Ahmedabad’s office real estate market has entered a defining growth phase, with conditions increasingly favoring landlords and sustained momentum driven by the BFSI and technology sectors.

The Confederation of Real Estate Developers’ Associations of India (CREDAI), in collaboration with a real estate research firm, has unveiled its Ahmedabad Office Market Report for H1 CY2025, highlighting the city’s evolution into a significant business and financial hub. According to the findings, Ahmedabad has decisively entered a landlord-favorable market cycle, with a notable 25.5% premium of market rent over passing rent in Grade A and A+ office spaces. This rent differential is a strong signal of growing occupier confidence and sustained leasing appetite.

The report captures the market’s balanced supply-demand dynamics. In H1 2025 alone, Ahmedabad recorded 0.5 million sq. ft. of both new supply and demand, maintaining an impressive 1:1 demand-to-supply ratio. The city’s total Grade A office stock has now reached 30.5 million sq. ft., with a healthy vacancy rate of 19.6%. Developers remain optimistic, projecting the addition of nearly 9.7 million sq. ft. of new Grade A/A+ office space by 2030—highlighting Ahmedabad’s growing appeal as a strategic alternative to India’s established metros.

Sectoral Drivers of Demand

The BFSI sector continues to anchor leasing activity, accounting for 56% of all transactions, while IT/ITES contributed 30%, and industrial occupiers 8%. Ahmedabad’s proximity to GIFT City has played a pivotal role in attracting banks, financial institutions, and technology companies seeking high-quality office environments.

Key transactions during the first half of 2025 included HSBC leasing 0.18 million sq. ft. at Westpark in the Central Business District, as well as Cognizant and Hexaware securing significant space in GIFT City’s Pragya II project. While the Secondary Business District still accounts for 62% of the city’s office stock, GIFT City has emerged as the new growth engine, recording 0.3 million sq. ft. of gross leasing in just six months.

Shekhar Patel, President, CREDAI, noted:
“Ahmedabad is at a defining crossroads, and this report reflects a city that is not just growing but preparing to lead. A 25.5% rent premium, strong leasing momentum, and the rise of GIFT City are not just statistics—they are markers of a city shaping its destiny. This is about creating an ecosystem where business, finance, and technology converge to build enduring value. As Prime Minister Modi envisions India as a global economic powerhouse, Ahmedabad is well on its way to becoming a shining example of that mission in action. At CREDAI, we are committed to ensuring the city’s built environment remains sustainable, future-ready, and aligned with New India’s aspirations.”

Robust Developer Pipeline

The report also underscores a robust supply pipeline. Around 35.3% of all upcoming office stock until 2027 is concentrated in GIFT City, reflecting strong developer confidence in the city’s trajectory as a financial and tech epicentre. Developers contributed the highest share of new supply in CY24.

Among the most notable upcoming projects are:

  • Shilp Centrica in GIFT City
  • Trogon Twin Towers in Gandhinagar
  • The Goodwill Tower IT SEZ

These developments are set to redefine Ahmedabad’s commercial skyline in the coming years.

Abhishek Kiran Gupta, CEO of the real estate research firm, commented:
“First, Ahmedabad’s housing market outperformed Mumbai in housing unit sales. Now, it’s targeting India’s corporate growth as well. In six months, the city leased as much Grade A office space as it added—a perfect balance of demand and supply. Banks and financial firms led the way, taking up 56% of all office leases. GIFT City alone accounts for over 35% of all upcoming supply by 2027. Rents are rising too, with market rent now 25.5% higher than passing rent—a clear sign Ahmedabad is becoming a landlord’s market. This story is no longer just about Delhi, Bengaluru, Hyderabad, or Mumbai. Ahmedabad has entered the boardroom—and it’s here to stay. ‘Amdavad’ best ma best che—and we are tracking every data point.”

A Strategic Growth Story

Ahmedabad’s rise is driven by its cost competitiveness, proactive urban planning, and strategic location advantages. As the city continues to diversify its tenant base and expand high-quality commercial infrastructure, it is fast emerging as a key node in India’s broader economic and innovation ecosystem.

Also Read: Chennai, Ahmedabad, and Kolkata: Most Affordable Metros for Residential Investments, Reports Magicbricks

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