Green office revolution: India's top 7 cities see 65% growth in sustainable workspaces since 2019
According to the latest data from ANAROCK Research, green-certified Grade A office stock across India's top seven cities rose by 65% since 2019, reaching approximately 530 million sq.
ft. in H1 2025, up from 322 million sq. ft. six years ago.
Today, 61% of the total 865 million sq. ft. of Grade A office space in these seven cities—Bengaluru, Mumbai Metropolitan Region (MMR), National Capital Region (NCR), Hyderabad, Chennai, Pune, and Kolkata—is green-certified under standards such as LEED, IGBC, and GRIHA. Bengaluru leads with the largest chunk of green-certified space, boasting nearly 163 million sq.
ft., which accounts for 73% of its total Grade A office supply of 223 million sq.
ft.
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NCR follows with 97 million sq. ft. of green-certified stock, about 62% of its total 157 million sq. ft. Hyderabad also reports 62% of its 140 million sq. ft. stock as certified green. In contrast, MMR lags with only 47% of its 144 million sq. ft. office space certified green. Kolkata remains at the bottom, with just 17.4 million sq. ft. certified, amounting to a mere 3% of the total green stock.
In the first half of 2025 alone, the seven cities witnessed 26.85 million sq. ft. of net office space absorption, of which over 74%—or roughly 19.93 million sq. ft.—was leased in green-certified buildings. Bengaluru once again outperformed with 80% of its 6.6 million sq. ft. net absorption coming from green buildings. NCR, Chennai, Pune, and Kolkata saw 76%, 76%, 76%, and just 7% of their leasing share, respectively, absorbed in green-certified offices.
While green-certified buildings command up to 24% higher rentals compared to their non-certified counterparts, they are also faring better on vacancy metrics. Across the top cities, the average vacancy rate for green-certified office space is 14%, lower than the 16.3% seen in non-green buildings. In MMR, green-certified spaces report a vacancy rate of just 8%, significantly lower than the 15.1% recorded for non-certified offices.
Chennai, however, bucks the trend, with green-certified vacancies slightly higher at 13%, compared to 9.1% for regular Grade A spaces.
In terms of rents, green buildings in MMR fetch an average of ₹177 per sq. ft. per month—24% higher than ₹143 for regular offices. Chennai sees a 16% rent premium for green stock, while Kolkata records the narrowest margin at just 4%, with green buildings averaging ₹64.5 per sq. ft. compared to ₹62 in conventional Grade A spaces.
'The surging popularity of green office buildings across India is not merely a passing trend, but a strategic imperative in line with the nation's bold climate ambitions,' said Anuj Puri, Chairman, ANAROCK Group. 'India committed to achieving net-zero emissions by 2070, and to expanding its non-fossil energy capacity to 500GW by 2030. Green office buildings are a major link in this equation.'
Puri added that while the push for sustainability partly stems from govt policy, it is largely driven by demand from multinationals and global capability centres (GCCs), many of whom insist on operating from certified green spaces.
This trend has yet to catch on in the residential sector, where green-certified housing remains relatively scarce.
India's commercial real estate, however, appears to be leading the charge. As the country positions itself as a hub for responsible global business, the growing stock of sustainable office infrastructure is becoming a key differentiator—one that is increasingly essential to attracting high-value international occupiers and aligning with global environmental commitments.
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