+
GCCs Power Record Office Absorption in 2025: Vestian
Real Estate

GCCs Power Record Office Absorption in 2025: Vestian

Global Capability Centres (GCCs) have recently emerged as the key growth engine of India’s office market, accounting for 45 per cent of total pan-India absorption in 2025, up from 41 per cent in the previous year, according to Vestian. GCC-led leasing reached 34.9 million sq ft, registering a 20 per cent year-on-year increase.

Driven by strong GCC demand, a supportive policy environment and continued restrictions on H1-B visas, total office absorption touched a record 78.2 million sq ft in 2025. This represented an 11 per cent annual growth despite global macroeconomic uncertainty and geopolitical headwinds, highlighting the resilience of India’s office market.

To meet rising occupier demand, developers accelerated construction activity, resulting in new completions rising 8 per cent year-on-year to 55.5 million sq ft, the highest annual supply recorded in a calendar year. With absorption significantly outpacing supply, the pan-India vacancy rate declined sharply by 310 basis points to 10.8 per cent in 2025.

Bengaluru led GCC absorption with a 32 per cent share, followed by Hyderabad at 19 per cent. NCR witnessed a sharp rise in GCC activity, with the share of office space absorbed by GCCs increasing from 18 per cent in 2024 to 45 per cent in 2025, reinforcing its emergence as a major GCC destination.

Vestian noted that while IT–ITeS continued to dominate leasing activity, increasing participation from BFSI, healthcare, engineering and flex operators has added depth to demand. Office absorption is expected to continue its upward trajectory, with total absorption projected to reach 85–90 million sq ft by 2026, supported largely by sustained GCC expansion.

Global Capability Centres (GCCs) have recently emerged as the key growth engine of India’s office market, accounting for 45 per cent of total pan-India absorption in 2025, up from 41 per cent in the previous year, according to Vestian. GCC-led leasing reached 34.9 million sq ft, registering a 20 per cent year-on-year increase. Driven by strong GCC demand, a supportive policy environment and continued restrictions on H1-B visas, total office absorption touched a record 78.2 million sq ft in 2025. This represented an 11 per cent annual growth despite global macroeconomic uncertainty and geopolitical headwinds, highlighting the resilience of India’s office market. To meet rising occupier demand, developers accelerated construction activity, resulting in new completions rising 8 per cent year-on-year to 55.5 million sq ft, the highest annual supply recorded in a calendar year. With absorption significantly outpacing supply, the pan-India vacancy rate declined sharply by 310 basis points to 10.8 per cent in 2025. Bengaluru led GCC absorption with a 32 per cent share, followed by Hyderabad at 19 per cent. NCR witnessed a sharp rise in GCC activity, with the share of office space absorbed by GCCs increasing from 18 per cent in 2024 to 45 per cent in 2025, reinforcing its emergence as a major GCC destination. Vestian noted that while IT–ITeS continued to dominate leasing activity, increasing participation from BFSI, healthcare, engineering and flex operators has added depth to demand. Office absorption is expected to continue its upward trajectory, with total absorption projected to reach 85–90 million sq ft by 2026, supported largely by sustained GCC expansion.

Related Stories

Gold Stories

Next Story
Products

Interio by Godrej launches modular workplace solutions

Interio by Godrej has launched Workscapes, a modular workplace solutions category designed to help organisations configure and adapt workspaces to changing requirements. The portfolio combines mobile and compatible furniture and support elements that can be rearranged across different work modes without changes to fixed layouts.Workscapes includes Collaboration Tables, Privacy Solutions, Mobile Markerboards and Space Dividers, Power Solutions, Storage and Support Elements, Meeting and Presentation Tools, and Seating Elements. The range is designed for focused work, collaboration, informal disc..

Next Story
Infrastructure Urban

CAFE-III Gives Auto Industry Investment Clarity

The government’s new Corporate Average Fuel Economy (CAFE-III) norms have provided the automobile industry with a clearer framework for technology investments, according to industry representatives. The framework seeks to balance environmental objectives with flexibility for manufacturers while encouraging the adoption of flex-fuel vehicles and biofuels. Society of Indian Automobile Manufacturers (SIAM) President Shenu Agarwal said the five-year framework would give automakers greater predictability to plan investments and accelerate innovation. He said the regulation established annual targ..

Next Story
Infrastructure Energy

Mines Ministry to Auction Two Offshore Mineral Blocks in Andaman Sea

The Ministry of Mines will launch an auction of two offshore mineral blocks in the Andaman Sea on Thursday, seeking to unlock India’s offshore mineral potential and strengthen long-term mineral resource security. The blocks will be offered under a composite licence, which permits exploration and development activities in accordance with the applicable regulatory framework. The ministry said the auction was intended to encourage systematic exploration, attract investment and promote the use of advanced technologies for offshore mineral exploration and development. The initiative is also aimed..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code