Net office absorption in India’s top seven cities hit a new high of around 55.16 million square feet in 2025, as per a report by Anarock. This marked a 10% increase from the previous year’s 49.95 million sq ft. Bengaluru led in office leasing with 14.15 million sq ft, although it experienced a 5% annual decline in net leasing.
Pune saw the most significant growth in net absorption at 63%, reaching about 7.8 million sq ft from 4.8 million sq ft. Mumbai Metropolitan Region (MMR), Chennai, Hyderabad, and Delhi-NCR also recorded increases in net absorption by 15%, 12%, 9%, and 7%, respectively.
New office completions in these cities rose by 8% to about 51.83 million sq ft, with Bengaluru contributing approximately 13.5 million sq ft. Pune witnessed a remarkable 103% yearly surge in new office supply to over 10.60 million sq ft, while Kolkata had the highest percentage jump in completions at 317%.
Peush Jain, MD-Commercial Leasing and Advisory at Anarock Group, stated that India’s office real estate market flourished in 2025 due to robust economic growth. Global Capability Centers (GCCs) led the growth, accounting for 41% of gross absorption. Major US companies are increasingly acquiring large office spaces in key Indian cities.
IT/ITeS accounted for 27% of leasing, followed by coworking at 23% and BFSI at 18%. Office space vacancies decreased to 16.10% from 16.50%, and average monthly rentals rose by about 6% to Rs 92 per sq. ft, according to the report.
