Mumbai
India’s real estate market is ready to meet growing global demand for flexible, high-performing workspaces, according to a new report by Knight Frank. As global companies rethink their office needs, India is becoming a top choice for future-ready and well-designed office spaces.
The report said many firms are adjusting to changing business conditions, like economic uncertainty and global tensions. Still, instead of delaying decisions, they are opting for shorter leases, more flexible layouts, and locations that give access to both talent and low risk.
In India, this shift is already visible. In 2024, office leasing hit 71.9 million square feet, showing a 21% rise from the previous year. The first quarter of 2025 recorded 28.2 million square feet — a 74% increase compared to Q1 last year.
Knight Frank’s Chairman Shishir Baijal said today’s workspace plans are shaped by changing work styles, cost control, and the need to act fast. He noted that corporate real estate is now a central part of business change, not just a background service.
Around 50% of companies surveyed said they plan to increase their total workspace in the next 3–5 years, adding about 104 million square feet. Twenty-seven firms may expand by 20%, accounting for 49 million square feet.
Dr. Lee Elliott of Knight Frank added that companies are not reducing space but moving to better-quality buildings. They now prefer networked hubs in strong cities rather than large single headquarters.
This growing interest in India highlights the country’s potential as a global real estate hotspot.