Bengaluru Leads Asia-Pacific Office Leasing; India to Hold 40 per cent

27 Feb 2026 CW Team

Bengaluru has emerged as the frontrunner in office leasing across the Asia-Pacific (APAC) region as India is likely to supply 40 per cent of the region's office stock by 2026, according to a recent report. The trend reflects sustained demand for workspace in major Indian cities and a sizeable pipeline of new developments. Market participants expect leasing volumes to remain concentrated in key technology and commercial hubs.

Occupier demand is being driven by expanding technology firms, outsourcing providers and professional services that favour modern, energy efficient premises. Corporates are prioritising location, amenities and sustainability credentials when selecting offices. Flexible workspace and hybrid working models continue to shape requirements while large floorplates remain attractive to multinational tenants.

On the supply side, developers are advancing several large projects in Bengaluru and other Indian cities, adding modern stock that appeals to global occupiers. This pipeline is expected to alleviate shortage concerns but may also introduce short term pressure on rents in select micro markets. Vacancy trends will vary by city and grade as new completions come online.

Investors are likely to view the concentrated growth in India as an opportunity for portfolio expansion, particularly in assets that offer stable income and potential for capital appreciation. Developers and landlords are anticipated to focus on pre leasing, green certifications and tenant retention strategies to optimise returns. Capital markets activity may track leasing momentum as confidence in long term demand strengthens.

Overall, the pattern suggests that India, led by Bengaluru, will play an outsized role in shaping office market dynamics across the Asia-Pacific region through 2026. Stakeholders are advised to monitor supply timelines and occupier preferences as the market adjusts to new additions and evolving workplace practices.

Infrastructure Urban

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