India’s office market reached unprecedented heights in 2024, with net absorption hitting a high of 49.56 million square feet, which reflects robust demand and a thriving business landscape, real estate services firm JLL said. The year ended on a high note, with the fourth quarter alone accounting for 18.53 million square feet of net absorption—the highest ever recorded in a single quarter.
Bengaluru led the market with its best-ever net absorption of 14.74 million square feet, which is a staggering 63.6% year-on-year increase. The city claimed a dominant 36.1% share of the total quarterly net absorption in the fourth quarter.
Other key markets also performed strongly. Hyderabad ranked second with a 16% share, while Delhi-NCR and Chennai followed with 15.4% and 11.5%, respectively.
Gross leasing activity also saw a new benchmark at 77.22 million square feet in 2024, a growth of 22.6% over the previous year. Multinational corporations led the way with 58.6% of total leasing.
Bengaluru once again topped the list, achieving a gross leasing figure of 7.87 million square feet for the quarter. Delhi-NCR, Hyderabad, and Chennai were next in line.
Key growth drivers included GCCs, which leased about 28 million square feet in 2024, accounting for 35.9% of total leasing activity. Flexible workspaces gained considerable traction, with a 50% year-on-year increase in leasing, contributing 19.8% to the overall volume.
Vacancy levels of India’s top seven cities showed up at a three-year trough of 16.3%, an indicator of relatively balanced supply and strong demand.
It indicates this record performance further cements India’s office space market in place as the main driver for the country’s economic growth due to its resiliency in evolving business needs.
