Asia Pacific’s 11 key office markets recorded leasing of 4.6 million square metres (49.5 million square feet) in the first half of 2026, a 3% year-on-year increase, according to Colliers’ Asia Pacific Office Market Insights H1 2026 report. India accounted for more than 70% of total leasing and over two-thirds of both demand and supply in the region during the period.

The growth was primarily driven by robust Grade A space absorption in major markets. India, Mainland China and Japan together contributed over 95% of the region’s office demand in H1 2026. Among individual markets, Hong Kong and Taiwan registered the strongest demand growth, reflecting improving business confidence and renewed expansion activity.

Supply Declines Sharply

New office supply across the 11 APAC markets fell 37% year-on-year to 3.0 million square metres (32.3 million square feet). Completions remained highly concentrated, with India and Mainland China together accounting for more than 80% of the new supply delivered in the first half of the year.

India’s Dominant Position

India continues to anchor leasing volumes in the Asia Pacific office market. Strong demand fundamentals, particularly the expansion of global capability centres, have underpinned absorption. Colliers noted that skilled talent availability and cost arbitrage are expected to support further robust demand and reinforce India’s position as a preferred office destination in the region.

Arpit Mehrotra, Managing Director – Office Services, Colliers India, said: “India continues to anchor leasing volumes in the APAC office market, underpinned by strong demand fundamentals, including expansion of global capability centers in the country. In fact, India accounted for over two-thirds of the region’s demand and supply during H1 2026.”

Outlook for H2 2026

Firm demand combined with constrained supply across key APAC markets is expected to tighten vacancy levels and support rental growth in the second half of 2026. Occupiers are increasingly focusing on high-quality, future-ready workplaces to attract talent and improve productivity.

Vimal Nadar, National Director & Head of Research, Colliers India, observed that despite moderating GDP growth and cautious monetary policy, sustained business confidence continues to support occupier demand and investment activity. Mike Davis, Colliers Managing Director – Occupier Services, Asia Pacific, added that regional demand is concentrating in best-in-class assets and that supply-demand dynamics are expected to remain healthy over the coming quarters.

Overall, the APAC office market is projected to maintain strong momentum in H2 2026, with leasing activity supported by continued business expansion and a preference for quality office space.

Also Read: Why Commercial Real Estate Investors Are Betting On Office Spaces

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