Hyderabad

Oct 10, 2025

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How Hyderabad’s GCC Wave Is Rewriting Its Real Estate Map?:

If you ask any Hyderabad broker what’s happening lately, they’ll tell you one thing: “The city’s next Bengaluru of India

After reading both Knight Frank and Colliers reports for Q3 2025, that feels exactly right.


Just wanted to share what I observed in recent reports in brief hoping it might help others(took gpt help for structuring):

1) Office market analysis

Let’s start with the office side because Hyderabad’s biggest story this year is the Global Capability Centre (GCC) boom.

According to Knight Frank, Hyderabad clocked 2.9 million sq ft of office leasing in Q3 2025, up by 33% compared to last year.

That’s the second-highest among Indian cities, right after Bengaluru.

Why the jump?

Because GCCs took 45% of that space. Companies like Goldman Sachs leased large blocks in RMZ Skyview and Sattva Knowledge City.

Demand is definitely what led to 177 crore deal recently in Raidurg.


• Tech firms drove half of the leasing activity, followed by BFSI with about 25%.

• Vacancy came down to 23%, falling by about 1.6 percentage points in a year.

• And rents? They climbed ~14% YoY, with SBD touching ₹100 per sq ft/month, city average at ₹88.


So what’s fueling this?

Global firms expanding their in-house operations rather than outsourcing.(Global insecurity concerns fueled by bews like H1B visa news)

• Overcrowding and saturation concerns in Bangaluru

• Steady infrastructure in the west — ORR access, new metro stretches, and Kokapet road upgrades — keeps drawing occupiers.



2) Residential Story

On the housing side, Knight Frank shows a calmer, more balanced picture.

Hyderabad saw 9,600 units sold in Q3 2025, which is a 5% rise from last year small but steady.

But here’s the real twist prices jumped 13% YoY, among the strongest in India, even though sales were flat.

Why?

Because most buyers now play in the ₹1 crore+ bracket. The under-₹1 crore segment’s share dropped to 48%, from 54% last year.

The premium end driven by GCC expats, IT managers, and investors is what’s keeping prices up.

Developers, of course, followed the money: new projects launched were larger-ticket and concentrated in Kokapet, Gachibowli, Narsingi, and Tellapur.

Those areas are practically extensions of the tech corridor so every corporate lease in Madhapur ends up sparking a flat booking in Kokapet.


Also, Inflation is under control (around 2%), and interest rates are lower by 1 percentage point from 2024, making home loans slightly easier.



New infra upgrades (airport expansion, metro phase 2, Neopolis projects) are adding long-term confidence.


In short Hyderabad’s 2025 market isn’t exploding; it’s maturing.

Happy to see all the growth of my city but just hope in this race, it doesn't remain lacking in social infra like metro network recently saw the report of it is now ranked 4 for accounting total metro network among multiple cities.

Similarly hoping it could restore its 'tree city of the world' title backed in 2021-2022.

1 Comments

Rajivgupta
Happy to see growth but we are no where close to Bengaluru, the office absorption is bengaluru is still record high. I really agree with you last point and hope we develop on social infra
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