The Aryavarth Express
New Delhi: India’s flexible workspace sector is set for rapid expansion, with total flex stock across the top seven cities projected to surpass 100 million sq ft by 2027, rising from 72.3 million sq ft in 2025, according to Colliers’ latest report “Flex India: Pioneering the Future of Work.”
Flex penetration within Grade A offices is expected to increase from 8.5% to 10.5% by 2027, fueled by sustained operator growth and escalating demand from enterprises and Global Capability Centres (GCCs). Colliers anticipates that annual enterprise seat absorption will hit 200,000 seats in 2026 and 2027—about 25% higher than levels recorded in 2024–25.
Calling this a “pivotal era of expansion,” Arpit Mehrotra, Managing Director, Office Services at Colliers India, said operators are increasingly focused on offering next-generation, tech-enabled, customizable, and sustainable workspace solutions. He added that an uptick in operator IPOs underscores growing investor confidence.
Market Highlights
Bengaluru leads with 22+ million sq ft of flex space, accounting for 31% of India’s total stock.
Delhi NCR follows with 12.5 million sq ft.
Pune has emerged with the highest flex penetration at 11.5%, backed by strong tech and BFSI demand.
Chennai is among the fastest-growing markets, expanding its flex footprint more than fivefold since 2021.
The report highlights a decisive shift toward fully managed, tech-integrated, and ESG-aligned workspace models. With GCCs deepening their India operations, operators are rolling out “GCC-as-a-Service” solutions covering the entire lifecycle from location strategy to workspace deployment. GCCs contributed 40–45% of enterprise flex demand in 2025, a share expected to approach 50% within the next two years.
Secondary Business Districts (SBDs) across major cities continue as the prime hubs for flex space absorption, accounting for over half of Grade A flex take-up in the past five years. Meanwhile, Tier II cities—including Ahmedabad, Kochi, Jaipur, and Coimbatore—are drawing rising occupier interest due to 30–35% lower rentals and growing adoption of distributed work models.
Colliers forecasts that Tier II locations could represent 10–15% of India’s total flex stock by 2027.
