India's Leap Towards Sustainable & Innovative Workspace Design
- Industry News
- March 13, 2024

Gujarat’s commercial real estate market is entering a new growth phase, driven by GCC expansion, GIFT City and improving infrastructure. Industry leaders say future demand will depend on Grade-A offices, larger floorplates, access to talent, transit, hospitality, and social infrastructure, allowing Ahmedabad and Tier-II cities to attract global occupiers.
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India’s office leasing grew 7% year-on-year to 41.6 million sq. ft. during the first half of 2026, according to Savills India. Strong demand from GCCs, technology firms, BFSI, and flexible workspace operators, combined with balanced office supply, continues to strengthen the country’s commercial real estate market despite global uncertainties.
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Commercial real estate lending in India continues to accelerate as record office leasing, GCC expansion, flexible workspace demand and data centre investments drive financing activity. Banks and NBFCs are increasing exposure to organised developers backed by stronger balance sheets, while RERA-led discipline is creating a healthier lending environment.
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India leased a record 21.5 million sq ft of office space in Q1 2026. GCC demand grew 43% year-on-year while new completions fell 36%. The result: the tightest concentration Bengaluru’s office market has seen in five years — and most 2026–27 term sheets aren’t pricing it in.
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Hyderabad recorded its highest-ever first-half office leasing volume of 7.5 million sq. ft. in H1 2026. GCCs accounted for 45% of total leasing, while vacancy levels fell to 11.5% and office rents increased by 7%. The city’s residential market also remained stable with steady sales and launches.
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Target Corporation India has leased 8.31 lakh sq. ft. of office space at Embassy Manyata Business Park in Bengaluru under a 10-year agreement valued at nearly ₹1,250 crore. The landmark transaction highlights growing demand from Global Capability Centres (GCCs) and strengthens Bengaluru’s position as India’s leading office leasing market.
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