Pune’s commercial real estate sector is witnessing a strong surge, fueled by rising demand for flexible office spaces and the expansion of Global Capability Centres (GCCs). According to Knight Frank India, the city clocked 37 lakh sq ft of office leasing in Q1 2025—up 91% from last year, which stood at 19 lakh sq ft.

Overseas tech companies are driving much of this growth, hiring Indian IT talent and setting up captive centres. Leasing by GCCs alone hit 11 lakh sq ft in the first quarter, a steep jump from just 3 lakh sq ft a year ago. While Bengaluru continues to lead with 127 lakh sq ft in total transactions, Pune is emerging as a competitive player, now trailing only Hyderabad, which recorded 40 lakh sq ft.

Flexible office space remains dominant in Pune, comprising 43% of total leasing activity. That translates to 16 lakh sq ft of coworking and shared space transactions in Q1. “The city is also witnessing increased traction from GCCs looking to be closer to their talent pool, supported by a strong supply of high-quality office spaces,” said Amit Ramani, Managing Director of Awfis Space Solutions.

This shift towards flex spaces is also helping companies cut real estate costs. Consultancy firm Cushman & Wakefield reported that the number of flexible seats leased in Pune rose by 70% in 2024—jumping from 23,000 to 39,000 seats. The surge underscores a growing preference for agile work setups in a cost-sensitive environment.

Key micro-markets like Baner-Balewadi and the city centre now account for 75% of Pune’s total flex stock. Meanwhile, emerging hotspots like Vimannagar and Kharadi are fast becoming attractive destinations for GCCs and coworking providers.

With its robust tech talent pool and expanding infrastructure, Pune is positioning itself as a central hub in India’s flexible workspace and GCC-driven real estate landscape.