Large office transactions continued to dominate India’s commercial real estate market in the first half of 2026, accounting for 59 per cent of total office leasing across eight major cities, according to Knight Frank India. Transactions involving spaces of more than 100,000 sq ft stood at 28.2 million sq ft during the period.
Overall office leasing across the eight cities stood at 48 million sq ft in H1 2026, with large-format transactions forming the biggest share of activity. The report said the trend underscored the continued preference of large occupiers for Grade A office assets.
Bengaluru remained India’s largest market for large office leasing, recording 10.1 million sq ft of transactions in spaces exceeding 100,000 sq ft. Such deals accounted for 72 per cent of the city’s total office leasing activity during H1 2026.
Hyderabad and NCR followed with 4.9 million sq ft of large office leasing each, accounting for 65 per cent and 68 per cent of their respective overall transactions. Mumbai recorded 3.1 million sq ft of large-format leasing, representing 42 per cent of the city’s total office transactions.
Hyderabad Leads Large Office Growth
Hyderabad emerged as the fastest-growing major market for large office occupiers, with leasing of spaces above 100,000 sq ft rising 63 per cent year-on-year. Large-format leasing increased from 3 million sq ft in H1 2025 to 4.9 million sq ft in H1 2026.
The share of large transactions in Hyderabad’s overall leasing activity also increased to 65 per cent from 51 per cent during the corresponding period last year. Knight Frank said the increase reflected strengthening demand from Global Capability Centres (GCCs) and other large enterprises seeking high-quality office campuses.
Pune recorded 3.8 million sq ft of large office transactions, accounting for 57 per cent of its overall leasing of 6.6 million sq ft during H1 2026. Chennai registered 1.1 million sq ft in the category, representing 31 per cent of its total office transactions. Kolkata recorded 0.3 million sq ft of large office transactions, accounting for 38 per cent of its overall leasing of 0.8 million sq ft. Ahmedabad recorded no transactions exceeding 100,000 sq ft, while its total office leasing stood at 0.8 million sq ft during the period.
Viral Desai, International Partner, Senior Executive Director – Occupier Strategy & Solutions, Industrial & Logistics, Capital Markets & Retail Agency at Knight Frank India, said demand remained strong from large occupiers, particularly GCCs, technology companies and multinational corporations. He said these companies continued to expand their operations in the Indian office market.
Desai said Hyderabad, NCR, Mumbai and Pune had increased their share of large office transactions, reflecting occupiers’ growing preference for high-quality, future-ready office assets. He added that the sustained dominance of large office leasing reinforced India’s position as a leading global business destination.
Mid-Sized Leasing Remains Steady
Office leasing in the mid-sized segment, covering spaces between 50,000 sq ft and 100,000 sq ft, stood at 9 million sq ft during H1 2026. The segment accounted for 19 per cent of overall office transactions across the eight cities.
Bengaluru recorded the highest leasing volume in the mid-sized category at 2.3 million sq ft, followed by Mumbai at 1.7 million sq ft. Hyderabad registered 1.4 million sq ft of transactions in the segment during the period.
Smaller office spaces measuring below 50,000 sq ft recorded 10.8 million sq ft of leasing during H1 2026, contributing 22 per cent to overall activity. Mumbai led the segment with 2.5 million sq ft of transactions, followed by Bengaluru at 1.7 million sq ft.
Pune recorded 1.6 million sq ft of leasing in spaces below 50,000 sq ft, while NCR registered 1.5 million sq ft during the period. Across all three size categories, large office transactions remained dominant with 28.2 million sq ft of the total 48 million sq ft leased in H1 2026. |
