Pune office market sees record 2 million sq ft absorption in Q1 2025
Pune accounted for 15% of all office space absorbed across India this quarter, behind only Delhi NCR (3.1 million sq ft), Mumbai (2.9 million sq ft), and Bengaluru (2.5 million sq ft)
City’s office real estate market recorded strong growth in the first quarter of 2025, with net absorption touching a historic 2.07 million sq ft—up 21% from the previous quarter and 59% year-on-year, according to Cushman & Wakefield’s latest Office MarketBeat Report.
The surge was driven by companies moving into spaces they had pre-committed to earlier, especially in the Banking, Financial Services, and Insurance (BFSI) and flex workspace sectors.
Pune accounted for 15% of all office space absorbed across India this quarter, behind only Delhi NCR (3.1 million sq ft), Mumbai (2.9 million sq ft), and Bengaluru (2.5 million sq ft).
Gross leasing volume (GLV) in Pune also hit an all-time high of 3.5 million sq ft—a 100% jump from the previous quarter and a 200% increase over last year. GLV includes new leases, renewals, and pre-leases and reflects total market activity.
Pune contributed 17% to India’s overall GLV of 20 million sq ft, ranking among the top three cities alongside Bengaluru (4.9 million sq ft) and Mumbai (million sq ft).
Moinuddin Patel, managing director, Pune, Cushman & Wakefield, said, “Pune has evolved into a strategic hub for global firms. It’s no longer just cost-effective—it offers talent, infrastructure, and quality of life. With nearly 10 million sq ft of office supply expected in 2025 and another 11 million sq ft in 2026, the city’s growth story is set to continue.”
On the supply side, Pune saw a record 3.2 million sq ft of new Grade-A office space in Q1—a 53% QoQ and over 90% YoY rise.
Rents remained steady, with a 0.5% QoQ rise, showing market resilience despite the high supply.