Foreign firms lease over 62% of office space across top nine Indian cities between Jan-March: CBRE

Out of 180 lakh sq ft gross leasing of office space, foreign firms rented 111.6 lakh sq ft while domestic firm 68.4 lakh sq ft

Out of 180 lakh sq ft gross leasing of office space, foreign firms rented 111.6 lakh sq ft while domestic firms 68.4 lakh sq ft between January and March across nine major cities, according to a CBRE report on April 4.

Out of 180 lakh sq ft gross leasing of office space, foreign firms rented 111.6 lakh sq ft while domestic firms 68.4 lakh sq ft between January and March across nine major cities, according to a CBRE report. (Picture for representational purposes only) (Pexels)

Foreign firms rented 62% of 180 lakh sq ft office space leased in Jan-Mar across 9 cities, it said.

On a pan-India basis, the office sector recorded a gross absorption of 18 million sq ft in the same period, reflecting a 5% year-over-year growth. Bengaluru, Delhi-NCR, and Mumbai collectively accounted for approximately 64% of the total leasing activity, the report added.

The report also highlighted that BFSI firms recorded over 100% y-o-y growth in office leasing in the January-March quarter, accounting for a 26% share of total office leasing. GCCs accounted for 57% of the BFSI leasing. American banks (48%) followed by domestic banks (31%) dominated BFSI leasing in the quarter.

The nine cities are Delhi-NCR, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune, Ahmedabad, and Kochi.

Global corporates accounted for 62% of office space leasing

Out of 18 million sq ft of office space, foreign firms rented 11.16 million sq ft while domestic firms rented 6.8 million sq ft.

Anshuman Magazine, chairman and CEO -- India, South-East Asia, Middle East and Africa, CBRE, said, "India's office sector is on a solid trajectory for sustained leasing growth, driven by strategic expansions from both domestic and global occupiers."

Established hubs like Bengaluru, Hyderabad, Delhi-NCR, and Mumbai continue to lead, while cities like Chennai and Pune are gaining traction due to a strong talent base and a well-positioned supply pipeline, he added.

“As businesses seek quality workspaces, the demand for sustainable offices is rising, with occupiers prioritizing employee experience and long-term growth. A key factor shaping this momentum is the growing presence of Global Capability Centres," Magazine said.

Leasing in green-certified assets accounted for 81% of total office space take-up

Leasing in green-certified assets accounted for 81% of total office space take-up (14.7 million sq. ft) while 88% of new supply (8.6 million sq. ft.) was green-certified in Q1 2025, the report said.

"This underscores the increasing commitment of both occupiers and developers to environmental, social, and governance (ESG) principles and sustainability initiatives," it added.

Bengaluru led with a 38% share in green-certified supply and 29% in leasing, followed by Delhi-NCR at 29% and 24%, respectively. Pune contributed 33% of the green-certified supply and 4% of leasing, while Mumbai recorded 17% leasing in green-certified assets. Hyderabad and Chennai accounted for 11% and 10% of leasing in green-certified developments, respectively, while Kolkata and Ahmedabad contributed 3% and 2%, respectively.