India is officially projected to lead the Asia-Pacific (APAC) region in new Grade-A office supply. According to a recent CBRE report, India will account for nearly 40% of the total upcoming office space across the region by 2026.
Key Market Projections
The APAC office market is expected to witness approximately 61.3 million square feet of new Grade-A supply. India’s leading position is fueled by:
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Institutional Growth: A massive ₹5.9 trillion expansion in the India REIT market is driving high-quality asset development.
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Strategic Hubs: Bengaluru is set to be the single largest contributor in APAC, adding 12.1 million square feet of space.
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Regional Dominance: Together with mainland China, India will represent over 75% of the total new supply in the region.
Why Demand Remains Strong
Despite the influx of new supply, leasing momentum remains steady. Multinational corporations are increasingly viewing the country as a primary base for global operations. This is particularly evident in cities like Bengaluru, which is transitioning from a tech hub to the “GCC Valley of the World”.
Key drivers for this demand include:
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Rapid growth of Global Capability Centres (GCCs).
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Expansion of AI-driven enterprises.
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A shift toward high-quality, sustainable “Grade-A” buildings.
The Developer Response
To keep pace with this demand, major developers are launching landmark projects to redefine the city skylines. For example, the Sattva Group has proposed a 100-meter high-rise in South Bengaluru, signaling a move toward more vertical, high-density commercial infrastructure.
With robust absorption levels and a clear pipeline of completions, India’s office market is positioned to remain the central pillar of the APAC commercial real estate landscape through 2026.
