GCC leasing to grow 15–20% in next two years: Colliers

GCC leasing to grow 15–20 percent in the next two years: Colliers

Global capability centres (GCCs) leasing in India is expected to grow by 15-20 percent over the next two years, with volumes expected to reach 60-65 million square feet in 2026-2027, real estate consultant Colliers ha said.

This comes after GCCs’ share in overall office leasing dipped to below 30 percent in 2022 before rebounding strongly to nearly 40 percent in 2025.

“Capability centres in India are steadily evolving into innovation-driven, domain-specialised, and technologically integrated centres, and are likely to drive over 40 percent of India’s office space demand,” said Arpit Mehrotra, managing director, office services, Colliers India.

Since 2021, GCCs have leased about 100 million sq ft of office space in the top seven Indian cities, accounting for 36 percent of overall demand.

In 2025, leasing activity is estimated at 28 million sq ft, almost double of 2021, Colliers’ GCCs in India: Building the Future of Global Enterprises report has said.

In the next two years, GCCs are likely to lease 60-65 million sq ft of Grade A space in top seven cities, unlocking significant real estate opportunities, fuelling demand for high-quality spaces and cementing their role as the critical growth engine of India’s office market, Mehrotra said.

GCCs are offshore units established by multinational corporations (MNCs) in countries like India to perform various operations and provide support services for their parent companies.

Sectoral growth trends

Technology firms continue to dominate with a 37 percent share of GCC leasing in 2025, though the demand has stabilised.

Technology GCCs are increasingly evolving from traditional support hubs to innovation-led centres focused on artificial intelligence, data engineering, and product development.

Banking, financial services and insurance (BFSI), along with engineering and manufacturing, have witnessed rapid expansion.

GCC leasing volumes for these sectors have risen three to four times between 2021 and 2025. BFSI’s share has increased from 15 percent in 2021 to 27 percent in 2025, driven by risk management, compliance, digital banking, and fintech operations.

Engineering and manufacturing GCCs rose from 11 percent to 17 percent during the same period, backed by R&D and product engineering needs. Healthcare and consulting firms have also increased their GCC presence, further diversifying demand.

“Flex spaces too, are likely to gain traction as GCCs seek greater scalability and agility in their workplace portfolios,” Vimal Nadar, national director & head of research, Colliers India, said.

Tier 2 cities are likely to see a steady uptick in GCC activity, supported by cost arbitrage, infrastructure development, and talent availability, he said.

City-wise performance

Bengaluru and Hyderabad have emerged as leading GCC hubs, driving about 60 percent of demand between 2021 and 2025.

Bengaluru has become a preferred destination not only for technology GCCs but also for global engineering and manufacturing companies.

Hyderabad has also seen consistent demand, while Chennai recorded the highest surge, with a 5.3 times increase in GCC leasing in 2025 from 2021.

Mumbai remains a key location for front-end BFSI players, while Pune has drawn financial institutions for support services.

Delhi-NCR recorded more than double growth in GCC leasing volumes. In the east, Kolkata has started to attract technology and consulting GCCs, adding diversity to the city’s occupier base.

Top 10 micro-markets have absorbed more than 70 percent of GCC demand since 2021, with Bengaluru’s Outer Ring Road and Hyderabad’s Secondary Business District leading activity. Other hubs include Whitefield in Bengaluru, OMR Zone 1 in Chennai, Kharadi in Pune, and Malad in Mumbai, the report said.

US-based firms continue to dominate GCC activity in India, accounting for nearly 70 percent of leasing since 2021, led by global technology companies and Fortune 500 firms. Companies from the UK, EMEA, and APAC have also expanded in recent years.

Of the 28 million square feet of space expected to be leased by GCCs in 2025, about 10 percent is likely to come from occupiers in APAC markets such as Japan, Australia, and Singapore.