August 21, 2025

Hold on tight, India has zoomed past others to become the biggest office market in Asia-Pacific! According to Colliers' latest report for H1 2025, India grabbed over 70% of the entire region’s office leasing action and almost half of new office spaces were opened here. Can you believe leasing across the top seven Indian cities reached a whopping 3.13 million square metres (33.7 million sq feet) in just six months? This massive leap is powered by the nonstop growth of global capability centres (GCCs) — those tech and service hubs — plus strong activity from Indian companies. Domestic firms alone took 46% of the leases, showing how much India's own businesses are fueling this boom. Meanwhile, other big players like Mainland China and Japan also contributed but India clearly took the lion’s share. Office space supply also exploded! Across Asia-Pacific, new office spaces rose by 45.4% to 4.8 million sq metres, with India delivering 48% of these fresh offices. This gain is mostly on the back of India’s high-quality Grade A office development pipeline. And guess what? India isn’t just growing fast; it’s changing the game with a strong focus on sustainable, eco-friendly workplaces. Arpit Mehrotra, Managing Director of Office Services at Colliers India, shares exciting news: "Going forward, with supportive growth policies and sustained occupier momentum, India is well placed for a strong performance in the second half of 2025." He believes India's office market isn’t just a quick boom but a steady climb with strong roots. Experts like Shesh Rao Paplikar, CEO of BHIVE Workspace, say India’s story is bigger than cheap costs. "India has moved beyond being a cost arbitrage market. It is now a strategic global hub for innovation, talent, and capability building," he says. This explains the flood of interest across sectors like technology, banking (BFSI), and engineering services. Investors are jumping on this buzz, too. Quaiser Parvez, COO of Knowledge Realty Trust, notes, "The flight to quality is accelerating, with occupiers clearly preferring sustainable, Grade A assets that align with ESG mandates. Investors are actively chasing green-certified developments, which are set to become the next big differentiator in India’s office market." With inflation easing, interest rates stable, and GDP growth steady, Indian companies are feeling confident to grow and rent more office space. However, some smaller areas might see a slight rise in empty offices due to all the new supply. Still, prime areas with limited high-quality offices will see rents climb. Mehrotra sums it up: "The next growth phase will be defined by premium and sustainable workspaces that cater to evolving occupier strategies. India is ahead of the curve in adapting to these trends, which positions it as the anchor market for APAC office investments." In short, India is not just expanding; it’s transforming! Flexible, future-ready offices, growing homegrown companies, and a strong green push are turning India into the superstar of Asia-Pacific’s office real estate scene — and this exciting journey is just getting started in 2025!

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Tags: India office market, Asia-pacific leasing, Grade a offices, Sustainable workplace, Gcc expansion, Real estate investment,