State Bank of India has acquired a 15-storey office building and leasehold land in Pune’s Kharadi Knowledge Park for ₹414 crore to house its Maharashtra Circle office. The deal comes as Pune records a decade-high office absorption, with the flexible workspace and engineering sectors driving demand across the city.
State Bank of India (SBI) has acquired leasehold rights to an 8,581-square-metre land parcel along with ownership of a 15-storey office building at Kharadi Knowledge Park in Pune for ₹414 crore. The property will serve as the Local Head Office for SBI’s Maharashtra Circle, adding a significant institutional occupier to one of Pune’s established commercial districts.
The transaction includes a basement, stilt and 15 floors, with 200 car parking spaces. According to deal documents accessed through real estate data firm CRE Matrix, the building has a completed built-up area of 17,101.23 square metres. The deed of assignment was registered on August 14, 2026, with the transaction attracting ₹28.98 crore in stamp duty.
Kharadi Strengthens Its Position as a Business Hub
SBI’s acquisition comes at a time when Pune’s office market is recording strong leasing momentum. The Kharadi-Viman Nagar belt has developed into an important business corridor, attracting large occupiers across technology, financial services, engineering and other sectors.
The bank had invited bids in 2023 for ready-built office premises across Kharadi, Viman Nagar and Baner for its Maharashtra Circle office. The eventual acquisition in Kharadi highlights the growing preference among large institutions for established commercial locations with ready infrastructure.
For the wider office market, the transaction also underlines the importance of large, ready-to-occupy assets as companies seek efficient workplaces in well-connected business districts.
Pune Records Decade-High Office Absorption
The SBI deal follows a strong first half for Pune’s commercial real estate market. According to Savills India, the city recorded 6.4 million square feet (msf) of gross office absorption in H1 2026, marking a 56% year-on-year increase and the highest half-yearly absorption level in the past decade.
Pune also emerged as India’s second-largest office market after Bengaluru during the period. Demand was led by IT-BPM, flexible workspace operators, and engineering and manufacturing companies. Notably, engineering and manufacturing replaced BFSI among the city’s top three demand drivers.
The performance reflects Pune’s expanding occupier base and its ability to attract both traditional enterprises and flexible workspace providers.
Institutional Demand Could Support Further Growth
SBI’s acquisition adds to a broader trend of institutional occupiers committing to established office locations rather than relying entirely on leased or fragmented premises. For landlords and developers, such transactions can provide greater stability and reinforce the attractiveness of established office hubs.
For Pune’s flexible workspace sector, the continued expansion of large occupiers is also significant. As companies grow, demand for managed offices, satellite locations and flexible capacity can rise alongside conventional office requirements.
With strong absorption, expanding infrastructure and a diversified demand base, Pune’s office market is entering the second half of 2026 from a position of strength. The SBI acquisition is another indicator that major institutions continue to see long-term value in the city’s commercial real estate ecosystem.
