2024 delivered a record-breaking year in terms of absorption and sustainable supply. Leasing volumes hit historic highs, green-certified spaces gained overwhelming tenant preference, and development activity concentrated in markets with infrastructure depth and regulatory readiness. Additionally, it also laid down a blueprint for what investors must now focus on, in 2025. But to assess where commercial real estate is headed in 2025, it is essential to begin with the underlying patterns that defined the last calendar year.
2024 Commercial Real Estate Performance: Scale, Structure, and Signals for What’s Next
India’s office market achieved its highest-ever gross absorption in 2024, recording 79 million sq. ft. of leasing activity, a 16% year-on-year increase (CBRE Q4 2024). This expansion was led by Global Capability Centres, BFSI institutions, and technology majors, each demonstrating a preference for Grade-A and future-ready commercial assets.
What set this leasing cycle apart was not just the volume, but the structure of the demand. Key trends included:
These shifts in leasing behaviour highlight more than market momentum, they indicate a set of qualitative filters now shaping both occupier and investor decisions. For 2025, recognising these benchmarks is essential to understanding where capital is consolidating and why certain assets are outperforming.
India’s commercial office sectors performance is being driven by a multitude of factors. As capital becomes more discerning, three critical filters have emerged at the centre of commercial real estate decision-making: sustainability, grade relevance, and micro-market precision.
In Q4 2024, over 50% of new office completions were green-certified, with 80–85% of future pipeline expected to follow this trend (CBRE Q4 2024, ET Realty). Furthermore, more than 70% of leasing activity took place in green-certified buildings, underscoring ESG compliance as a central occupier requirement.
This transition not only reflects a regulatory obligation, but also a core strategic priority for global tenants. Corporate sustainability goals and green-certified infrastructure is now non-negotiable. Developers are adjusting accordingly, embedding compliance, energy efficiency, and smart design from the outset.
India’s commercial leasing landscape in 2024 was dominated by the surge in demand for Grade-A office assets. Gross leasing activity across the top six cities reached 47 million sq. ft. by Q3, representing a 23% year-on-year increase, and by year-end, Grade-A absorption was projected to cross 60 million sq. ft., the highest in India’s history (Economic Times).
But even within the Grade-A category, a deeper shift is underway. The market is now favouring “relevant-grade” buildings, assets that go beyond minimum classification standards to deliver digital integration, ESG compliance, wellness infrastructure, and future-proof layouts.
Alongside sustainability and grade, micro-market selection is emerging as a third determinant of asset performance. Institutional capital is not spreading widely, it is going deep, favouring established corridors with infrastructure depth, high occupier density, and regulatory clarity.
This targeted deployment is most evident in Pune, Bengaluru, and Hyderabad. These cities accounted for 67% of India’s total new office completions in 2024, contributing to a cumulative 52.3 million sq. ft. of new supply (CBRE Q4 2024). Within these cities, select submarkets have consistently absorbed the bulk of institutional leasing activity due to their alignment with occupier priorities, operational resilience, and compliance infrastructure.
Among these, Pune, and more specifically, Kharadi NX, has evolved from a promising node to a strategic investment destination, setting a new institutional standard in micro-market performance.
With robust infrastructure, a strong tenant base, and high-grade development activity, Pune ranked among the top three cities for leasing and new completions in 2024. Within this landscape, Kharadi NX has also transitioned from a growth node to a fully institutionalised commercial corridor. It now offers the core fundamentals that investors seek: connectivity, tenant concentration, and scalable asset formats designed for long-hold performance.
Key drivers fuelling Kharadi NX’s ascent include:
One of the key developments include Omicron Business Landmarks, a project that exemplifies the market’s direction. It features high-efficiency office formats, integrated ESG infrastructure, and strategic connectivity, making it well-positioned to attract long-term, high-value tenants.
And we at SQUAREA, specialise in identifying such institutional-grade commercial assets across India’s most resilient and performance-led markets. Whether your objective is income yield or long-hold appreciation, our expert team will align your strategy with developments that meet international benchmarks and domestic regulatory confidence. Write to us at hello@squarea.io or call +91 90 9641 9641 to capitalise on this opportunity strategically!
In an era of global uncertainty, balancing growth with capital protection has become paramount. And, for India’s wealthy, investment choices extend beyond the traditional to those that deliver resilience, legacy, and tangible value. Recent data shows that around 60 per cent of India’s Uber Rich wealth remains parked in real estate and gold, highlighting the continued preference for physical assets over volatile financial markets. (Economic Times)
Against this backdrop, the debate around residential real estate vs equities is sharper than ever. The distinction lies not only in potential returns but in the sustainability, stability, and strategic function each asset contributes to an HNI or UHNI portfolio. This makes it essential to first understand why real estate continues to anchor HNI wealth before assessing equities in comparison.
The preference for property stems from its tangible, income-yielding, and inflation-hedging qualities. Unlike equities, residential real estate is both a lifestyle asset and an appreciating investment.
