Office Space Leasing in India Soars: Major Growth in Key Cities

India's office space leasing sector experienced a significant uptick during the April-June 2025 quarter, with a reported 11% rise to 178 lakh sq ft across seven major cities, fueled by robust corporate demand. This growth comes despite prevailing global economic uncertainties, according to a report by real estate consultant Colliers India.

Leasing activities surged in notable cities including Bengaluru, Chennai, and Hyderabad, while Mumbai was the only city where leasing declined. The gross absorption figures exclude lease renewals, pre-commitments, and deals pending finalization. "India's office market continues its upward trajectory in 2025," said Arpit Mehrotra, Managing Director of Office Services at Colliers India.

As of the June quarter, a substantial portion of the office space—135 lakh sq ft—was directly acquired by corporates, with co-working operators accounting for the remainder. Industry leaders anticipate the total demand to reach 65-70 million sq ft by the end of the year, emphasizing competitive operating costs and the rise of build-to-suit facilities.

(With inputs from agencies.)