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Office Space Demand from GCCs Surges 24% in FY25 — Here's Why Everyone’s Moving In

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If you’ve been keeping an eye on the office space market lately, you might’ve noticed something big happening—Global Capability Centres (GCCs) are expanding fast. And we mean really fast.

According to a recent report by Vestian, GCCs leased a whopping 31.8 million sq. ft. of office space across India’s top 7 cities in FY25. That’s a 24% jump compared to last year. Bengaluru led the way, taking up nearly 40% of that space. Even Mumbai saw a big spike, going from 1.36 million sq. ft. last year to 3.68 million this year. So what’s driving this sudden wave?

Let’s break it down.

What’s Fueling the Growth of GCCs in 2025?

At the heart of it, companies across the world are chasing cost efficiency without compromising talent quality. India, with its skilled workforce, fast-developing infrastructure, and business-friendly policies, ticks all the boxes.

Sectors like IT, BFSI, healthcare, engineering, and consulting are setting up or expanding their GCCs here. They’re not just opening offices—they’re building out long-term hubs for operations, tech, and innovation.

This has made GCCs the single biggest driver of India’s office space demand in FY25. In fact, they alone accounted for 42% of all office leasing across the country.

So… Why Should You Care?

Well, if you’re a growing company looking for office space—or if you’re planning to expand—it’s good to know where the momentum is. More GCCs means more demand, and more demand often means:

  • Premium locations getting snapped up faster
  • Managed office spaces becoming the smarter choice
  • Developers offering better, scalable solutions to meet growing needs

At The Office Address, we work closely with managed workspaces and top real estate players to help clients find the right space—especially in competitive markets like Bengaluru, Mumbai, and Hyderabad.

The Bigger Picture

The growth of GCCs in H1 2025 isn’t just a temporary spike—it’s part of a long-term shift. Large global firms are setting up deeper roots in India. They’re betting on stability, talent, and cost-efficiency. That means the Indian office market is becoming more mature, more dynamic, and more opportunity-rich than ever before.

Final Thought

If you’re a company looking to scale in India, now might be the time to move in. With GCCs driving up demand and reshaping how office spaces are built, leased, and managed—you’ll want to act before the best spots are gone.

Need help figuring out your next office move?

Let’s talk. We’re The Office Address—your partner in finding the right workspace.