105 million sq ft and counting: GCCs drive 37% of India's office leasing since 2022

Why this matters

The outsized role of global capability centers (GCCs) in India’s office leasing—accounting for 37% of take-up since 2022—signals a notable shift in institutional capital flows and occupier dynamics with broader implications for US CRE investors. GCCs, typically technology and service hubs for multinational corporations, are expanding rapidly in India, reflecting both the country’s growing importance in global corporate real estate strategies and the evolving geography of office demand. For US institutional investors, this trend underscores the increasing interconnectedness of global office markets and the potential for cross-border capital to chase growth in emerging tech-driven hubs. This leasing surge also highlights a bifurcation in office fundamentals: while many US markets grapple with structural headwinds from remote work and tenant flight, India’s office sector benefits from robust occupier demand tied to digital transformation and cost arbitrage. The prominence of GCCs suggests that technology-driven office users remain a critical driver of leasing activity, albeit outside traditional Western markets. For lenders and capital providers, the scale of leasing activity may signal improving underwriting confidence in office assets linked to multinational occupiers, even as US office fundamentals remain uneven. The data point invites a recalibration of risk and opportunity in global office portfolios, with India’s GCC-driven growth a key factor.

Editorial analysis · AI-assisted

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