India to drive 40% of Asia-Pacific’s Grade-A office supply in 2026: CBRE

India to drive 40 percent of Asia-Pacific’s Grade-A office supply in 2026

• India to provide 40% of APAC Grade-A office supply by 2026
• Bengaluru, Delhi-NCR, and Mumbai lead new office completions
• Mumbai's BKC had highest APAC rental growth at 23.1% in 2025

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India is poised to cement its position as the largest contributor to Asia-Pacific’s Grade-A office supply in 2026, accounting for nearly 40 percent of the region’s new completions, even as global occupiers recalibrate space strategies amid macroeconomic uncertainty.

According to a CBRE Asia Pacific Real Estate Market Outlook, total Grade-A office supply across the region is expected to touch a record 61.3 million sq ft in calendar year 2026, up 10.8 percent from 55.3 million sq ft in 2025, measured on a net floor area basis.

India cities dominate new supply pipeline

According to report, which was released on February 23, among the top five Asia-Pacific markets expected to see the highest office completions in 2026, three are in India, which include Bengaluru, Mumbai and Delhi NCR.

Bengaluru is forecast to lead the region with 12.1 msf of new Grade-A supply, supported largely by continued demand from global capability centres (GCCs). Delhi-NCR is expected to add 7.1 msf while Mumbai will witness 5.1 msf supply.

“India’s growing dominance in the APAC office supply landscape reflects the structural depth of the demand drivers in the country,” said Anshuman Magazine, Chairman and CEO – India, South-East Asia, Middle East & Africa at CBRE. He added that occupiers continue to view India as a scalable, talent-rich destination for multi-functional growth even amid global economic recalibration.

The report stated that despite record-high supply levels, most developed Asia-Pacific markets will remain supply-constrained, particularly for high quality, well-located office assets. In 2026, expansion and new set-up activity is expected to rise across most countries, supported in part by stricter office attendance mandates by corporates.

Ada Choi, Head of Research, Asia Pacific at CBRE, said that occupiers are sharpening space requirements and prioritising premium buildings, while investors are focusing on income resilience and portfolio optimisation.

“As we move into a cycle where income growth is at the centre of real estate decision-making, the ability for occupiers and investors to recalibrate and innovate will be critical,” she said.

Mumbai’s BKC tops APAC rental growth

On the rental front, India’s Tier-I markets continue to outperform. In 2025, Mumbai’s Bandra-Kurla Complex (BKC) recorded the highest Grade-A office rental growth in the Asia-Pacific region, with rents rising 23.1 percent year-on-year, according to the report.

Tokyo at 13 percent YoY and Gurugram in Delhi-NCR followed Mumbai at 10.1 percent.

In 2026, while Mumbai's BKC will sustain double-digit rental gains driven by the tight availability of new premium office space and strong expansionary demand from flexible space operators, the growth is likely to moderate to 12.5 percent.

Tokyo would continue with double-digit percentage growth in 2026, at 13.1%, on the back of low vacancy and occupiers' willingness to pay a premium for high quality prime office space to attract and retain employees, the report said.