Domestic Firms Driving Indian Office Market Growth

20 Sep 2024 CW Team

Over the past two years, domestic firms have seen a remarkable 60% increase in office space absorption compared to the pre-pandemic period (2018-2019). They now account for nearly 47% of overall office leasing activity, with Delhi-NCR leading, followed by Bengaluru and Mumbai.

Cities like Bengaluru and Hyderabad have experienced heightened occupancy rates, driven by the e-commerce and life sciences sectors, respectively. Notably, Mumbai has captured a 43% share of domestic BFSI leasing, bolstered by contributions from Delhi-NCR and Chennai.

Prominent domestic firms, such as L&T Technology Services (545,000 sq ft in Bengaluru) and LTI Mindtree (1.2 million sq ft in Bengaluru and Chennai), are expanding their footprints to meet rising demand for tech-driven solutions. Anshuman Magazine, Chairman & CEO of CBRE, highlights that the robust growth of India's start-up ecosystem and talent pool are major demand drivers.

The office market's expansion is supported by government initiatives like the Make in India program and the Production Linked Incentive (PLI) Scheme. With a talent pool of 2.5 million STEM graduates and over 100 unicorns, the landscape is ripe for growth.

The top nine Indian cities are expected to add 185 million sq. ft. of premium office space by 2026, driven by sectors such as flexible space operators, BFSI, and technology, which together account for two-thirds of domestic leasing activity.

Overall, the demand for office space is set to remain robust, influenced by technological advancements, particularly in AI, which are anticipated to further enhance growth prospects.

The Indian office market is undergoing a significant transformation, with domestic companies projected to lease 60-65 million square feet of office space between 2024 and 2025, as reported by CBRE. This shift marks a departure from the historical reliance on global corporations, particularly those from the United States. Over the past two years, domestic firms have seen a remarkable 60% increase in office space absorption compared to the pre-pandemic period (2018-2019). They now account for nearly 47% of overall office leasing activity, with Delhi-NCR leading, followed by Bengaluru and Mumbai. Cities like Bengaluru and Hyderabad have experienced heightened occupancy rates, driven by the e-commerce and life sciences sectors, respectively. Notably, Mumbai has captured a 43% share of domestic BFSI leasing, bolstered by contributions from Delhi-NCR and Chennai. Prominent domestic firms, such as L&T Technology Services (545,000 sq ft in Bengaluru) and LTI Mindtree (1.2 million sq ft in Bengaluru and Chennai), are expanding their footprints to meet rising demand for tech-driven solutions. Anshuman Magazine, Chairman & CEO of CBRE, highlights that the robust growth of India's start-up ecosystem and talent pool are major demand drivers. The office market's expansion is supported by government initiatives like the Make in India program and the Production Linked Incentive (PLI) Scheme. With a talent pool of 2.5 million STEM graduates and over 100 unicorns, the landscape is ripe for growth. The top nine Indian cities are expected to add 185 million sq. ft. of premium office space by 2026, driven by sectors such as flexible space operators, BFSI, and technology, which together account for two-thirds of domestic leasing activity. Overall, the demand for office space is set to remain robust, influenced by technological advancements, particularly in AI, which are anticipated to further enhance growth prospects.

Infrastructure Urban

13 Oct 2025

Recycling Leaders Push for Policy Reforms in India

As India prepares for the largest recycling-focused event in its history, industry leaders are making a strong case for policy reforms to unlock the country’s circular economy potential. Ahead of the Bharat Recycling Show (BRS) 2025, co-located with Plastics Recycling Show (PRS) India, a high-level panel discussion in Mumbai spotlighted the urgent need for regulatory clarity, digital innovation, and integration of the informal sector.Held under the theme “Unlocking Circular Value: Regulatory and Market Trends in Recycling”, the panel brought together prominent voices from across the recy..

Infrastructure Energy

13 Oct 2025

Environmental Hearing Set for 1000 MW Naying Hydro Project

The environmental public hearing for the 1,000 MW Naying hydroelectric project will take place on November 12 at Yapik community hall in Shi-Yomi district, Arunachal Pradesh, officials confirmed. The run-of-the-river project on the Siyom (Yomgo) river is being developed by the North Eastern Electric Power Corporation (NEEPCO). Construction, including a concrete dam, underground powerhouse, and tunnel, is expected to commence around 2028, with commissioning planned by 2032. The project aims to generate approximately 4,966.77 GWh of electricity. The Naying project received Central Electricity ..

Infrastructure Energy

13 Oct 2025

India Achieves 490 MWh Energy Storage Capacity by June 2025

India’s cumulative energy storage capacity reached 490 MWh by June 2025, according to data released by the Central Electricity Authority (CEA). Of this, more than 85 per cent is associated with renewable energy projects, primarily solar and wind, reflecting the country’s accelerated shift towards grid stability and clean energy integration. The CEA report highlights that 16 energy storage systems are currently operational across 10 states, with major installations in Rajasthan, Gujarat, Karnataka, and Maharashtra. These include both standalone and co-located battery systems deployed by le..