India’s flex space segment posts strongest 68.4 pc growth in Jan-June

New Delhi, Aug 27 (IANS) Flexible workspace operators leased 1,91,306 seats across India’s top eight cities in the first half of 2026, marking a 68.4 per cent year‑on‑year increase, a report said on Thursday.

The report from Cushman & Wakefield said the operators strengthened their presence in the office market, recording 8.4 million square feet (MSF) of gross leasing volume (GLV) in H1 2026, the highest-ever half-yearly volume for the segment, up 55 per cent on the annual basis.

Flex operators accounted for nearly 20 per cent of the overall office leasing activity of approximately 43 MSF recorded during the period, up from 13 per cent in H1 2025, driven by sustained demand from enterprises, global capability centres (GCCs) and occupiers seeking greater workplace flexibility.

“The increase reflects occupiers’ continued preference for flexible workspace solutions that offer operational agility, scalability and speed to market,” the report said.

GCCs continued to be a key demand driver for the flex workspace segment, accounting for 44 per cent of the total seat lease, surpassing 37 per cent share recorded during 2025.

Bengaluru retained its position as the largest flex market in India, with 57,487 seats leased during H1 2026, accounting for 30 per cent of the total seat uptake, marking 31.8 per cent YoY growth.

Hyderabad followed with 40,451 seats, posting 170.8 per cent annual growth, supported by sustained demand from technology occupiers and GCCs.

Mumbai and Delhi-NCR also witnessed substantial growth, with leasing volumes rising by 130 per cent and 152.7 per cent, respectively.

Pune maintained healthy growth with a 27.8 per cent increase in seat uptake, while Chennai saw growth of 3.6 per cent YoY. Ahmedabad recorded the sharpest increase in flex seat leasing, rising 570.3 per cent YoY on a relatively smaller base.

“Occupiers today are looking for highly customised, experience-led workplaces, and flex operators are increasingly delivering bespoke environments that mirror global office standards, brand identity and workplace culture,” said Ramita Arora, Executive Managing Director, Bengaluru and Head-Flex, India, Cushman & Wakefield.

Coupled with technology-enabled workplace experiences, wellness-centric design and sustainability considerations, these tailored solutions are reinforcing the segment’s appeal among both enterprises and GCCs.

Meanwhile, the growing presence of listed operators is enhancing transparency, governance standards and occupier confidence, supporting the continued maturation of India’s flex workspace market.

—IANS

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