Key Highlights
- Green-certified buildings currently account for approximately 70% of India’s Grade A office stock across the top seven cities.
- Green assets are expected to account for nearly three-fourths of India’s Grade A office inventory by 2030.
- Leasing in green-certified office buildings is projected to cross 80% of total office leasing in 2026.
- Bengaluru and Delhi NCR together account for nearly half of India’s green-certified office assets.
- Technology companies account for 30–35% of total leasing in green office buildings.
- More than 450 million sq ft of existing office stock is over a decade old, creating significant opportunities for retrofitting and green certification.
India’s commercial real estate market is witnessing a significant shift towards sustainable office buildings, with green-certified properties expected to account for nearly three-fourths of the country’s Grade A office stock by 2030, according to a report by Colliers India released on November 5, 2026. Green-certified office buildings already account for approximately 70% of the Grade A office inventory across India’s seven major property markets, while leasing in these developments is projected to cross 80% of total office leasing in 2026, reflecting the growing preference of companies for energy-efficient and environmentally sustainable workplaces.
The changing preference is also influencing developers’ construction and investment strategies, with an increasing proportion of upcoming office supply expected to receive sustainability certifications from the outset. Bengaluru and Delhi NCR have emerged as the leading markets for green office developments, while technology companies are among the biggest occupiers of these properties.
Green buildings expected to account for over 80% of office leasing in 2026
The growing preference for sustainable workplaces is becoming increasingly visible in India’s office leasing market.
According to Colliers, leasing in green-certified Grade A office buildings across the top seven cities is expected to reach 60–65 million sq ft during 2026. This would represent approximately 80–85% of overall office leasing, compared with 74% in 2023.
The data indicates that companies are increasingly treating sustainability certification as a basic requirement rather than an additional advantage when selecting office premises.
The trend is evident from the growth in green office leasing over the past few years.
In 2023, total office leasing across the seven markets stood at 59.1 million sq ft, of which 43.6 million sq ft was in green-certified buildings.
In 2024, green office leasing increased to 50 million sq ft out of total leasing of 67.2 million sq ft.
The momentum continued in 2025, when green-certified properties accounted for 54.5 million sq ft of the total 71.5 million sq ft leased.
For 2026, Colliers estimates overall office leasing at 75–80 million sq ft, with green-certified properties accounting for 60–65 million sq ft.
The report forecasts that green office leasing could increase further to 65–70 million sq ft in 2027.
This indicates that sustainability is increasingly becoming an important consideration in corporate decisions involving office expansion, relocation and long-term leasing commitments.
Bengaluru leads green office leasing, Delhi NCR records the highest penetration
Among India’s seven major office markets, Bengaluru has emerged as the largest destination for leasing in green-certified office buildings.
Between 2023 and the estimated full-year 2026 period, Bengaluru recorded approximately 59 million sq ft of leasing in green assets, representing the largest volume among the seven markets.
This accounted for approximately 28% of the cumulative green office leasing across these cities.
Delhi NCR, however, recorded the highest proportion of office leasing in green-certified buildings.
According to Colliers, green assets accounted for approximately 85–90% of total office leasing in Delhi NCR during the period.
Hyderabad followed with 80–85% of its office leasing concentrated in green-certified buildings.
The city-wise figures reveal that green buildings have become a significant part of office demand across the country.
The cumulative leasing figures for 2023–2026 estimated by Colliers are:
- Bengaluru: 59 million sq ft of green office leasing, against overall leasing of 82 million sq ft.
- Delhi NCR: 38 million sq ft, against overall leasing of 44 million sq ft.
- Hyderabad: 36 million sq ft, against overall leasing of 43 million sq ft.
- Chennai: 27 million sq ft, against overall leasing of 36 million sq ft.
- Mumbai: 27 million sq ft, against overall leasing of 37 million sq ft.
- Pune: 20 million sq ft, against overall leasing of 29 million sq ft.
- Kolkata: 3 million sq ft, against overall leasing of 4 million sq ft.
Across these seven markets, cumulative office leasing is estimated at approximately 275 million sq ft, of which nearly 210 million sq ft is expected to be in green-certified properties.
The figures underline how sustainability has moved beyond a handful of premium commercial developments and is now influencing office leasing across India’s major business districts.
Technology companies account for over 30% of green office leasing
Technology companies are playing a major role in driving demand for sustainable office spaces.
According to Colliers, the technology sector accounted for approximately 30–35% of total leasing in green-certified office buildings across the seven markets during 2023–2026.
Out of the technology sector’s overall leasing of approximately 74 million sq ft, nearly 59 million sq ft was in green-certified buildings.
This means approximately 75–80% of technology companies’ office leasing was concentrated in sustainable buildings.
The preference is also visible across other sectors.
The Banking, Financial Services and Insurance (BFSI) sector recorded approximately 36 million sq ft of green office leasing out of its overall 46 million sq ft of leasing. This represents 70–75% of its total office space uptake.
Engineering and manufacturing companies recorded approximately 32 million sq ft of green office leasing out of 40 million sq ft, with 80–85% of their leasing concentrated in certified properties.
