South India office market on the fast lane driven by IT sector, GCCs

South India’s office market is experiencing exponential growth, driven by increased interest from multinationals (MNCs), especially global capability centres (GCCs) and the information technology (IT) sector.

Real estate management firm JLL reports that the combined share of southern cities — Bengaluru Hyderabad and Chennai — in India’s annual net absorption has remained between 54 and 56 per cent in 2022 and 2023, with a slight increase expected over the next two years.

The tech sector is robust in these cities, with GCCs significantly driving office leasing activities, especially in Bengaluru and Hyderabad.