Over the past years, the Indian office market has transformed, with remote work navigating the demand for flexible office spaces. Managed office spaces are emerging as popular options that align with businesses’ focus on flexibility, cost control, and employee management.
A report by CBRE highlights how India’s office market has rebounded in the first half of 2024. From January to June, the office leasing has touched 32.8 million sq. ft., rising 14% year on year across nine cities in India. Amidst this growth, flex offices have contributed the maximum amount, and it is projected to reach $9 billion by 2028.
As companies drive the market, the need for adaptable working environments and managed office spaces offer a seamless alternative to traditional long-term leases. This shift is not only reducing overhead costs but also reshaping the commercial real estate market, positioning managed office spaces as the new talk of the town.
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Commenting on this, Sanchit Bhutani, Managing Director, Group 108, says, “Managed offices provide the ideal balance between flexibility and cost efficiency, allowing businesses to scale operations without the burden of traditional office management. Areas like Noida-Greater Noida, which are already prime locations, attract multinational companies to establish their presence. An office space with state-of-the-art infrastructure and amenities in such a thriving market allows businesses to come across modern, functional, and aesthetically pleasing environments that foster creativity and collaboration. As developers, we look forward for this increase in demand of managed office spaces.”
India’s large pool of talent makes the country ideal for GCCs. These centres are increasingly opting for flexible workspaces to accommodate their staffing requirements. As GCCs expand, the demand for flexible office space is intensifying across major cities in India, with Delhi-NCR leading and reshaping the commercial sector.
Besides, managed offices come equipped with cutting-edge technology, allowing companies to operate smoothly from day one. Further, as companies increasingly prioritize ESG (Environmental, Social, and Governance) factors in their decision-making, managed offices are evolving to meet these demands by integrating sustainable infrastructure and wellness-focused features. From energy-efficient lighting and eco-friendly materials to waste reduction initiatives, these offices are designed with sustainability at their core.
Nisheeth Thukral, Head of Leasing, Ambience Group, says, “Managed offices offer cutomize layout that aligns with a company’s branding and ethics. As companies increasingly prioritize ESG, managed offices meet these demands by integrating sustainable infrastructure and wellness-focused features. As Delhi-NCR leads in catering for the demand for flexible office spaces, we look forward to offering office spaces that not only reduces a company’s carbon footprint but also align with the growing emphasis on responsible corporate practices.”
Harsh Gupta, CEO, Sundream Group, says, “The combination of customized office layouts and ready-to-use technology solutions allows enterprises to enhance both business efficiency and employee productivity. In cities like Noida-Greater Noida, businesses seek spaces incorporating green practices and wellness features. This not only reduces environmental impact but also significantly enhances employee satisfaction, making them a win-win for businesses. Therefore, combining sustainability and wellness features, our workspaces emerge as a smart choice for enterprises committed to both their people and the planet.”
As organizations place greater emphasis on flexibility, sustainability, and the well-being of their employees, managed offices are expected to play a crucial role in the commercial real estate industry. Their capacity to respond to changing market demands and resonate with contemporary corporate principles positions managed offices to further transform the strategies enterprises employ regarding their workspaces.