This explains why wealth creation through real estate remains central to HNI investment strategies India, with property often forming the largest asset class in their holdings. To understand the contrast, it is important to evaluate what equities bring to the table.
Equities, both domestic and global, remain a vital channel for growth-oriented investors. They provide higher liquidity, scalability, and exposure to innovation-led sectors.
This upside comes with cyclical volatility and exposure to macro shocks, making them less suited for those prioritising capital preservation. It is here that a direct comparison between real estate vs stock market returns becomes essential.
When directly compared, real estate and equities offer distinct outcomes depending on time horizon and risk appetite.
| Asset Class | Typical Annual Return | Volatility & Stability | For HNI Portfolios |
|---|---|---|---|
| Residential Real Estate | 8-10% expected annual price growth in key cities in the next 5 years (K Raheja) | Low. Values change gradually, providing steady, predictable gains | Excellent for diversifying risk and preserving wealth |
| Equities (Indian Stocks) | Nifty 50 delivers ~12–14% average annual returns (Finextra) | High. capable of rapid swings driven by macro events and sentiment | Great for long-term growth and liquidity, but subject to market cycles |
Thus, while equities can accelerate wealth in growth phases, property delivers sustainability and legacy value. This is precisely why Indian HNIs continue to favour real estate over other avenues.
HNI and UHNI portfolios in India reflect cultural preference and strategic choice. The Bernstein report underscores this: Out of USD 2.7 trillion in serviceable assets owned by India’s Uber Rich, around 60 per cent still remains in real estate and gold. (Economic Times)
This preference is not a dismissal of equities but an acknowledgement that alternative investments for HNIs, like real estate, offer stability during market turbulence. The next step is to consider how portfolios can be structured to benefit from both asset classes
For HNIs and UHNIs, the most effective approach is not choosing one asset over the other, but aligning allocations with long-term goals.
This blended strategy ensures resilience in downturns and growth in upswings, delivering sustainable wealth across generations. It underlines the fact that the real debate is not either-or, but how the two work best together.
At SQUAREA, we guide discerning investors in identifying prime opportunities where property not only preserves wealth but also compounds it. To explore bespoke strategies in India’s most prestigious markets, connect with us at hello@squarea.io or call +91 90 9641 9641.
PUNE, INDIA, September 9, 2025 /EINPresswire.com/ -- For years, investors have turned to financial planners, tax consultants, and fund managers for strategic advice. However, when it comes to one of the most enduring asset classes, real estate, the importance of timely and accurate advice is often overlooked.
India is on the cusp of a historic wealth shift. Over the next decade, an estimated $1.3 trillion is set to change hands across generations, making it one of the largest intergenerational transfers in the world (Financial Express). This demographic shift is fueling the rapid rise of family offices in the country, which have expanded from just 45 in 2018 to nearly 300 in 2024, as ultra-wealthy families seek more structured approaches to estate planning and governance.
In this landscape, Real estate as a multi-generational asset stands apart. Bernstein reports that nearly 60 per cent of India’s uber-rich wealth remains parked in real estate and gold, underscoring the continued preference for tangible assets over volatile markets. (Economic Times) For High Net Worth Individuals (HNIs) and Ultra High Net Worth Individuals (UHNIs), property is more than a financial holding. It is a legacy vehicle, an identity marker, and the most enduring tool of wealth transfer.
The centrality of property to Indian wealth is not accidental. It is deeply rooted in both financial performance and cultural meaning.
These attributes explain why legacy wealth transfer through real estate remains a preferred approach among Indian HNIs. But legacy value also depends on how effectively succession is structured.
For families, property ownership is only part of the equation. The real challenge lies in ensuring that wealth is transferred smoothly, securely, and without conflict.
By prioritising these legal and structural measures, families can ensure that real estate inheritance in India strengthens their legacy instead of becoming a source of conflict. With the legal foundations in place, the focus shifts to how HNIs actively deploy property as a cornerstone of long-term wealth transfer and continuity.
With legal frameworks addressed, HNIs can focus on strategies that make property an active instrument of continuity rather than a passive holding.
Together, these strategies highlight how family wealth preservation real estate is not only safeguarded but actively leveraged to sustain continuity across generations. The relevance of these strategies becomes even clearer when viewed against global benchmarks, where real estate consistently anchors dynastic wealth across regions.
India’s experience is part of a broader global trend, where property remains the preferred foundation of dynastic wealth.
These insights confirm that family wealth preservation in real estate is not unique to India but reflects a universal approach to safeguarding and transferring wealth across generations. Unlike equities or cash holdings, property offers tangibility, resilience, and the ability to serve as both a lifestyle and financial asset. It preserves family identity while compounding value, making it the ultimate tool for multi-generational wealth continuity.
At SQUAREA, we help India’s most discerning families structure portfolios where property is not just an investment but a legacy. To explore bespoke strategies in real estate as multi-generational assets, connect with us at hello@squarea.io or call +91 90 9641 9641.