Office REITs Soar with 15% Gains Amid Surging Demand and Leasing Boom

India’s office real estate investment trust (REIT) market has delivered impressive performance over the past year, outperforming the BSE Realty Index with over 15% capital appreciation up to June 2025, according to Cushman & Wakefield’s latest report, Asia REIT Market Insight 2024-25.

 

The surge in performance is attributed to the underlying strength of the office real estate sector, driven by sustained demand from Global Capability Centres (GCCs), engineering and manufacturing firms, and the banking, financial services, and insurance (BFSI) sector. Additionally, a noticeable shift among occupiers toward premium-grade office spaces has significantly benefited REITs.

 

In FY 2024–25 (ending March 2025), India’s three office REITs recorded strong leasing activity, collectively leasing over 16 million square feet — nearly 20% of the gross leasing volume across the top eight Indian cities.

 

Also Read: How GCCs Are Quietly Powering Global Tech Strategy

 

As of June 2025, the Indian REIT market includes three office REITs and one retail REIT, managing an operational portfolio exceeding 105 million square feet. With robust growth in 2024 and increasing investor interest, the momentum is expected to continue into the remainder of the year, reinforcing REITs as a resilient and attractive investment avenue in India's real estate landscape.