Fortune 500 Led GCCs Drive Record Office Absorption Across India in FY25

 

Global Capability Centres (GCCs) have continued to dominate India’s office leasing activity in FY25, accounting for 42% of pan-India office space absorption up from 41% the previous year according to a report released by real estate advisory firm Vestian.

 

In absolute terms, GCCs leased 31.8 million square feet during the fiscal, marking a 24% year-on-year increase. Fortune 500 companies were at the forefront of this growth, leasing 13.5 million sq ft, which constituted 43% of the total area leased by GCCs. This segment alone recorded a 25% increase from the previous fiscal, underscoring India’s growing status as a strategic global hub for large enterprises.

 

“GCCs contribute significantly to the office market in India, accounting for over 40% of the absorption recorded in the past two years. This share is expected to grow further with expansion from key industries including IT-ITeS, BFSI, Healthcare & Lifesciences, Engineering & Manufacturing, and Consulting Services”, said Shrinivas Rao, FRICS, CEO, Vestian.

 

This steady rise in GCC-led leasing is being driven by India's cost advantages, skilled talent pool, robust infrastructure development, favourable policies, and ease of doing business. These factors continue to attract multinational corporations seeking to optimise operations and tap into India’s capabilities.

 

Also Read: How GCCs Are Quietly Powering Global Tech Strategy

 

The IT-ITeS sector maintained its dominance with 46% of the total GCC office space absorption in FY25. Meanwhile, the BFSI sector’s share rose sharply to 22%, up from 14% last year, while healthcare and lifesciences saw a notable increase from 5% to 8%, reflecting the increasing sectoral diversification of GCCs.

 

Among Indian cities, Bengaluru emerged as the clear leader, with GCCs accounting for 65% of the city’s total office absorption in FY25 the highest among the top seven metros. This reflects Bengaluru’s continued appeal as a preferred location for global capability expansion.