Bengaluru, India — February 19, 2026
Global Capability Centers (GCCs) are poised to become the dominant force in India’s commercial real estate market, potentially accounting for up to 50% of total office space demand across the country’s top seven cities, according to a new report by Colliers India.
The analysis highlights that multinational firms — especially from the United States, European Union, and United Kingdom — are expected to accelerate expansion of their India-based operations, fueling long-term demand for Grade A office space.
📈 Strong Growth Outlook for GCC Leasing
Colliers estimates annual GCC leasing could reach 35–40 million square feet in the next few years. Since 2020, GCCs have already leased 117 million sq. ft., representing about 38% of total office demand nationwide.
Demand has risen steadily:
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2020: ~16 million sq. ft.
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2025: nearly 30 million sq. ft.
Their share of India’s leasing activity has increased from below 30% a few years ago to over 40% in 2025, reflecting their expanding role as innovation and research hubs rather than cost-saving back offices.
🌍 Trade Deals Expected to Accelerate Expansion
The report links future growth to ongoing trade negotiations and agreements between India and major global partners. These include potential tariff reductions, improved market access, and sector-specific facilitation measures that could attract multinational firms across:
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Technology
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Banking & Financial Services (BFSI)
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Engineering & Manufacturing
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Consulting
Recent economic projections from the International Monetary Fund further reinforce investor confidence, with India’s 2026 GDP growth forecast revised upward to 6.3%, and projected to reach 6.5% in 2027.
🇺🇸 US Firms Still Lead — But EU & UK Catching Up
Since 2020:
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US companies accounted for nearly 70% of GCC leasing.
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EU firms held about 8–10% share.
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UK firms also contributed roughly 8–10%.
While US demand is expected to remain strong, Colliers predicts the share of European and British companies will rise in the medium term, driven partly by trade agreements and sector-specific incentives.
🏢 Sector Trends Shaping Demand
Different regions are showing distinct expansion strategies:
| Region | Leading Sector | Share |
|---|---|---|
| US firms | Technology | 47% |
| EU firms | Engineering & Manufacturing | ~60% |
| UK firms | BFSI & Consulting | 29% & 23% |
Overall, technology still leads GCC demand, but BFSI and engineering sectors together could account for 40–50% of leasing in 2026.
💼 Why India Is Attracting GCCs
Experts say India’s appeal lies in a combination of factors:
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Skilled talent pool
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Competitive operating costs
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Expanding domestic market
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Strengthening policy environment
Industry analysts emphasize that GCCs are increasingly handling high-value functions such as artificial intelligence, advanced analytics, product development, and engineering — signaling a shift toward strategic global roles.
🧠 Expert Insight
According to Arpit Mehrotra, Managing Director of Office Services at Colliers India, recent trade agreements and regulatory support could significantly boost foreign investment and office absorption levels.
Vimal Nadar, Head of Research at the firm, added that GCC demand is becoming more diversified across sectors and countries, which should stabilize long-term growth in India’s office market.
📊 Key Market Snapshot
| Metric | Value |
|---|---|
| Total office demand since 2020 | 310.5 million sq. ft. |
| GCC share | 38% |
| Projected GCC share | Up to 50% |
| Projected annual GCC leasing | 35–40 million sq. ft. |
