Colliers says India’s Grade A demand may reach ~70 million sq ft in 2025, with around 60 million sq ft of new supply. Occupiers are prioritising quality, hybrid work, sustainability, and inclusivity. “Over 80%” of the upcoming Grade A supply is green-certified, while flex could “drive nearly 20%” of demand, reshaping workplace strategy.
India’s office market remains resilient despite global trade frictions. Colliers’ latest analysis indicates robust Grade A absorption across the top seven cities, with demand poised to reach approximately 70 million square feet in 2025, and new supply tracking closely behind at roughly 60 million square feet. This steady pipeline is reinforcing a clear flight-to-quality, where occupiers are picking buildings that deliver better infrastructure, sustainability, and experience—pushing rentals and raising the bar for the entire market.
Flex Gains: From Optional to Essential
Flex is now a strategic lever for cost control and speed to occupancy, not a stopgap. As companies mature their hybrid models and implement return-to-office mandates, flexible workspaces are addressing the need for agility and capital-expenditure-light expansion. As Vimal Nadar, National Director & Head of Research, Colliers India, put it: “Flex spaces have established themselves as a vital component of India’s office landscape… With their rising adoption across diverse sectors, flex spaces are expected to drive nearly 20% of the Grade A office demand and redefine the future of Indian workplaces over the next few years.”
Quality + Sustainability: The New Occupier Baseline
Developers are prioritising wellness-forward design, collaboration zones, and tech-ready infrastructure. The sustainability bar is also rising fast. Arpit Mehrotra, Managing Director, Office Services, India, Colliers, noted: “Indian occupiers are clearly shifting towards sustainability, and there is an evident flight-to-quality, driving the next phase of workplace evolution in 2026 and beyond. With over 80% of upcoming Grade A supply expected to be green-certified, the industry’s commitment to environmental goals is commendable.” For occupiers under investor and board scrutiny, this helps close the ambition–action gap in ESG while reducing long-term operating risk.
Hybrid and Inclusivity: Policy Meets People
Across the APAC region, companies are investing in workplace quality, technology, and inclusive strategies as they refine their hybrid policies. India stands out for emphasising inclusivity—designing spaces that consider generational needs—while also aligning leadership, employee experience, and space planning. The result: portfolios that merge core-and-flex footprints with clear attendance protocols, supported by analytics, change management, and fit-for-purpose amenities.
What to Watch in 2026
Three themes will shape the next cycle. First, core-and-flex models will become the default strategy for navigating uncertainty and scaling efficiently. Second, “green by design” will move from certification to performance, with data-led energy optimisation and procurement standards. Third, experience will matter more: workplace choice will hinge on social connection, wellbeing, and frictionless tech. If 2025 is about momentum, 2026 is about execution—turning ambition into action across quality, sustainability, and flexibility.
