three days a week. Around 52 per cent have already shifted to a full office model, a sharp rise from 36 per cent in 2024.
Global Capability Centres (GCCs) remain a major driver, accounting for 35–40 per cent of India’s annual office absorption. They are no longer just cost-efficient back-office hubs; instead, they have become high-value centres for R&D, artificial intelligence, and engineering.
About 65 per cent of GCCs surveyed plan to expand further within two years. Sectors such as BFSI, life sciences, and engineering will lead this growth. The average size of GCC leasing deals also grew, from 91,000 sq ft in 2024 to 108,000 sq ft in the first half of 2025.
Flexible workspace operators have gained a firm foothold, consistently grabbing over 15 per cent of annual office leasing. The share of companies allocating up to half of their portfolio to flexible spaces is set to more than double within the next two years.
“India’s office market is entering a defining decade. Occupiers demand future-ready, high-performance workplaces, and the industry must respond with sustainability-driven retrofits and digital integration,” said Anshuman Magazine, Chairman and CEO-India, South-East Asia, Middle East & Africa, CBRE.
Ram Chandnani, Managing Director–Leasing, CBRE India, added, “GCCs and Indian firms are shaping the next phase of growth, positioning India as a global hub for innovation-led workspaces.”
Experts believe this momentum will not only strengthen India’s global position but also create long-term value across the real estate sector.
Also Read : Airbnb India impact: Rs 113B GDP, 1.11L Jobs in 2024
