India’s office real estate market is witnessing an unprecedented surge, powered by Global Capability Centers (GCCs), which have leased about 100 million square feet of office space across the top seven cities since 2021, according to Colliers.
GCCs, offshore units set up by multinational corporations to handle critical functions, now account for 36% of overall office demand. In 2025 alone, leasing activity is expected to touch 28 million square feet—nearly double the levels seen in 2021. Colliers projects that demand will remain robust, with GCCs set to lease 60–65 million square feet between 2026 and 2027, a 15–20% jump over the previous two years.
“GCCs continue to remain the cornerstone of India’s office market, powering its ongoing scale-up,” said Arpit Mehrotra, Managing Director, Office Services, Colliers India. “In the next two years alone, GCCs are likely to drive over 40% of India’s office space demand.”
BFSI, manufacturing emerge as growth drivers
While technology still leads GCC demand with a 37% share, its dominance has been moderating as other sectors scale rapidly. Banking, financial services and insurance (BFSI) firms now account for 27% of leasing, up from 15% in 2021, driven by global banks expanding risk, compliance, and fintech capabilities in India. Engineering and manufacturing GCCs have also seen a 3.4X jump in demand, now contributing 17% of overall leasing.
Healthcare and consulting have expanded at an even faster clip, growing nearly 5–6X in the last four years, further diversifying the GCC footprint.
Southern cities dominate
Bengaluru and Hyderabad remain the epicenters of GCC activity, together accounting for more than 60% of leasing since 2021. Bengaluru’s Outer Ring Road (ORR) and Hyderabad’s Secondary Business District (SBD) have been the most sought-after corridors, together attracting 37% of demand.
Chennai has emerged as a surprise performer, witnessing a 5.3X surge in GCC leasing between 2021 and 2025, thanks to cost advantages and growing talent availability.
Who’s driving demand?
US-based companies continue to dominate, contributing nearly 70% of GCC leasing across India. However, corporates from the UK, EMEA, and APAC—including Japan, Singapore, and Australia—are steadily expanding their footprint, signaling a more diversified demand base ahead.
With India offering cost arbitrage, skilled talent, and a robust supply of Grade A office spaces, experts say GCCs are poised to cement their role as the growth engine of the country’s real estate market.
