Pune has emerged as India’s third-largest software export hub with its IT exports doubling in the last five years to ₹1.05 lakh crore. This expansion has propelled strong demand for commercial real estate and driven growth in Global Capability Centres (GCCs). The city’s balanced economy, infrastructure upgrades, and affordable office rents have further strengthened its position as a thriving IT and business destination.
IT Exports Double and Pune Emerges as a Top Hub
According to a recent report by JLL in association with NAREDCO, Pune’s IT exports have more than doubled over five years, reaching ₹1.05 lakh crore. This surge has helped the city secure its place as the third-largest software export hub in India, following Bengaluru and Hyderabad. The growth is supported by a sizable and diverse GCC ecosystem, with over 360 centres spread across banking, manufacturing, and technology sectors, enhancing employment and innovation opportunities.
Real Estate Market Benefits from IT and GCC Growth
Pune now accounts for 13% of India’s upcoming ‘Grade A’ office space pipeline, projected at 223 million sq. ft by 2028. The city’s current operational Grade A office stock stands at 89.2 million sq. ft, making it a hotspot for commercial real estate. Office rents average ₹82.3 per sq. ft per month, which is 14% below the national average, offering considerable cost advantages. This affordability, combined with lower congestion and improving connectivity through expanding roads and metro lines, attracts enterprises and supports office leasing and housing demand.
Economic Diversification and Manufacturing Resilience
Beyond IT, Pune’s economy is well-balanced, with manufacturing thriving especially in MIDC clusters. The city has added a significant number of industrial and commercial units post-pandemic, and its MSME base is the largest in Maharashtra. This diversification creates a resilient economic environment that fuels sustained demand in real estate and job creation.
Infrastructure and Sustainability Driving Future Growth
Infrastructure upgrades, including better road networks and metro expansions, are enhancing connectivity between residential, commercial, and industrial areas. Nearly 97% of new office supply over the next three years is expected to be green-certified, reflecting a strong emphasis on sustainability. With an estimated 4 lakh new jobs projected in the next five years, both office and housing markets are poised for substantial growth.
The FlexInsights Take
Pune’s rapid rise as a tech and business powerhouse is a textbook example of balanced urban growth powered by a mix of IT, GCC, manufacturing, and sustainable real estate development. Competitive office rents, strategic infrastructure investments, and a diversified economy make Pune a compelling choice for enterprises looking to expand in India. The city’s focus on green buildings and seamless connectivity further positions it well for long-term resilience and an attractive living and working environment.
