India’s commercial real estate market is entering a phase where demand is spreading across more than the traditional office centresThe first half of 2026 saw office absorption reach a record 45.5 million sq ft, the highest for any half-year, with 24.6 million sq ft taken up in the second quarter alone, according to CBRENew supply also reached a record 32 million sq ft in H1, pointing to the scale at which developers and occupiers are now operating.
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India’s commercial real estate landscape is evolving, driven by office expansion, GCCs, infrastructure growth, retail demand and emerging business corridors across major cities
GCCs remain one of the strongest demand driversThey accounted for 46% of Grade A office leasing in H1 2026, with 16.6 million sq ft leased, according to Colliers.
Harinder Singh Hora, Founder Chairman, Reach Group added, “With investments in road connectivity, metro expansion and regional infrastructure, the focus is increasingly on strengthening Gurgaon’s integration with Delhi and the wider NCRAt the same time, the presence and expansion of global MNCs, which have established offices and leased significant commercial spaces across the city, continue to reinforce its position as a preferred business destinationAs newer corridors gain connectivity and infrastructure support, commercial growth is extending beyond traditional office districts, creating fresh catchments for businesses and developersThe opportunity today is not merely to develop standalone office buildings, but to create larger, better-planned business districts that can support the evolving needs of enterprises and the workforce.”
This expansion, however, is not limited to established business centresEmerging corridors across Noida, Greater Noida and the Yamuna Expressway are also gaining momentum as technology infrastructure and new investments reshape the region’s commercial landscape.
Abhishek Trehan, Executive Director, Trehan IRIS, said, “The expansion of data centres is adding another layer to the transformation of Noida, Greater Noida and the Yamuna Expressway regionCompanies such as Microsoft, HCL and Tech Mahindra have already strengthened the region’s technology and corporate profile, while investments by leading data-centre players are adding a new dimension to its digital infrastructureThis is supporting the emergence of integrated business districts and providing a significant fillip to commercial, retail and luxury residential development by established developers across the region.”
The NCR numbers show how this landscape is changingDelhi-NCR recorded 2.8 million sq ft of gross leasing in Q1 2026, with Gurugram accounting for 60% and Noida 37%Noida Expressway was the largest micro-market, while Udyog Vihar and NH-8 Prime also recorded significant activityGCC leasing in NCR stood at 0.9 million sq ft during the quarter.
Salil Kumar, Director- Marketing and Business Management, CRC Group said, “Retail is increasingly following where people work, live and spend time, which is why high streets and mixed-use locations are becoming important alongside established mallsIn H1 2026, Delhi-NCR was among the leading retail markets, while domestic brands accounted for more than 70% of leasing nationallyThe rise of D2C brands is also interesting because many of them are now using physical stores as part of their expansion strategy rather than treating them as a separate channel.”
Retail leasing reached 3.9 million sq ft in H1 2026, up 20% year-on-year, according to CBREDelhi-NCR led the major markets, while fashion and apparel accounted for around 40% of leasingD2C retailers accounted for about 28%, giving high streets and organised retail destinations another source of occupier demand.
Dr Amish Bhutani, Managing Director, Group 108, said, “Occupiers are becoming more selective about what makes a commercial location work over the long termDemand will increasingly be driven by factors such as connectivity, accessibility, quality of infrastructure, surrounding development and the availability of well-planned commercial spacesAs emerging NCR corridors improve their connectivity and infrastructure, they will become more attractive for businesses seeking efficient and future-ready locationsThe growing availability of quality office and retail spaces in these corridors will further strengthen demand for commercial real estate.”
Investor interest is providing another indication of the depth of the cycleInstitutional real estate investment reached USD 4.5 billion in H1 2026, up 50% year-on-year, with office assets accounting for more than 40% of the inflows, according to Colliers.
Karan Malik, Regional Director, Realistic Realtors, said, “The expansion of data centres is also opening up a longer development landscape for NCRNoida and Greater Noida have the existing ecosystem, while the Yamuna Expressway region offers larger parcels and the potential to accommodate infrastructure at scaleThe upcoming data centre parks across Noida, Greater Noida and Yamuna Expressway show that this is becoming a wider regional strategy rather than a single-location storyReal estate will increasingly follow the infrastructure that enables the digital economy.”
The next commercial address is increasingly being determined by the convergence of employment, connectivity, consumption and institutional capital.
