Will India’s Grade A Office Space Demand Reach 70 Million Square Feet by 2025?
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Synopsis
The demand for Grade A office space in India is projected to surge to 70 million square feet by 2025, highlighting a significant shift in workplace dynamics. This robust growth reflects the increasing emphasis on sustainability and employee experience in the corporate sector.
Key Takeaways
- Grade A office demand expected to hit 70 million square feet by 2025.
- New supply anticipated to be around 60 million square feet.
- Shift towards sustainability and inclusivity in the workplace.
- Flexible spaces to contribute 20 percent of Grade A demand.
- Corporate focus on employee experience is transforming office landscapes.
Bengaluru, Nov 11 (NationPress) In spite of global trade tensions, the demand for Grade A office space in India’s top seven cities remains strong and is projected to hit 70 million square feet by 2025, as outlined in a report released on Tuesday.
Anticipated new supply is expected to closely follow at around 60 million square feet. Corporations are taking decisive measures to transform their workplaces across the Asia Pacific, investing in quality, adopting hybrid models, and implementing inclusive strategies to cater to a diverse workforce, according to Colliers’ latest report.
The report further states that hybrid work, inclusive strategies, meeting employee needs, sustainability adoption, and technological proficiency are expected to lead the workspace revolution in major office markets throughout the APAC region.
Interestingly, the Indian office market is already prioritizing inclusivity and sustainability more than many others.
“Indian occupiers are clearly moving towards sustainability, showcasing a notable flight-to-quality that will drive the next phase of workplace evolution in 2026 and beyond. With over 80 percent of the forthcoming Grade A supply anticipated to be green-certified, the industry’s dedication to environmental goals is commendable,” stated Arpit Mehrotra, Managing Director, Office Services, India, Colliers.
India’s office market is not just expanding but also evolving rapidly in terms of real estate quality and employee experience.
Flexible spaces have become essential in India’s office environment, supporting hybrid work models and return-to-office requirements while promoting cost efficiency and agility.
“These spaces provide scalable solutions that allow companies to manage growth and uncertainty effortlessly. With their increasing adoption across various sectors, flexible spaces are projected to account for nearly 20 percent of the Grade A office demand, reshaping the future of Indian workplaces in the coming years,” noted Vimal Nadar, National Director and Head of Research, Colliers India.
Point of View
The ongoing evolution of India's office market, marked by a strong demand for Grade A spaces, reflects a significant transformation in corporate strategies. The emphasis on sustainability and employee experience is commendable and aligns with global trends, indicating a forward-thinking approach in the face of challenges.
NationPress
11/11/2025
Frequently Asked Questions
What is Grade A office space?
Grade A office space refers to high-quality buildings that are well-located and equipped with modern amenities, often attracting prestigious tenants.
Why is the demand for office space rising in India?
The demand is increasing due to corporate shifts towards hybrid work models, sustainability, and a focus on enhancing employee experience.
What does the future hold for Indian office spaces?
The future looks promising with a significant rise in flexible workspaces and a focus on green-certified office environments.
How does sustainability play a role in office demand?
Sustainability is becoming a key criterion for companies, with many seeking green-certified spaces to meet environmental goals.
What are flexible office spaces?
Flexible office spaces are adaptable work environments that can be customized for varying business needs, supporting hybrid work arrangements.
