Global corporates target over 100m sqft of new workspace

Corporate real estate leaders are betting on the future of offices as they seek to build resilience into their businesses in the shadow of economic, geo-political and technological disruption, according to the latest research from global real estate advisor Knight Frank.

Knight Frank’s fourth edition of its (Y)OUR SPACE survey draws on the responses of almost 300 corporate real estate leaders with direct responsibility for over 650 million sq ft of space across the globe.

The research reveals how some of the world’s largest international corporations are seeking to balance costs with the need to transform their business operations, while also offering tech-enabled hybrid workplaces that ensure flexibility and resilience in an uncertain global environment.

As many as 63 per cent of the corporate real estate leaders surveyed expressed concern about economic and geopolitical volatility. But instead of freezing decision-making, companies are taking action by building optionality into their space strategies, including shorter leases, more flexible formats, and locations that align with risk diversification and talent access.

Far from pulling back, many corporates are accelerating change. 50 per cent of respondents expect their total footprint to grow over the next three to five years, the equivalent of 104 million sq ft of space. 27 companies are expecting to expand by over 20 per cent - creating up to 49 million sq ft of demand from those firms alone.

Hybrid models continue to dominate and drive workplace design. Workstyle evolution remains a key factor for corporate real estate leaders, selected by nearly 30% of respondents to the (Y)OUR SPACE survey and the third most influential factor in shaping their real estate strategy over the next 3 years. Despite high profile ‘return to the office’ directives requiring employees to be present five-days a week from some major corporates, these ‘office only’ workstyles are expected to be used by just 10 per cent of those surveyed. 46 per cent expect to follow a hybrid workstyle, and a further 22 per cent plan to be ‘office first’. By contrast, only 7% of those surveyed expect to be ‘remote first’ and just 4% plan to offer a ‘work from anywhere’ arrangement.

33% of respondents said their biggest challenge is improving workplace utilisation. As hybrid work settles into the mainstream, leaders are redesigning offices to support outcomes rather than presence, which means workplaces that drive engagement, support culture, and deliver measurable productivity gains.

Commenting on the findings of the report, Shishir Baijal, Chairman and Managing Director, Knight Frank India said, “Corporate real estate complexities today are being shaped by a convergence of strategic alignment, operational volatility, and fast-evolving workstyles—all against a backdrop of compressed timelines and cost discipline. The CRE function is no longer reacting from the sidelines but is being repositioned at the centre of enterprise transformation. In India, this shift is already underway. Office leasing in the country reached 71.9 million sq ft in 2024—a 21% YoY growth—while 2025 has started on a strong footing, clocking 28.2 million sq ft in Q1 alone, up 74% YoY. As global firms recalibrate their footprints, India is braced for intensified demand—not just for space, but for future-ready, flexible environments that can deliver performance, resilience, and purposeful design in equal measure. Corporate real estate is being recast. It is no longer the backdrop to business—it is the dynamo. And the next era will be led by those who act with intent, build with agility, and lead with conviction.”

In a world driven by cutting-edge technology, it is important for global capability centres to create a truly tech-savvy office space. The innovation hub needs to keep pace with the digital age and set a standard for the future of work. The landscape of global capability centres is rapidly evolving. Today, it’s not just about cost efficiency; it’s about building resilient, innovative, and talent-centric hubs.

I have been in the Gulf for three years and investing in a project in Hyderabad. Is GST applicable to all types of residential projects? Please clarify. Mohamed Ali Khan, Sharjah.

The impact of GST on residential property depends on the phase of construction, the location as well as the type of project. For example, GST impact will be observed more in case of new launches as compared to near completion projects. Similarly, projects in suburban areas will be more impacted when compared to city-centre projects.

I have remitted initial advance amount for an apartment but the project has been delayed for three years. Repeated reminders were in vain. What is the legal remedy available now? Pradeesh Lal, Dubai.

You will have to refer the agreement with the developer and the schedule of completion. If there is deficiency in service with regard to delivering the project on time, you have a legal remedy against the developer. Recently courts have taken a tough stand against erring builders. You can also lodge a complaint with the consumer redressal forum.