India office market set to cross one billion sq ft of office stock: Report
According to the report, the cumulative office stock across the top eight Indian cities stood at 993 million sq ft as of H1 2025. From under 200 million sq ft in 2005 to nearly one billion sq ft in 2025, office supply has grown at a CAGR of 8.6% in the last 20 years.
Bengaluru
, with 229 million sq ft, accounts for 23% of India's total office stock and continues to lead among metro cities. It is followed by the National Capital Region (NCR) with 199 million sq ft (20%), and
Mumbai
with 169 million sq ft (17%). These three regions collectively contribute to 60% of India's office supply.
Hyderabad, Pune, and Chennai together account for 33% of the stock, while Ahmedabad and Kolkata contribute the remaining 7%.
Shishir Baijal, chairman and managing director of the company said, "As we prepare to cross the 1 billion sq ft threshold, it's not just a number, it reflects the growing institutionalisation, maturity, and global relevance of India's office market."
India's office inventory is currently valued at ₹16 trillion (USD 187 billion). Of this, Grade A office space makes up 53%, followed by Grade B at 43%, and Grade C at 4%. Cities such as Bengaluru, Hyderabad, and Chennai have a higher share of Grade A assets, driven largely by IT and Global Capability Centre (GCC) demand.
In contrast, legacy markets such as Mumbai and NCR have a more balanced distribution across grades. Kolkata has the highest concentration of Grade C spaces, at 11%, indicating a need for asset upgrades and redevelopment in the region.
One distinguishing factor for India's office market is its cost advantage. Average rents are expected to decline to USD0.96 per sq ft per month in 2025, reinforcing India's reputation for cost-efficiency on the global stage. This affordability, combined with a rising supply of Grade A space, has fueled the growth of GCCs and strengthened India's position in multinational real estate strategies.
The report forecasts that India could add its next one billion sq ft of office stock between 2036 and 2041, depending on the pace of market expansion. Under a high-growth scenario of 12.7% CAGR, this milestone could be achieved by 2036, while a more conservative estimate of 10.9% CAGR would place the next threshold by 2041.
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