Flex Space Gaining Momentum

May Reach 100 Million Sq Ft by 2027

Colliers India Report

India’s flex office market is witnessing strong growth. According to a latest report by Colliers India, the country’s flex office space segment could exceed 100 million sq ft by 2027, driven by demand from enterprises and GCCs.

Currently, flex space stock stands at 72.3 million sq ft and is expected to cross 100 million sq ft by 2030. Bengaluru remains the largest flex market with a 31% share, followed by Pune at 11.5%. The share of flex space within the total office stock is also rising, projected to increase from 8.5% in 2025 to 10.5% by 2027. Average annual seat absorption is expected to grow by 25% over the next two years, reaching nearly 200,000 seats, compared to 160,000 seats absorbed in 2024 and 2025.

Flex operators are accelerating expansion into Tier-2 cities such as Ahmedabad, Chandigarh, Kochi, Coimbatore, and Jaipur, where rentals are 30–35% lower than Tier-1 cities. These locations offer cost advantages for hub-and-spoke and distributed workforce models. Colliers estimates that Tier-2 cities could account for 10–15% of India’s flex stock by 2027. Demand is expected to be driven 60–65% by technology and BFSI sectors. Colliers India Office Services Managing Director Arpit Mehrotra stated that India’s flex market is entering a critical growth phase.