GCCs dominate India office leasing in FY25, Fortune 500 companies lead

New Delhi, July 2 (IANS) Global capability centres (GCCs) accounted for 42 per cent of the pan-India absorption in FY25, registering an increase from 41 per cent a year earlier, according to a report on Wednesday. 

In terms of value, GCC absorption increased by 24 per cent during the same period, reaching 31.8 million square feet, said the report by Vestian.

Furthermore, Fortune 500 GCCs leased 13.5 million sq ft office space, accounting for 43 per cent of the total area leased by GCCs in FY2025. The leased area increased by 25 per cent over the previous year, reinforcing India’s position as the preferred destination for global enterprises setting up GCCs.

Over the past couple of years, GCCs have been the primary growth driver of India’s office market. This growth has been fueled by cost optimisation strategies, a skilled talent pool, rapid infrastructure development, favourable government policies, ease of doing business, and a supportive business environment.

“GCCs contribute significantly to the office market in India, accounting for over 40 per cent of the absorption recorded in the past two years. This share is expected to grow even further fuelled by the expansion of large conglomerates from various industries such as IT-ITeS, BFSI, Healthcare and Lifesciences, Engineering and Manufacturing, and Consulting Services,” said Shrinivas Rao, FRICS, CEO, Vestian.

India continues to offer a compelling value proposition through its skilled talent base, operational scalability, and robust ecosystem, he mentioned.

The IT-ITeS sector continued to dominate GCC absorption with 46 per cent share in FY2025. On the other hand, the share of BFSI sector surged to 22 per cent, from 14 per cent a year earlier.

Similarly, the share of healthcare and lifesciences sector also witnessed an increase from 5 per cent to 8 per cent during the same period, showcasing the growing diversification in the GCC landscape, said the report.

In Bengaluru, GCCs accounted for 65 per cent of the city’s overall absorption in FY2025, the highest contribution among the top seven cities.

—IANS

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