News Stocks Global firms drive India's office demand, account for 58% of total leasing in 2025: JLLGlobal firms drive India's office demand, account for 58% of total leasing in 2025: JLL
Global companies dominated India's office leasing market in 2025, accounting for 58% of total demand with 48.6 million square feet leased across seven major cities. Total gross leasing grew 8% to 83.3 million square feet, up from 77.2 million square feet in the previous year. Global Capability Centres led this demand, taking up 31.4 million square feet, while domestic firms absorbed 34.7 million square feet. The growth was driven by India's skilled talent pool, affordable premium office space, and strategic cost advantages, with Bengaluru being the preferred destination for foreign expansion.
*this image is generated using AI for illustrative purposes only.
Global companies solidified their position as the primary drivers of India's office real estate market in 2025, leasing nearly 60% of office spaces across the country's seven major commercial hubs. According to JLL India, this trend underscores India's growing importance as a strategic business destination amid global economic uncertainties.
Market Performance Overview
The Indian office leasing market demonstrated robust growth, with gross leasing rising 8% year-on-year. The performance across key metrics highlights the market's strength:
| Metric | 2025 | Previous Year | Growth |
|---|---|---|---|
| Total Gross Leasing | 83.3 million sq ft | 77.2 million sq ft | 8% |
| Global Firms Share | 48.6 million sq ft | - | 58% of total |
| Domestic Firms Share | 34.7 million sq ft | - | 42% of total |
The data covers seven major cities: Mumbai, Bengaluru, Delhi-NCR, Pune, Hyderabad, Chennai, and Kolkata, representing India's primary commercial real estate markets.
Global Capability Centres Lead Demand
Global Capability Centres (GCCs) established themselves as the dominant force in India's office leasing landscape. Out of the total 48.6 million square feet leased by global firms, GCCs accounted for 31.4 million square feet, demonstrating their significant role in driving office space demand.
Rahul Arora, Head – Office Leasing & Retail Services, Senior Managing Director (Karnataka, Kerala), India, JLL, noted that "GCCs established themselves as the dominant force in India's office leasing market in 2025."
Key Growth Drivers
Several factors contributed to India's appeal for global firms:
• Skilled English-speaking talent pool providing competitive advantage • Premium office space availability at affordable rental rates • Strategic cost advantages compared to other global markets • Operational agility and future-ready workplace ecosystems
Bengaluru emerged as the most preferred destination for foreign firms seeking business expansion, reinforcing its position as India's technology and innovation hub.
Market Dynamics and Future Outlook
The coworking sector also contributed to market activity, with operators actively participating in office leasing amid rising demand for managed office spaces. Shesh Rao Paplikar, Founder & CEO of BHIVE Workspace, emphasized that "GCCs today are not just looking for desks, but future-ready workplace ecosystems that align with global sustainability mandates, talent expectations, and operational agility."
Aashit Verma, Founder, Hanto Workspace, highlighted that India's escalating office leasing activity, particularly within flexible workspaces, serves as "a strong testament to the country's economic growth." The surge in demand is fundamentally driven by the deep talent pool, availability of high-quality Grade A spaces, and strategic cost advantages.
JLL's gross leasing data encompasses all lease transactions recorded during the period, including confirmed pre-commitments, but excludes term renewals, providing a comprehensive view of new market activity and expansion trends.
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