- India’s GDP grew 7.8% in 2025, led by real estate (9.5%), Trade, Hospitality & Transport (8.6%), manufacturing (7.7%), and construction (7.6%). Retail inflation hit an eight-year low of 1.61% in July 2025 before edging up to 2.07% in August 2025 on rising food prices. While Wholesale Price Index (WPI) turned positive at 0.52% in August 2025 after two months of deflation.
- India’s office real estate sector continued its strong momentum in Q3 2025, with net absorption to 17.8 mn sq. ft. across the top eight cities, led by Delhi NCR and Bengaluru. GCCs accounted for 32% of overall leasing activity, supported by ~16 million sq. ft. of new completions during the quarter.
- Bengaluru remains India’s largest office market with ~217 million sq. ft. of Grade A stock (24% of India’s total) and cumulative absorption of 185.5 million sq. ft. The city added 4.08 million sq. ft. of new supply and clocked 4.79 million sq. ft. of gross leasing in Q3 2025. Key demand drivers included technology (27%), FMCG & retail (23%), and engineering & manufacturing (14%), helping Bengaluru capture 27% of India’s total office demand.
- Bengaluru is projected to deliver 16 mn sq ft of new office supply in 2025 , with 12.18 mn sq ft added by Q3 2025, solidifying its position as India's top office market. Strong interest from GCCs, IT, and flex workspace occupiers drove absorption to 15.2 mn sq ft by Q3 and full-year demand expected to reach 18–19 mn sq ft.
- India’s Global Capability Centres (GCCs) are projected to grow from around 1,800 today to 5,000 by 2030, driving demand for 50-65 mn sq ft of Grade A office space in FY26-27 alone, contributing up to 40% of India’s total office leasing; this surge fuels office space absorption, rental growth, and development of tech-enabled, flexible workspaces primarily in Bangalore, Hyderabad, Mumbai, and Delhi NCR.
