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India Drives APAC Office Leasing Growth in 2025: Colliers
Real Estate

India Drives APAC Office Leasing Growth in 2025: Colliers

Office demand across Asia Pacific’s 11 major markets reached 9.8 million sq m (105.5 million sq ft) in 2025, marking an 11 per cent year-on-year increase, according to Colliers’ Asia Pacific Office Market Insights February 2026 report. India, Mainland China and Japan accounted for over 90 per cent of the region’s total demand during the year, with India emerging as the dominant leasing market.

India alone contributed nearly 68 per cent of total office leasing across the region and accounted for 55 per cent of new office supply among the top 11 APAC markets in 2025. The report highlights that India continues to strengthen its position as a major demand centre and investment destination for commercial real estate.

Across the region, new office supply rose 19 per cent year-on-year to 9.6 million sq m (103.3 million sq ft), largely led by India, Mainland China and Singapore, which together accounted for around 82 per cent of the total supply added during the year. Several markets, including the Philippines, New Zealand and Hong Kong, also recorded strong growth in leasing activity, albeit from smaller bases.

Institutional investments in the APAC office sector increased 21 per cent year-on-year to US$58.6 billion in 2025, reflecting strong investor confidence in the region’s commercial real estate market.

Arpit Mehrotra, Managing Director, Office Services, Colliers India, noted that office demand across key APAC markets remained resilient despite geopolitical uncertainties. He said that stronger domestic growth across major economies, controlled inflation and a more accommodative interest rate environment have supported leasing demand and investments in the sector.

Vimal Nadar, National Director and Head of Research, Colliers India, highlighted that India’s office market continues to benefit from steady economic growth, a strong occupier base and the expansion of global capability centres (GCCs). These factors are expected to support sustained demand and reinforce India’s role as a preferred destination for long-term office investments.

Looking ahead, Colliers expects both demand and supply to remain strong during the first half of 2026, driven by occupiers’ growing preference for high-quality, future-ready office spaces. With vacancy tightening in prime locations and supply remaining uneven across markets, rental growth is likely across key business districts in the region.

The report also suggests that Asia Pacific’s office sector is entering a more strategic phase where occupiers will prioritise location quality, operational efficiency and long-term value over expansion scale when making real estate decisions.

Office demand across Asia Pacific’s 11 major markets reached 9.8 million sq m (105.5 million sq ft) in 2025, marking an 11 per cent year-on-year increase, according to Colliers’ Asia Pacific Office Market Insights February 2026 report. India, Mainland China and Japan accounted for over 90 per cent of the region’s total demand during the year, with India emerging as the dominant leasing market.India alone contributed nearly 68 per cent of total office leasing across the region and accounted for 55 per cent of new office supply among the top 11 APAC markets in 2025. The report highlights that India continues to strengthen its position as a major demand centre and investment destination for commercial real estate.Across the region, new office supply rose 19 per cent year-on-year to 9.6 million sq m (103.3 million sq ft), largely led by India, Mainland China and Singapore, which together accounted for around 82 per cent of the total supply added during the year. Several markets, including the Philippines, New Zealand and Hong Kong, also recorded strong growth in leasing activity, albeit from smaller bases.Institutional investments in the APAC office sector increased 21 per cent year-on-year to US$58.6 billion in 2025, reflecting strong investor confidence in the region’s commercial real estate market.Arpit Mehrotra, Managing Director, Office Services, Colliers India, noted that office demand across key APAC markets remained resilient despite geopolitical uncertainties. He said that stronger domestic growth across major economies, controlled inflation and a more accommodative interest rate environment have supported leasing demand and investments in the sector.Vimal Nadar, National Director and Head of Research, Colliers India, highlighted that India’s office market continues to benefit from steady economic growth, a strong occupier base and the expansion of global capability centres (GCCs). These factors are expected to support sustained demand and reinforce India’s role as a preferred destination for long-term office investments.Looking ahead, Colliers expects both demand and supply to remain strong during the first half of 2026, driven by occupiers’ growing preference for high-quality, future-ready office spaces. With vacancy tightening in prime locations and supply remaining uneven across markets, rental growth is likely across key business districts in the region.The report also suggests that Asia Pacific’s office sector is entering a more strategic phase where occupiers will prioritise location quality, operational efficiency and long-term value over expansion scale when making real estate decisions.

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