India’s commercial real estate sector is witnessing a surge, driven by the expansion of Global Capability Centres (GCCs). According to a joint report by CBRE and Zyoin, global companies have leased nearly 53 million square feet of office space across key cities such as Bengaluru, Hyderabad, Chennai, Pune, Delhi-NCR, and Mumbai since 2022. This influx is largely fueled by a skilled workforce, cost efficiency, and a favorable business climate, positioning India as a preferred destination for GCCs.
CBRE’s 2024 India Office Occupier survey highlights that around 67% of GCCs plan to expand their office portfolios by at least 10% over the next two years. This growth trajectory signals a sustained demand for commercial spaces, prompting developers to innovate and scale their offerings.
“Global companies leasing office space in India to establish GCCs are becoming key drivers for the commercial real estate sector. While Bangalore leads, the Delhi-NCR region has seen growing traction, particularly in Grade A office spaces,” said Nisheeth Thukral, Head of Leasing at Ambience Group. “As a major player in this market, NCR presents immense potential, with Ambience Group planning luxury mixed-use commercial developments near the Noida Expressway to capitalize on this trend.”
The report reflects a positive outlook for Delhi-NCR’s commercial space market, with strong growth anticipated around the Noida Expressway. Sanchit Bhutani, Managing Director of Group 108, noted, “Demand for office spaces and retail outlets in the area, supported by infrastructure projects like the Noida International Airport, has spurred commercial realty growth. Developers are responding by creating specialized and premium office spaces that meet the diverse needs of expanding global businesses.”
A significant factor in the rise of GCCs in India is the availability of cost-effective, high-quality real estate. Leasing for GCCs accounted for 37% of total office leasing during the first half of 2024, underscoring their impact on the market.
Harinder Singh Hora, Founder Chairman of Reach Group, emphasized the importance of infrastructure development in driving this growth. “The report points to an optimistic outlook for Gurugram’s office space market, with GCCs fueling increased rental values and leasing activity. This momentum supports our commitment to delivering cutting-edge commercial spaces.”
As global businesses secure large office spaces for their GCCs, Salil Kumar, Director of Marketing and Business Management at CRC Group, foresees further momentum. “The demand for Grade A office spaces will drive rental prices in prime locations across Delhi-NCR, spurring new developments that will further bolster the commercial real estate sector.”
The continued growth of GCCs in India highlights the country’s strategic significance as a hub for global operations. This evolving landscape is encouraging developers to push the boundaries, creating modern, future-ready office spaces that enhance the vibrancy and competitiveness of India’s commercial real estate market.
