Market Report
The Connect Q1 2026
Get access to the full Market Report
Key Insights
1
Over 21 Mn sq ft of absorption
2
~10 Mn sq ft of new completions
3
Single-digit vacancy of 9.5%
Key Takeaways
- India’s top seven office markets recorded 21.53 Mn sq ft of absorption in Q1 2026, up 20% YoY and largely stable QoQ despite West Asia geopolitical tensions. This resilience was driven by strong market fundamentals, sustained investor confidence, and robust GCC demand supported by tighter H1B visa norms and cost arbitrage.
- GCCs accounted for 53% of the pan-India absorption in Q1 2026, reaching 11.5 Mn sq ft. Bengaluru continued to lead absorption by GCCs with 36% share, whereas Hyderabad and Pune emerged as strong contenders for the second spot, each capturing 21% share.
- With vacancy levels tightening across major office hubs, pre-commitments are expected to rise as occupiers seek to secure high-quality Grade A office spaces at competitive rentals. This trend may also drive an increase in the average deal size, particularly among large corporates.
%
%
%
No items found.
No items found.
