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Large office transactions continued to dominate India's commercial office leasing market in the first half of 2026, accounting for 59 per cent of the total office space leased across the country's eight major cities, according to a Knight Frank India research release.
The report said office transactions involving spaces of 100,000 sq ft and above totalled 28.2 million sq ft during H1 2026, out of the overall office leasing volume of 48.0 million sq ft. According to the Knight Frank India research release, "Large office transactions contributed 59% of the total office leasing volume of 48.0 mn sq ft, underscoring the continued preference of large occupiers for Grade A office assets." Bengaluru remained the country's largest office leasing market for large-format transactions, recording 10.1 million sq ft of leasing in office spaces exceeding 100,000 sq ft during H1 2026. Such deals accounted for 72 per cent of the city's total office leasing activity. Hyderabad and the National Capital Region (NCR) followed with 4.9 million sq ft each in large office leasing, while Mumbai recorded 3.1 million sq ft. Large transactions accounted for 65 per cent of Hyderabad's leasing, 68 per cent of NCR's and 42 per cent of Mumbai's total office absorption, the report said. Among the major office markets, Hyderabad emerged as the fastest-growing destination for large occupiers. Leasing of office spaces above 100,000 sq ft rose 63 per cent year-on-year, increasing from 3.0 million sq ft in H1 2025 to 4.9 million sq ft in H1 2026, according to the report. Commenting on the trend, Viral Desai, International Partner and Senior Executive Director - Occupier Strategy & Solutions, Industrial & Logistics, Capital Markets & Retail Agency at Knight Frank India, said, "India's office market continues to witness strong demand from large occupiers, particularly Global Capability Centres, technology companies and multinational corporations expanding their operations." He added, "While overall office leasing has remained resilient, markets such as Hyderabad, NCR, Mumbai and Pune have increased the share of large office transactions, reflecting occupiers' growing preference for high-quality, future-ready office assets. The sustained dominance of large office leasing reinforces India's position as a leading global business destination." The report also noted that mid-sized office transactions, covering spaces between 50,000 sq ft and 100,000 sq ft, stood at 9.0 million sq ft during H1 2026, accounting for 19 per cent of total leasing activity. Leasing in smaller office spaces below 50,000 sq ft totalled 10.8 million sq ft, contributing 22 per cent of overall office transactions during the period. (ANI)
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