Mumbai, July 15 -- India's office market recorded its strongest quarterly performance in April-June 2026, with gross leasing touching a record 24.6 million (mn) square feet, driven by demand from flexible workspace operators and Global Capability Centres (GCCs). The CBRE report noted that absorption rose 18 per cent quarter-on-quarter and 14 per cent year-on-year. Developers delivered a record 21 mn sq ft of new office space during the quarter, marking the highest quarterly supply on record.
The first half of 2026 also marked the strongest six-month period on record as total office absorption reached around 45.5 mn sq ft and new supply stood at about 32 mn sq ft for January-June. Flexible workspace operators emerged as the largest occupier segment in the quarter, accounting for 27 per cent of leasing activity. GCCs continued to anchor demand, representing 42 per cent of absorption in Q2 and 43 per cent in H1.
On the supply side, about 76 per cent, or roughly 16 mn sq ft, of new completions in Q2 were green-certified while 74 per cent were located within integrated technology parks. Bengaluru led office leasing with a 27 per cent share in the quarter, and Bengaluru, Pune and Delhi?NCR together accounted for approximately 58 per cent of quarterly absorption. During H1, Bengaluru, Delhi?NCR and Mumbai together contributed about 61 per cent of total office absorption.
The report observed that Delhi?NCR recorded its highest-ever quarterly flexible workspace leasing and Pune posted its highest-ever quarterly office leasing, both markets driven largely by flexible workspace demand. Fortune 500 companies leased 6.8 mn sq ft of office space in the quarter, representing 28 per cent of total leasing. CBRE projected that GCCs would account for more than 40 per cent of total office space absorption in 2026 as technology-led demand and preference for high-quality assets continue to shape the market.
Published by HT Digital Content Services with permission from Construction World.