After 2022 dip, GCCs stage strong comeback with 40% share of office demand in 2025

Bengaluru: GCC leasing in India has made a strong rebound, with nearly 100 million sq ft absorbed since 2021 across the top seven cities. After dipping below 30% in 2022, GCCs are now set to command around 40% of overall office demand in 2025, with leasing activity projected to hit 28 million sq ft—almost double 2021 levels.

According to Colliers’ report “GCCs in India: Building the Future of Global Enterprises” released at the RICS CRE Conference in Bengaluru, “GCCs continue to remain the cornerstone of India’s office market, powering its ongoing scale-up. Capability centers in India are steadily evolving into innovation-driven, domain-specialized, and technologically integrated centers, and are likely to drive over 40% of India’s office space demand. In the next twoyears alone, GCCs are likely to lease 60-65 million square feet of Grade A space across the top 7 cities, —unlocking significant real estate opportunities, fueling demand for high-quality spaces, and cementing their role as the critical growth engine of India’s office market.” says Arpit Mehrotra, Managing Director, Office Services, Colliers India.

Technology GCCs continue to dominate, accounting for 37% of cumulative demand. However, leasing from this segment has plateaued as other sectors scale up. BFSI and engineering & manufacturing have recorded the sharpest expansion. Between 2021 and 2025, their office space take-up grew three to four times.

While technology remains central, demand is broadening. BFSI and engineering & manufacturing will contribute 40–50% of leasing. The BFSI sector’s share in GCC leasing rose from 15% in 2021 to 27% in 2025, supported by expansion in risk management, compliance, digital banking and fintech. Engineering & manufacturing occupiers increased their share from 11% to 17% in the same period, driven by R&D and product engineering. Healthcare and consulting GCCs have also expanded their footprint, diversifying the demand base.

“GCCs will continue to anchor India’s office space demand, supporting the ongoing scale-up and diversification. While technology firms continue to drive Grade A space uptake by GCCs, the demand is becoming broader, with BFSI and engineering & manufacturing together expected to contribute 40–50% of leasing,” said Vimal Nadar, National Director & Head of Research, Colliers India.

Bengaluru and Hyderabad have established themselves as India’s leading GCC hubs, with more than 60 million square feet of GCC leasing since 2021. Both the cities cumulatively drove more than 60% of total GCC demand during 2021-2025 period. Meanwhile, Chennai is estimated to witness 5.3X surge in GCC leasing in 2025 compared to 2021 levels, highest among all cities. Owing to affordable rentals, especially in the peripheral locations, Chennai continues to attract cost-sensitive occupiers.

Bengaluru stands out as the premier hub not only for technology GCCs but also for global engineering &manufacturing firms. Mumbai, on the other hand, is favored by front-end BFSI players, while Pune attracts leading financial institutions, particularly for support service operations. In the east, Kolkata has become a natural choice for technology and consulting GCCs seeking a presence in that region.

However the leasing activity remains concentrated in select corridors. The top 10 micro-markets accounted for nearly three-fourths of GCC demand since 2021. Southern cities dominate, with eight hubs located in Bengaluru, Hyderabad and Chennai.

Bengaluru’s Outer Ring Road (ORR) and Hyderabad’s Secondary Business District (SBD) alone contributed 37% of pan-India GCC leasing since 2021. Other major hubs include Whitefield, SBD 1 and North Bengaluru; SBD and Off-SBD Hyderabad; OMR Zone 1 and Mount Poonamallee Road in Chennai; Kharadi in Pune; and Malad/Goregaon in Mumbai.

With leasing demand projected to cross 60 million sq ft during 2026–2027, GCCs are expected to remain the anchor of India’s office market. A broader sectoral base led by BFSI, engineering & manufacturing, healthcare and consulting, coupled with city-level diversification, is likely to sustain momentum.

Colliers sias that GCCs’ preference for sustainable, high-quality, future-ready spaces will continue to drive demand, with flex portfolios and emerging Tier II city hubs adding to the growth story.Occupiers are also expected to prioritize sustainability, premium Grade A spaces, and flex options for scalability. Tier II cities will also see increased activity due to cost advantages, infrastructure, and talent.