60-65% of the anticipated office supply in 2025 expected in integrated tech parks

Strong real estate demand in office sector expected in 2025

RegNews, March 26: CBRE South Asia Pvt. Ltd, India’s leading real estate consulting firm, today released its report titled “2025 India Market Outlook”. The report highlights key trends and projections for the Indian real estate sector. According to the report, India’s office sector is expected to maintain its strong growth momentum in 2025. This growth is likely to be driven by resilient economic fundamentals, a firm employment outlook, readily available talent pool, and favourable government policies, including relaxation of SEZ denotification norms, boosting occupiers’ confidence in expanding their real estate portfolios.

The office sector has witnessed healthy supply growth over the past few years and is anticipated to maintain this momentum in 2025, underpinned by a robust pipeline of under-construction projects. Development completions would primarily be led by high-quality investment-grade assets, with ~60-65% of the new supply likely to be a part of integrated tech parks within top cities during the year. Developers are increasingly focusing on fully amenitised, green-certified assets in line with occupiers’ evolving preferences.

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While established hubs such as Bengaluru, Hyderabad, Delhi-NCR, and Mumbai remain highly attractive, other key cities such as Chennai and Pune are poised to gain further traction due to the influx of strategically located quality supply, readily available talent pool, and occupier strategies focused on diversifying beyond gateway markets. This trend is also likely to stimulate leasing activity in tier-II cities.

Anshuman Magazine, Chairman & CEO – India, South-East Asia, Middle East & Africa, CBRE, said, “India’s economic outlook remains positive, demonstrating resilience despite persistent global economic uncertainties. Stabilising inflationary trends have enabled the RBI to reduce the key policy rate in February, while further repo rate adjustments could be anticipated in the subsequent quarters.

The country’s office sector, having experienced record-breaking leasing performance in 2023 and 2024, is poised for sustained momentum in 2025. India’s abundant skilled talent pool continues to attract multinational corporations seeking to establish or expand their global capability centres (GCCs) and domestic enterprises looking to enhance their office footprint. With a strong pipeline of high-quality, investment-grade assets slated for completion during the year, the market is expected to witness an influx of fully amenitised, green-certified spaces that align with evolving occupier preferences.”