BENGALURU: Bengaluru is not only leading with the increasing demand and accommodation of commercial and residential spaces and housing the highest number of ITs and ITeS, it is now leading in the sector of the highest leasing of office spaces.
A report released by CBRE South India Private Limited, a real estate consulting firm, on Friday, titled CBRE India Office Figures Q1 2025, showed that Bengaluru topped the list in office space leasing during January- March 2025. As per the report, the city stood at 4.8 million sqft, which the highest across nine mega Indian cities- Mumbai, Delhi, Bangalore, Hyderabad, Chennai, Kolkata, Kochi, Ahmedabad, and Pune.
The sectors that saw the highest absorption included technology (33%), engineering and manufacturing (24%) and BFSI (Banking, Financial Services and Insurance) 18%. Interestingly, the report highlighted that Bengaluru’s office spaces were primarily driven by small-sized deals.
The report noted that on a pan-India basis, the office sector recorded a gross absorption of 18 mn sqft during the same period, reflecting a 5% year-over-year growth. Bengaluru, Delhi-NCR, and Mumbai collectively accounted for approximately 64% of the total leasing activity, the report showed.
The report also said that Global Capability Centres (GCCs) office leasing during the first quarter (Jan -Mar 2025), accounted for 45% of quarterly leasing at 8 mn sqft registering a 66% year-on-year growth. In 2024, the GCC Leasing during the same period was 4.8 mn sqft and Bengaluru dominated with a 40% share, followed by Delhi-24%, Chennai-14% and Hyderabad-10%, Mumbai and Pune accounted for 6% and 5%, respectively, said the report.
Also leasing in green-certified assets accounted for 81% of total office space (14.7 mn sqft) and Bengaluru led with a 38% share in green-certified supply and 29% in leasing, followed by Delhi-NCR at 29% and 24%, respectively, the report noted.
Anshuman Magazine, Chairman and CEO - India, South-East Asia, Middle East and Africa, CBRE, said, “India’s office sector is on a solid trajectory for sustained leasing growth, driven by strategic expansions from both domestic and global occupiers. Established hubs like Bengaluru, Hyderabad, Delhi-NCR, and Mumbai continue to lead, while cities like Chennai and Pune are gaining traction due to a strong talent base and a well-positioned supply pipeline. As businesses seek quality workspaces, the demand for sustainable offices is rising, with occupiers prioritising employee experience and long-term growth.”