India's real estate market is all set to make history — the total office stock in the country is expected to cross the landmark 1 billion square feet in office supply by Q3 2025, which will bring India's stock a few steps closer to that of other global gateway markets, according to a latest report. This translates into a growth from under 200 mn square feet in 2005 to nearly 1 bn square feet in 2025, showing a CAGR of 8.6% in the last 20 years, making India the world’s fourth-largest office market globally.

India's office stock across the top 8 Indian cities stood at 993 million sq ft (mn sq ft) as of H1 2025, with Bengaluru taking a clear lead, a 23% growth at 229 mn sq ft (23%), as per the latest real estate consultancy major Knight Frank's report on India's office market. This was followed by NCR, with 199 mn sq ft (20%) and Mumbai at 169 mn sq ft (17%). These three cities led the expansion in terms of office demand in India, collectively accounting for 60% of the total stock.

Close behind, Hyderabad, Pune, and Chennai contributed another 33%, while Ahmedabad and Kolkata make up the remaining 7% of India’s office stock. India’s office market showcased a varied grade mix, with Grade A spaces being 53% of the total supply, followed by Grade B at 43% and Grade C at 4%. Cities like Bengaluru, Hyderabad, and Chennai lead in Grade A stock due to strong IT and GCC demand. Legacy markets like Mumbai and NCR show a more equitable grade mix, reflecting slower transitions.

What's India’s sub-dollar advantage?

India is not only the most thriving office market, but it's also the most cost-effective. And that's where India's defining competitive edge lies, especially when benchmarked in dollar terms. Offering a unique cost advantage, the office market in India saw average rents declining to $0.96/sq ft/month in 2025, reinforcing its sub-dollar status globally. This affordability, paired with rising Grade A supply, has also accelerated the growth of GCCs, making India one of the biggest GCC markets.

"India’s office market is on the cusp of a significant milestone. This marks a defining moment for the country’s commercial real estate landscape and sets the stage for Awfis’ next phase of growth. The increasingly institutionalised supply of Grade A, ESG-compliant offices is enabling us to deliver premium infrastructure at competitive price points - while meeting the evolving expectations of occupiers who value flexibility, design, and sustainability," Amit Ramani, Chairman and MD, Awfis Space Solutions, tells Fortune India. Operational across 18 cities, including nine Tier-2 cities, Awfis claims to expand its footprint through sustainable, tech-enabled workspaces developed in partnership with leading real estate players and landlords.

Ramani agrees that there is strong traction from GCCs and large enterprises seeking ESG-aligned environments that adhere to international standards.

Viral Desai, Senior Executive Director, Capital Markets and Retail Agency, Knight Frank India, says India’s sub-dollar rental, a powerful differentiator, validates its strategic evolution from volume-led expansion to value-driven growth. "India’s ability to offer modern, tech-enabled, green-certified workspaces at sub-dollar rates presents a compelling proposition for global enterprises looking to optimise costs while enhancing workplace experience."

The milestones of the 1 billion sq ft threshold in 2025, with 0.99 billion sq ft already achieved, speak to the sheer scale of India's commercial real estate and underscore the sector’s resilience, institutional strength, and growth trajectory, says Gulam Zia, Senior Executive Director- Research, Advisory, Infrastructure, and Valuation. "Crossing this mark in 2025 highlights India’s ascent as one of the fastest-growing, most future-ready office markets globally, a testament to our emergence as a true global office powerhouse.”

India Office Market

Sub-dollar rents, Grade A supply, GCC boom: What's driving India's 1 bn sq ft office milestone