Hyderabad tops India’s REIT-backed office market

metro india news  I hyderabad

Hyderabad has emerged as one of India’s leading office markets for institutional real estate, with Real Estate Investment Trusts (REIT)-owned assets accounting for 20 percent of the city's operational office stock, according to the latest ASSOCHAM-Knight Frank India report, "Building Viksit Bharat - Real Estate as a Catalyst for Growth".

The city has 129.1 million sq ft of operational office space, of which 26.2 million sq feet is REIT-backed. Hyderabad’s office REIT stock has more than doubled, rising 111 percent from 12.4 million sq ft in June 2025 to 26.2 million sq ft in June 2026. The sharp rise reflects growing institutional ownership, supported by established commercial hubs such as HITEC City and Hyderabad’s strong occupier base.

The city also recorded 0.8 million sq ft of operational retail REIT assets as of June 2026, highlighting the expanding institutional footprint across asset classes.

Joseph Thilak, Executive Director – Occupier Strategy & Solutions and Head of Data Center Business (India), Hyderabad, Knight Frank India, said the rapid expansion of REIT stock reflected the growing depth of institutional capital in Hyderabad’s commercial real estate market. The city’s established office clusters and occupier ecosystem would continue to support large-scale institutional portfolios and position Hyderabad as an important market for the next phase of India’s REIT-led office growth, he added.

At the national level, real estate attracted $59.8 billion in cumulative private equity investment between 2015 and H1 2026, with the office sector accounting for 46 per cent. Hyderabad is also strengthening its position in emerging segments such as GCCs and data centres, alongside its established office market.