Hyderabad: Hyderabad’s real estate sector maintained stable growth during the first half of 2026, with the residential market showing steady demand while commercial office leasing recorded strong expansion. The growth was largely supported by Global Capability Centres (GCCs), technology companies and multinational firms expanding their operations in the city.
According to real estate market data, Hyderabad recorded approximately 7.5 million square feet of office transactions during H1 2026, representing a rise of nearly 29% compared with 5.9 million square feet during the same period in 2025. The strong performance highlighted Hyderabad’s growing position as one of India’s leading commercial and technology hubs.
GCCs Lead Hyderabad’s Office Space Demand
Global Capability Centres emerged as the largest contributors to Hyderabad’s office leasing activity. GCCs reportedly occupied around 3.4 million square feet of office space, accounting for approximately 45% of the city’s total leasing volume during the first six months of 2026. Their share increased from about 40% during the corresponding period of the previous year.
GCCs are specialised centres established by international companies to manage technology, research, finance, data analytics, customer support and other important business operations. Hyderabad continues to attract these centres because of its skilled workforce, established technology ecosystem, modern infrastructure and availability of high-quality office developments.
Office Rentals Record Steady Growth
Strong demand for premium commercial properties also contributed to an increase in office rental values. The average transacted office rent in Hyderabad rose by approximately 7% year-on-year to ₹80 per square foot per month during H1 2026.
Major business locations such as HITEC City, Madhapur, Gachibowli, the Financial District and surrounding technology corridors continued to attract interest from large companies. Demand remained particularly strong for modern Grade A office buildings offering advanced facilities, sustainable infrastructure and convenient access to residential areas.
Hyderabad Housing Market Remains Stable
While the commercial property sector witnessed strong growth, Hyderabad’s residential market remained largely steady during the first half of the year. Housing demand continued to be supported by employment opportunities, infrastructure development and the expansion of the city’s technology and corporate sectors.
Homebuyers continued to show interest in well-connected residential areas located near major employment centres. However, buyers became more selective because of increasing property prices and higher construction costs. Demand remained focused on projects offering reliable connectivity, essential facilities and long-term investment potential.
The stable performance suggests that Hyderabad’s housing sector is entering a more balanced phase after experiencing rapid growth in recent years. Rather than a sharp slowdown, the market appears to be moving towards sustainable demand supported by genuine homebuyers and long-term investors.
Technology and Corporate Expansion Support Real Estate
The continued expansion of technology companies and multinational businesses is expected to benefit both the commercial and residential property sectors. New offices can create employment opportunities and increase housing demand in nearby locations.
India’s wider office market also achieved record leasing activity during H1 2026, supported by the expansion of GCCs and flexible workspace companies. This trend reflects the growing importance of Indian cities as global centres for technology, research and corporate operations.
Positive Outlook for Hyderabad Real Estate
Industry trends indicate that Hyderabad’s commercial property market may continue to experience healthy demand during the remaining months of 2026. GCC expansion, technology investment and demand for flexible workspaces are expected to remain important growth drivers.
The residential market is also expected to maintain stable momentum, although affordability, property prices, infrastructure development and interest rates may influence future buying decisions.
Overall, Hyderabad’s real estate market delivered a balanced performance during H1 2026. Stable housing activity and strong office leasing demonstrate the city’s continuing appeal to homebuyers, investors and global businesses.
