Office leasing in India reached a record 43 million square feet in the first half of 2026, according to real estate consultancy Cushman & Wakefield, marking a 5% year-on-year increase despite prevailing global macroeconomic uncertainty. This is the highest ever leasing volume achieved in the first half of a calendar year, reflecting the structural strength of India's office market.
GCCs Drive Record Leasing
Global capability centres (GCCs) remained the principal growth engine of India's office market, leasing approximately 16.5 million square feet during H1 2026, accounting for 38% of total leasing activity. This represents a robust 38% year-on-year increase in GCC leasing volumes.
Geographically, four cities dominated GCC leasing: Bengaluru, Pune, Delhi NCR, and Mumbai together accounted for nearly 80% of total GCC leasing during the first half of the year.
Supply Constraints and Vacancy Trends
Supply additions across India's top eight cities stood at approximately 21 million square feet in H1 2026, reflecting a 10% year-on-year decline. However, supply momentum picked up in Q2 2026, with new completions reaching around 12 million square feet, a 40% quarter-on-quarter increase.
Vacancy levels have fallen to their lowest point since the pandemic, according to Cushman & Wakefield. The consultancy noted that active demand of around 80 million square feet remains in the market, putting pressure on availability of quality office space.
"The first half of 2026 highlights a market where demand continues to outpace the availability of quality office space across several key locations. There is an active demand of around 80 million square feet in the market and with vacancy levels falling to their lowest point since the pandemic, occupiers are increasingly evaluating space requirements well in advance, particularly in markets where availability of quality assets is becoming more constrained."
— Veera Babu, Executive Managing Director, Tenant Representation - India, Cushman & Wakefield
Market Outlook
The record leasing activity underscores the resilience of India's office market amid global headwinds. With GCCs driving structural demand and supply growth lagging, occupiers are expected to plan space requirements earlier to secure quality assets. The data, published on July 4, 2026, suggests that the market is entering a phase where demand-supply dynamics may lead to further rental appreciation and pre-commitments.
For investors and corporate occupiers, the key takeaway is the sustained growth in GCC-led demand, particularly in Bengaluru, Pune, Delhi NCR, and Mumbai, while supply constraints may create opportunities for developers with ready-to-move-in projects. The coming quarters will reveal whether supply can catch up with the robust demand trajectory.
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