Delhi NCR office market records gross leasing of 3.05 million sq ft during Q1 2026

• Delhi NCR’s quarterly gross leasing totaled 3.05 million sq ft, down 31% q-o-q. Flexible office providers were the largest occupiers, accounting for 32.9% of total leasing. This was followed by Manufacturing (17.1%), Consultancy (16.6%), and IT & ITeS (15.4%).
• Net absorption declined to 1.47 million sq ft, down 39% q‑o‑q. Both Noida and Gurgaon dominated captured 96% of the quarterly net absorption. Noida–Greater Noida Expressway, GCR and NH‑8 submarkets witnessed bulk of new office space take-up.

New office completions at 1.39 million sq ft

• In Q1 2026, new office space supply totaled 1.39 million sq ft. This new space infusion was largely concentrated in Noida, SBD Delhi, and Gurgaon, taking the Grade A office stock to 165.8 million sq ft. New supply declined by 51% y-o-y.
• Noida dominated new supply in the quarter, contributing 61% of the total. Gurgaon and SBD Delhi followed with 22% and 17%, respectively. Over the next five years, the market is expected to see quality developments from major developers backed by institutional players.

Steady office rental growth expected in Delhi NCR

• In the quarter, Delhi NCR office market witnessed Grade A rental growth of 1.2% q-o-q and 7.9% y-o-y. Healthy pre‑commitments prompted major developers to adjust rents upward for upcoming supply, indicating continued market strength.
• Demand from co-working operators, technology majors and financial institutions will drive the next phase of growth for Delhi NCR’s office sector. Leasing is expected to remain steady in the coming quarters and support potential rent growth.

Outlook: Leasing expected to hold steady in 2026

• Leasing activity is likely to be supported by quality office supply in established locations, led by reputed developers and institutional investors. This is expected to aid rental appreciation, with net absorption projected at 6.5–7.0 million sq ft by year‑end 2026.
• The Delhi NCR office market is seeing growing investor interest. Market performance remains healthy. New premium office projects are being developed, leasing activity is strong, and transport infrastructure continues to improve.