India’s office real estate market has started 2026 on a positive note, with leasing activity reaching 18.3 million square feet in the January–March quarter. This reflects a 15% increase from the same period last year, as reported by Colliers India. Major cities like Bengaluru and Hyderabad were key drivers, contributing to almost half of the total leasing activity at 8.7 million square feet.
The demand for office space in cities like Mumbai, Pune, Delhi NCR, and Chennai also remained robust, with each recording leasing between 2 and 3 million square feet. Hyderabad and Pune notably experienced more than double the demand compared to the previous year. India continues to attract global firms, with Global Capability Centers (GCCs) playing a significant role in the country’s office market.
The supply side saw new office space additions of 11.8 million square feet in the first quarter, marking a 19% increase year-on-year. Bengaluru led in new completions, accounting for nearly half of the total additions, followed by Delhi NCR. Conventional office leasing dominated the market, representing 14.4 million square feet of the total demand, with technology and BFSI companies being the primary drivers.
Technology firms, in particular, played a significant role in conventional leasing, contributing 36% of the demand. Bengaluru and Hyderabad emerged as top destinations for technology companies. Flexible workspace operators also saw a surge in leasing activity, with a 77% increase year-on-year to nearly 4 million square feet, constituting 21% of overall leasing. Delhi NCR and Hyderabad led in this segment, with cities like Kolkata and Delhi NCR showing strong adoption of flexible workspaces.
