Asia Pacific Overtakes Western Markets as the Global Hub for Office Real Estate

Gurugram, March 18, 2026:

The Asia Pacific (APAC) region has officially emerged as the world’s most dynamic office market, leveraging a combination of young, ESG-aligned building stock and a deep talent pool to outpace traditional hubs in the U.S. and Europe. According to data released in Gurugram on 18 March 2026, the region is benefiting from a structural reset in global corporate planning. While Western markets are currently preoccupied with retrofitting aging inventories and managing selective recoveries, APAC’s growth engine is accelerating, driven by modern infrastructure that aligns with the requirements of the hybrid-work era, global commercial real estate services firm Cushman & Wakefield said in a press release.

Arpita Srivastava, Managing Director of Global Capability Centre (GCC) Advisory & APAC Tenant Representation at Cushman & Wakefield, highlighted the strategic nature of this shift. “Asia Pacific’s rise as the global centre of office demand is deeply rooted in markets like India, where modern stock, talent depth, and innovation capability are converging at scale. As multinational companies rebalance portfolios, the region’s ability to support both capability expansion and workplace modernisation is shaping a new strategic blueprint for global real estate,” she noted.

A significant factor in this regional dominance is the age and quality of the available office supply. Unlike the U.S., where nearly 70% of office buildings were constructed before 1990, the majority of APAC’s prime space was built within the last 15 years. This modern inventory offers the sustainability and technology integration that current tenants demand. Between 2020 and 2025, APAC absorbed nearly 334 million sq ft of office space, a period during which Western absorption remained largely subdued or negative. Grade A stock in the region has nearly doubled over the last decade, reaching 2.43 billion sq ft in 2025.

India has solidified its position as the anchor of this expansion, accounting for 34% of the region’s office demand and over half of its new supply. The country recorded 61.4 million sq ft of net absorption in 2025 alone, underscored by its massive pool of STEM professionals. This talent availability is transforming Global Capability Centres (GCCs) across India and Southeast Asia from simple back-office support hubs into centers for high-value functions like AI, cybersecurity, and platform operations. Looking ahead, office-using employment in Southeast Asia is projected to grow by over 21% by 2030, with Indonesia, the Philippines, and Vietnam leading the charge.

This evolution has given rise to a “Dual-Core” strategy among multinational corporations, where portfolios are structured around two complementary types of hubs. “Anchor Markets” in the West provide regulatory proximity and corporate identity, while “Sail Markets” in APAC offer the scale and innovation velocity needed for growth. A prime example of this model is JP Morgan, which recently opened a 2.5 million sq ft headquarters in New York while simultaneously establishing a 2 million sq ft GCC in Mumbai for 30,000 employees. As digital transformation accelerates, APAC’s younger stock and vast talent base are positioned to remain the global benchmark for future-ready workplace strategies.

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