Gurgaon's Office Market Resurgence: A 5-Year High in 2024
Gurgaon’s office sector ended 2024 remarkably, marking the highest net absorption in five years. Demand from key industries hit unprecedented levels. Central business districts and peripheral office hubs saw increased corporate activity, signaling a strong recovery post-pandemic disruptions.
Sectoral Growth Drivers
- IT/ITeS Dominance: Tech and IT services led absorption with firms expanding operations to meet growing global demand. This was especially true in AI and cloud computing sectors.
- Fintech Surge: Digital payment processors and neo-banking platforms outpaced traditional finance firms. Employers prioritized employee experience, seeking Grade-A spaces.
- E-commerce Expansion: Logistics and supply-chain operations needed large-format warehouses and mixed-use office facilities.
Emerging Micro-Markets
- Golf Course Road: Premium developments like The Masterpiece attracted multinationals. Pre-commitment trends boosted FY2024 figures.
- NH8 Corridor: Logistics and tech firms preferred self-contained campuses in Sohna and Dharuhera nodes.
- Suburban Hubs: Cyber City’s mature ecosystem remained popular among GCCs, while Dwarka Expressway saw rising demand from mid-sized tech firms.
Supply Trends
- Renewed Developer Confidence: Institutional-grade projects dominated H2 supply. 5.6M sq ft Grade-A stock was added across Gurgaon and Noida.
- Flex Space Integration: Operators like Smart works boosted smaller lease transactions, contributing 35.9% to Delhi-NCR’s gross leasing volume.
Rent Dynamics
Prime office spaces in Gurgaon saw rental increases of 5-7% YoY in Q4. This was due to tight vacancies and flight-to-quality trends. Developers leveraged pre-leasing commitments to phase pricing escalation over multiple construction phases.
2025 Outlook
Gurgaon’s office market is set to continue its momentum with 38-39M sq ft Grade-A supply predicted over 2024-2028. IT/ITeS and GCCs are expected to sustain demand. Infrastructure projects like the Gurugram Rapid Metro extension may expand rental preferences to secondary markets.
We can conclude that the era of quiet reflection in office real estate has ended. Gurgaon has emerged as the center of India’s corporate expansion—a trend unlikely to diminish as global multinationals double down on Asia’s growth-hub.