India’s three major office markets, Bengaluru, Delhi-NCR and Mumbai, have seen an average 4.3% annual growth in rentals of prime workspaces during the July-September period, according to Knight Frank. Real estate consultant Knight Frank mentioned in its latest report that the office space leasing in Bengaluru, Delhi-NCR and Mumbai together is expected to touch 50 million sq ft in the 2025 calendar year, surpassing the previous record of 41 million sq ft set in 2024.
“The surge is fuelled by sustained leasing commitments from Global Capability Centres (GCCs) and a revival in third-party IT services, highlighting India’s attractiveness as a global business hub,” it added. On rentals, Knight Frank said prime office rents increased 4.3% year-on-year (Y-o-Y) on average across the three major cities.
Bengaluru leads office rent growth
Bengaluru remained the most dynamic market, posting 2% QoQ (quarter-on-quarter) growth and 8.8% YoY. There has been a strong demand in emerging corridors such as the Outer Ring Road and Whitefield.
Delhi-NCR saw a 2% QoQ and 3% YoY growth in rentals, while Mumbai recorded 2% QoQ and 3.9% YoY increase in prime office rent during the July-September period of this year. Rent in Bengaluru’s central business district stood at Rs 1,807 per sq ft per year, while Mumbai’s BKC commands Rs 3,953 and Delhi’s Connaught Place Rs 4,200 per sq ft per year.
India emerges as bright spot in Asia-Pacific office market downturn
“India’s office market continues to stand out as a beacon of stability and long-term potential amid regional uncertainty. The strong leasing activity highlights its growing importance in global business strategies,” Knight Frank India Chairman and Managing Director Shishir Baijal said.
Commenting on the report, real estate expert Sankey Prasad said the Indian office market is entering a renewed growth phase, underpinned by robust leasing activity, strong GCC expansion, and rising institutional investment. “Occupiers are driving demand for high-quality, sustainable workspaces, while investors are drawn by stable yields and transparent market dynamics,” he added.
James Thomas, Co-Founder, SpazeOne, said the estimated growth in leasing volumes across these three major cities shows the “strong confidence and optimism driving India’s business landscape.” Knight Frank report pointed out that the Asia-Pacific office rents slipped 1.4% in Q3 2025, mainly due to falling rents in the Chinese mainland.