Hyderabad is strengthening its position as one of India's leading Global Capability Centre destinations, with rising GCC expansion driving office leasing, rental growth and demand for premium commercial real estate across the city.
The momentum is narrowing the gap with Bengaluru, which remains India's largest and most mature GCC market. Industry data shows that the two southern technology hubs continue to dominate India's capability centre ecosystem, supported by large talent pools, technology infrastructure and a growing concentration of multinational companies.
Hyderabad recorded about 7.2 million sq ft of overall office leasing during the first half of 2026, according to Colliers, accounting for roughly one-fifth of demand across India's top seven cities. Bengaluru remained ahead with around 10.5 million sq ft and a 29% share.
The GCC segment has emerged as an important contributor to this demand. Since 2021, Bengaluru and Hyderabad have together accounted for more than 60% of GCC office leasing in India, according to Colliers. Bengaluru's Outer Ring Road and Hyderabad's Secondary Business District have emerged as the country's two largest GCC micro-markets, jointly accounting for 37% of GCC leasing since 2021.
Other market estimates also point to strong momentum in Hyderabad. Cushman & Wakefield recorded 5.2 million sq ft of gross leasing in the city during H1 2026, up 25% from the previous year. The difference between estimates reflects variations in methodology used by property consultants. GCCs accounted for 37% of Hyderabad's leasing during the second quarter, with Gachibowli and Madhapur among its most active office corridors.
The expansion is also putting pressure on premium office rentals. Grade A+ properties in Madhapur are now commanding monthly rents of around ₹130 to ₹180 per sq ft, according to recent market estimates, compared with approximately ₹85 to ₹150 per sq ft along Bengaluru's Outer Ring Road.
However, Bengaluru continues to retain advantages in scale and maturity. It recorded 5.36 million sq ft of GCC leasing in the first half of 2026 under Cushman & Wakefield's methodology, remaining the country's largest market for capability centres.
Hyderabad's growth comes as GCCs take a larger role in India's overall commercial real estate market. Colliers estimates that capability centres leased 16.6 million sq ft of Grade A office space across India's top seven cities during H1 2026, representing 46% of total uptake.
Annual GCC leasing is projected to reach around 35 to 40 million sq ft over the next two years as global companies expand operations spanning technology, artificial intelligence, engineering, financial services and research.
For Hyderabad, the next phase of growth is expected to be concentrated around established technology and business districts, strengthening its position alongside Bengaluru in India's expanding GCC landscape.
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