Bengaluru Leads GCC Office Space Leasing

India’s office space sector is experiencing robust growth, with Global Capability Centers (GCCs) playing a crucial role. Bengaluru has emerged as the leading hub, leasing 24.18 million sq. ft. of office space in 2023 and 2024—almost half of the total GCC leasing across the country’s top seven cities, according to ANAROCK Research.

The report states, “GCCs leased approx. 52.88 mn. sq. ft. of gross office space across the top 7 cities in the last two years.” Bengaluru led the charge with 11.5 million sq. ft. leased in 2023 and 12.68 million sq. ft. in 2024, reflecting a steady 10% year-on-year increase.

Hyderabad, Chennai, and Pune Show Rising Demand

While Bengaluru dominated the market, Hyderabad ranked second with 10.06 million sq. ft. leased, though it saw a 6% decline in 2024 compared to the previous year. Chennai and Pune, however, experienced significant jumps, with GCC leasing activity increasing by 64% and 52%, respectively.

In the National Capital Region (NCR), GCCs leased 5.09 million sq. ft., marking a modest 4% annual rise, while Mumbai saw a 35% increase with 2.82 million sq. ft. leased in two years. Kolkata lagged, recording just 0.15 million sq. ft. in 2024 and none in 2023.

Government Initiatives Driving Future Expansion

The Union Budget 2025-26 is expected to accelerate the spread of corporate offices into Tier 2 and Tier 3 cities, reducing dependence on significant metros. This shift could reshape India’s office space market, with increased demand for flexible workspaces and coworking hubs.

As GCCs expand, the demand for premium office space is rising. With Bengaluru at the forefront, India’s commercial real estate sector is evolving rapidly, setting new benchmarks for the coworking and corporate office landscape.