WHY THE 'LOWEST BID WINS' ERA IS OVER IN COMMERCIAL REAL ESTATE

Explore how workplace delivery is shifting from transactional to transformational amidst changing business, design, and ESG priorities

-  Ashok Kularia, Managing Director, ANJ

India's commercial real estate sector is experiencing structural transformation, with expectations from workplace design and delivery partners evolving rapidly. As new ways of working accelerate business cycles and ESG priorities take centre stage, the Design & Build (D&B) model is emerging as the preferred approach for forward-thinking clients.

According to a report by FICCI and Colliers India, the country's commercial office market is expected to achieve absorption levels between 65 to 70 mn sq. ft. in 2025. This projection follows a record-breaking absorption of 66.4 million sq. ft. in 2024, marking a 14% year-on-year growth.

According to CBRE's India Office Figures Q1 2025 report, India's office leasing activity reached approximately 18 million square feet, with 9.7 million square feet of new office supply. Notably, over 80% of leasing transactions occurred in certified green buildings. Global Capability Centres (GCCs) played a pivotal role, contributing to 45% of the overall office space leasing, primarily driven by sectors such as BFSI, technology, and engineering & manufacturing. Additionally, U.S.-based multinationals led office absorption with a 45% share, followed by domestic companies at 38%.

From service provider to strategic partner