Healthcare companies also demonstrated a strong preference, with 13 million sq ft of green office leasing out of total leasing of 15 million sq ft.
Consulting companies recorded 15 million sq ft of green office leasing out of 20 million sq ft.
The report also distinguishes between conventional office space and flexible workspaces.
Of the approximately 226 million sq ft of conventional office leasing, 176 million sq ft was in green-certified buildings. Flexible workspace leasing accounted for another 34 million sq ft in green assets out of an overall 49 million sq ft.
The numbers indicate that sustainability considerations are influencing occupiers across different business sectors and office formats.
Nearly 70% of India’s Grade A office stock is green-certified
The growing demand for sustainable workplaces is also reflected in the composition of India’s existing office inventory.
According to Colliers, approximately 70% of the Grade A office stock across the seven major cities is expected to be green-certified by the end of 2026.
The estimated green-certified stock is approximately 636 million sq ft, against total Grade A office stock of around 908 million sq ft.
This represents a substantial increase from 2023, when green-certified properties accounted for 421 million sq ft of the total 735.5 million sq ft of Grade A office inventory.
In 2024, green-certified stock increased to 502.5 million sq ft, representing 64% of the total inventory.
By 2025, the figure had increased to 574.1 million sq ft, taking green penetration to 68%.
The trend suggests that sustainable office developments are becoming an increasingly important component of India’s commercial real estate supply.
Bengaluru and Delhi NCR are expected to remain the country’s largest hubs for green-certified office developments, together accounting for nearly half of India’s green assets by the end of 2026.
75–80% of new office supply expected to be green-certified
One of the most important trends highlighted in the Colliers report is the increasing proportion of new commercial developments being planned with sustainability certification.
Green-certified developments are expected to account for 45–50 million sq ft of the total 60–65 million sq ft of new office supply estimated for 2026.
This represents approximately 75–80% of the expected new supply.
The proportion is forecast to increase further in 2027, when green-certified developments could account for 50–55 million sq ft of the estimated 60–65 million sq ft of new office supply.
The report indicates that developers are increasingly incorporating sustainable features into projects from the planning and construction stages instead of attempting to upgrade buildings after completion.
This shift could have long-term implications for the commercial real estate industry, particularly as corporate occupiers increasingly seek buildings that align with their environmental, social and governance (ESG) commitments.
More than 450 million sq ft of older office stock creates retrofitting opportunity
While new developments are increasingly incorporating sustainability features, India’s existing office inventory presents another significant opportunity.
According to Vimal Nadar, National Director and Head of Research, Colliers India, more than 450 million sq ft of existing office stock is over a decade old and may require significant upgrades.
This creates considerable potential for retrofitting older commercial buildings to improve their operational efficiency and environmental performance.
As these properties undergo redevelopment and upgrades, many are expected to obtain green certifications.
The retrofitting opportunity is particularly important because the expansion of green office inventory will not depend entirely on new construction.
Upgrading existing buildings could help increase the proportion of sustainable commercial properties while improving the quality and efficiency of older office assets.
Nadar said that most redeveloped assets are expected to obtain green certifications, complementing the upcoming development pipeline.
As a result, green-certified buildings could account for nearly three-fourths of India’s total office inventory by 2030.
Green certification increasingly important for developers and investors
The growing demand for sustainable office buildings is also changing the investment proposition of commercial real estate.
Arpit Mehrotra, Managing Director, Office Services, Colliers India, said the ability to deliver higher portfolio valuations, improved rentals and stronger occupancy levels is strengthening the case for green assets among investors and developers.
He noted that occupiers had leased more than three-fourths of their office space in green-certified buildings over the preceding three to four years.
According to Mehrotra, technology companies have emerged as the largest occupiers of green assets, driving sustainability-led workplace strategies.
He expects 80–90% of occupiers across sectors to align their corporate real estate strategies with broader ESG goals through leasing in green-certified buildings.
Beyond environmental considerations, green buildings can offer better resource efficiency, improved workplace quality and enhanced employee well-being.
For developers, this growing preference could make sustainability certification an increasingly important factor in attracting corporate tenants, maintaining occupancy and positioning commercial assets in the investment market.
What does this mean for India’s commercial real estate market?
The findings suggest that India’s office property market is entering a phase where sustainability is becoming a mainstream commercial requirement.
For developers, constructing green-certified buildings could increasingly become necessary to attract large corporate occupiers, particularly technology, BFSI and manufacturing companies.
For investors, the growing preference for sustainable assets could influence rental performance, occupancy levels and long-term portfolio valuations.
However, the opportunity is not limited to new commercial developments. The more than 450 million sq ft of older office stock identified by Colliers presents a substantial market for refurbishment, retrofitting and sustainability upgrades.
The larger implication is that India’s commercial real estate market is likely to see two parallel developments over the coming years: an increase in new green-certified office construction and the gradual transformation of older commercial buildings.
If the projections materialise, green-certified properties could account for nearly 75% of India’s office inventory by 2030, fundamentally changing the way commercial real estate is developed, occupied and valued.
Also Read: Why Global Companies Are Choosing Green Offices in India’s Flex Workspaces
