US Companies Set New Records in Office Leasing in India: JLL Report

Mumbai: US-based companies have reached record-high office leasing volumes in India over the past few years, with 2024 marking the highest annual activity ever recorded, according to a new report by JLL. The surge has been largely driven by the expansion of Global Capability Centres (GCCs).

The data, covering leasing trends from 2017 through Q1 2025, shows that US firms accounted for 34.2% of India’s office leasing activity between 2022 and Q1 2025. Notably, 2024 posted the highest leasing volume in absolute terms, and Q1 2025 maintained the same quarterly average as 2023, underscoring continued momentum.

While the market share of US companies has slightly declined since the pre-pandemic period, their actual leasing volume has grown by around 16%, indicating deeper strategic investment in India despite broader market diversification.

“US-origin GCCs consistently account for over two-thirds of all leasing activity by American companies,” said Dr. Samantak Das, Chief Economist and Head of Research and REIS, India, at JLL. “This highlights India’s vital role in the long-term business strategies of major US corporations.”

The dominance of GCCs in the office portfolios of US firms suggests a shift in perception — India is now viewed not just as a cost-effective outsourcing hub, but as a core center for innovation and strategic operations.

Each Indian city offers unique advantages for US firms:

• Bengaluru has emerged as a multi-sector powerhouse beyond just technology.
• Chennai offers a balanced market across BFSI, e-commerce, and tech.
• Mumbai serves as the financial epicenter, particularly for BFSI-related GCCs.
• Hyderabad has become a specialized hub for BFSI, healthcare, and pharma sectors.

Bengaluru leads the market, accounting for 35% of all US company leasing activity from 2022 to Q1 2025, followed by Hyderabad and Delhi-NCR. Chennai and Pune round out the top five destinations.

“India continues to attract US corporations with its large pool of skilled talent, robust business ecosystem, cost efficiencies, and supportive policy environment,” said Rahul Arora, Head of Office Leasing and Retail Services, and Senior Managing Director (Karnataka, Kerala), JLL India.

With inputs from IANS