GCCs Could Become the Biggest Driver of India’s Next Office Real Estate Cycle as 75 percent Plan Expansion

GCCs Could Become the Biggest Driver of India’s Next Office Real Estate Cycle as 75 percent Plan Expansion

India’s commercial real estate market is entering a new growth phase, with Global Capability Centres (GCCs) emerging as one of the strongest drivers of office demand. According to CBRE’s India Office Occupier Survey 2026, 75% of GCC occupiers expect their India office portfolios to grow over the next two years, signalling continued expansion in both the scale and quality of commercial real estate demand.

The broader occupier market is showing a similar expansionary outlook, with 77% of occupiers planning to expand their India office portfolios over the next two years. Notably, 30% plan to increase their office footprint by more than 30%, almost double the 18% recorded in the 2025 survey.

The scale of GCC activity is already significant. GCCs leased more than 123 million sq ft of office space between 2022 and H1 2026, accounting for 36% of total office leasing during the period. India’s GCC ecosystem has also expanded to more than 2,117 firms and 2.36 million professionals, while GCC revenues reached nearly US$100 billion in FY2026.

This momentum is also visible in the wider office market. The first half of 2026 saw office absorption reach a record 45.5 million sq ft, the highest for any half-year, with 24.6 million sq ft taken up in the second quarter alone, according to CBRE. New supply also reached a record 32 million sq ft in H1, pointing to the scale at which developers and occupiers are now operating.

GCCs remain one of the strongest demand drivers. They accounted for 46% of Grade A office leasing in H1 2026, with 16.6 million sq ft leased, according to Colliers.

Sandeep Chhillar, Founder and Chairman, Landmark Group, said, “Global Capability Centres are fast becoming the defining demand driver of India’s next commercial real estate cycle. With India’s GCC count projected to grow by 41% by 2030, and GCCs already accounting for nearly 35% of Grade-A office leasing across top cities, the numbers tell a clear story. Gurugram is firmly at the centre of this shift in NCR, the city’s combination of superior connectivity, mature infrastructure, established corporate ecosystem and deep talent access makes it one of the most compelling GCC destinations in the country. As mandates grow more sophisticated, location decisions are increasingly being made through the lens of the broader business ecosystem: talent availability, infrastructure quality and long-term liveability. The next phase of commercial real estate will be defined not by volume alone, but by the quality and adaptability of environments built for businesses and their people.”

GCC expansion is changing what occupiers demand

The GCC story is also evolving beyond traditional back-office operations. CBRE notes that GCCs are increasingly taking on higher-value mandates across R&D, engineering, product development, AI, analytics, cybersecurity and enterprise transformation. This is creating demand not just for more office space, but for high-quality, technology-enabled and well-connected workplaces.

More than one-third of occupiers expect AI and automation trends to directly influence leasing decisions over the next 12-24 months. At the same time, 93% of occupiers surveyed are already deploying AI in some capacity, indicating that technology is becoming an increasingly important consideration in workplace strategy.

This expansion, however, is not limited to established business centres. Emerging corridors across Noida, Greater Noida and the Yamuna Expressway are also gaining momentum as technology infrastructure and new investments reshape the region’s commercial landscape.

Connectivity increasingly determines where GCCs expand

The NCR numbers show how this landscape is changing. Delhi-NCR recorded 2.8 million sq ft of gross leasing in Q1 2026, with Gurugram accounting for 60% and Noida 37%. Noida Expressway was the largest micro-market, while Udyog Vihar and NH-8 Prime also recorded significant activity. GCC leasing in NCR stood at 0.9 million sq ft during the quarter.

The emphasis on connectivity is becoming particularly important as occupiers look beyond the availability of space. CBRE’s survey found that 70% of occupiers consider access to commute infrastructure a crucial criterion while selecting office space, while 95% view traffic congestion and commute as a threat to operations and employee experience. Further, 18% of occupiers said they would be willing to pay a premium for public transport access.

Retail leasing reached 3.9 million sq ft in H1 2026, up 20% year-on-year, according to CBRE. Delhi-NCR led the major markets, while fashion and apparel accounted for around 40% of leasing. D2C retailers accounted for about 28%, giving high streets and organised retail destinations another source of occupier demand.

The flight to quality is strengthening

As GCCs expand and take on more specialised functions, the quality and location of office assets are becoming increasingly important. CBRE found that 40% of occupiers are concerned about the availability of high-quality, well-located office space through 2028. At the same time, 41% of leasing during 2025 and H1 2026 occurred in investment-grade assets.

Dr Amish Bhutani, Managing Director, Group 108, said, “Occupiers are becoming more selective about what makes a commercial location work over the long term. Demand will increasingly be driven by factors such as connectivity, accessibility, quality of infrastructure, surrounding development and the availability of well-planned commercial spaces. As emerging NCR corridors improve their connectivity and infrastructure, they will become more attractive for businesses seeking efficient and future-ready locations. The growing availability of quality office and retail spaces in these corridors will further strengthen demand for commercial real estate.”

Investor interest is providing another indication of the depth of the cycle. Institutional real estate investment reached $4.5 billion in H1 2026, up 50% year-on-year, with office assets accounting for more than 40% of the inflows, according to Colliers.

Karan Malik, Regional Director, Realistic Realtors, said, “The expansion of data centres is also opening up a longer development landscape for NCR. Noida and Greater Noida have the existing ecosystem, while the Yamuna Expressway region offers larger parcels and the potential to accommodate infrastructure at scale. The upcoming data centre parks across Noida, Greater Noida and Yamuna Expressway show that this is becoming a wider regional strategy rather than a single-location story. Real estate will increasingly follow the infrastructure that enables the digital economy.”

The next phase of India’s commercial real estate growth is therefore likely to be shaped by the convergence of GCC expansion, technology adoption, talent requirements, connectivity and institutional capital. With 75% of GCC occupiers planning to expand their India office portfolios, the demand story is moving beyond simply adding more office space. It is increasingly about where businesses locate, the quality of the workplace they choose and the infrastructure that enables their workforce to operate effectively.