India’s Office Leasing Hits New Highs Despite Global Uncertainty: CBRE Report

India’s resilience and sustained positive trajectory across key real estate segments, particularly the office sector, at a time when several markets in Greater China and Australia are experiencing a softening in sentiment and more subdued leasing activity, revealed the Asia-Pacific Market Sentiment Survey by CBRE. According to the survey, this robust performance is driven by strong occupier confidence and consistent rental growth in its major cities.

“India’s sustained office market momentum and high sentiment index reflect its growing stature as a stable and resilient investment destination. As APAC peers see softening demand, India’s diversified occupier base, tech-driven demand, and long-term fundamentals are keeping leasing markets vibrant,” noted Anshuman Magazine, Chairman & CEO – India, South-East Asia, Middle East & Africa, CBRE.

Notably, India’s office Market Sentiment Index surged significantly between September 2024 and June 2025, surpassing the 70 per cent threshold and marking the highest sentiment recorded in the country. This signals continued momentum in office leasing, fueled by strong demand from sectors like IT, BFSI, and Global Capability Centres (GCCs). While renewal versus relocation decisions dominated leasing activity in many office markets, India and Japan stood out with persistent expansionary demand, contrasting with a softening trend in Korea and Singapore.

This positive sentiment is further corroborated by a recent CBRE office leasing report, which shows a 5 per cent year-on-year increase in total gross office leasing to 18 million sq. ft. across nine Indian cities in Jan-Mar 2025, demonstrating sustained occupier confidence despite global economic uncertainties.

India’s retail sector also showed strong resilience compared to its APAC counterparts. Despite a slight decrease in leasing activity, the market maintains a strong sense of optimism. Indian retailers are strategically expanding into high-traffic, high-potential locations within major urban centres, reflecting sustained consumer demand and strong long-term confidence in the country’s retail landscape.

Ada Choi, Head of Research APAC, CBRE, noted, “While much of the region is adjusting to post-pandemic occupancy trends, India is charting its growth path. Its commercial markets, particularly offices, show strength in demand and rental stability. This resilience positions India well for continued expansion, particularly as global enterprises reassess and diversify their APAC footprints.”

(From ANI)

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