GCCs keep India’s office market buzzing, Bengaluru takes the lead

India's Global Capability Centres (GCCs) continued to drive office demand in the first half of 2026, with leasing by these centres rising nearly 38 per cent year-on-year to around 16.5 million square feet (MSF).GCCs accounted for 38 per cent of the country's total office leasing during the period, with four cities like Bengaluru, Pune, Delhi NCR and Mumbai, contributing nearly 80 per cent of the overall GCC leasing, according to Cushman & Wakefield's Q2 2026 Office Market Beat report.Bengaluru remained the country's biggest GCC market, recording 5.36 MSF of leasing in H1 2026.

Pune followed with 3.01 MSF, while Delhi NCR and Mumbai recorded 2.37 MSF and 2.23 MSF, respectively.The demand remained strong through the second quarter, when GCC occupiers leased nearly 8 MSF, accounting for 37 per cent of the country's quarterly office leasing.GCCs were responsible for more than half of Bengaluru's gross leasing in Q2, accounting for 52 per cent of the city's activity.

Bengaluru recorded 10.3 MSF of gross leasing during H1, alongside 8.8 MSF of new office supply.Pune recorded an identical 52 per cent GCC share of quarterly leasing, with GCC occupiers taking up 1.66 MSF during the quarter.The GCC footprint also strengthened in Chennai and Hyderabad. GCCs made up 46 per cent of Chennai's Q2 leasing and 37 per cent of Hyderabad's.

For the first half as a whole, GCCs accounted for a record 51 per cent of Chennai's leasing.In Delhi NCR, GCC leasing reached 1.4 MSF in Q2, increasing 50 per cent from the previous quarter and 8 per cent from the same period a year earlier.Hyderabad's overall office vacancy fell to 19.1 per cent, while vacancy in Grade A+ properties stood at 3.9 per cent, as leasing activity continued alongside limited new completions.Anshul Jain, Chief Executive - India, SEA, MEA & APAC Office and Retail at Cushman & Wakefield, said, "The robust leasing activity during the first half of 2026 reinforces the structural strength of India's office market.

While global macroeconomic and geopolitical uncertainties have led occupiers to adopt a more measured approach to decision-making, the underlying demand story remains firmly intact."He added, "Organisations continue to make long-term commitments to India, reflecting confidence in the country's talent ecosystem, business environment and long-term growth potential.""Global Capability Centres continue to be at the heart of this momentum, with their expansion increasingly shaping demand across multiple office markets," Jain noted.Overall office demand remained positive across the country's leading markets.

India's top eight office markets recorded 43 MSF of gross leasing in H1 2026, 5 per cent higher than a year earlier. Pan-India office vacancy declined to 13.7 per cent in Q2, extending the run of compression to 12 consecutive quarters.Among occupier segments, IT-BPM accounted for the largest share of H1 leasing at 22 per cent.

BFSI followed with 19 per cent, while Engineering & Manufacturing accounted for 16 per cent.Ready to Make a Smarter Property Decision? Build Your Legacy with TOI Homes.