Sep 23: India’s workplace landscape is undergoing a significant transformation, with strong office attendance, rising employee expectations, workplace upgrades and growing technology adoption shaping the future of corporate real estate, according to a new report titled ‘The Presence Dividend – What India Must Build, Operate And Measure Differently To Win The Workplace Of 2035.’
The report highlights that India’s office market is at record highs, with 931.3 million sq. ft. of Grade A office stock, 83.3 million sq. ft. of leasing in 2025, marking an all-time high, and 14.5% vacancy, the lowest level in five years.
Return-to-office has also become firmly established across India. According to the report, 89% of employers mandate three or more office days per week, while 38% require employees to be in the office five days a week.
At the same time, the report identifies a workplace paradox. While 96% of employees enjoy working from the office and 85% believe office working boosts productivity, two in five employees are at risk of leaving within a year, representing the highest attrition risk in APAC.
The report points to a substantial opportunity to upgrade India’s existing office infrastructure. More than 550 million sq. ft. of Grade A office stock requires upgrading, creating an investment opportunity of more than ₹450 billion across the country’s top seven office markets.
Retrofitting existing offices could generate 15–30% rental premiums, with employee experience, wellness and productivity emerging as important drivers of asset value alongside sustainability.
India also has a cost advantage in workplace development, with office fit-out costs averaging 46% lower than the APAC average. This provides occupiers and developers with greater scope to invest in higher-quality workplace environments at comparatively lower costs.
Sustainability is another key area of progress. Green-certified Grade A office stock has increased to 66% from 39% in 2020, reflecting the growing focus on sustainable real estate and workplace development.
Technology is also becoming increasingly important in corporate real estate. The report notes that 91% of Indian occupiers are piloting or planning AI-enabled corporate real estate solutions, while 93% are increasing their technology budgets, highlighting the growing role of AI and technology in the sector.
The report further estimates that India’s disengaged workforce costs the economy approximately USD 351 billion annually. Against this backdrop, it highlights the need for future workplaces to move beyond simply measuring occupancy and instead focus on employee performance, experience, wellness, productivity and long-term workplace value.
The findings of The Presence Dividend underline the need for India’s workplace ecosystem to rethink how offices are built, operated and measured as businesses prepare for the workplace of 2035.
