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Office leasing across 11 key Asia Pacific markets reached 9.8 million square metres (105.5 million sq ft) in 2025, reflecting an 11% year-on-year increase, according to Colliers. India emerged as the region's dominant market, accounting for 68% of total leasing activity and 55% of new office supply. Mainland China and Japan also contributed significantly to regional demand, while markets such as the Philippines, New Zealand and Hong Kong recorded sharp growth from lower bases. New office supply rose 19% year-on-year to 9.6 million square metres, led by India, Mainland China and Singapore. Institutional investments in the office segment climbed 21% to USD 58.6 billion in 2025, highlighting continued investor interest across the Asia Pacific region.
Office leasing activity across Asia Pacific strengthened in 2025, with total demand across 11 key markets reaching 9.8 million square metres (105.5 million sq ft), marking an 11% increase compared with the previous year, according to Colliers Asia Pacific Office Market Insights February 2026 report. Advertisement
The growth in demand was largely driven by strong leasing activity in India, Mainland China and Japan, which together accounted for more than 90% of the region's total office space absorption during the year. Markets such as the Philippines, New Zealand and Hong Kong also recorded notable increases in leasing volumes, although from relatively smaller bases, reflecting improving business sentiment and renewed expansion by occupiers.
Office supply across the region also expanded significantly during the year. New supply across the 11 markets rose 19% year-on-year to 9.6 million square metres (103.3 million sq ft). Eight of the 11 markets recorded increased supply, with India, Mainland China and Singapore collectively contributing around 82% of the new additions.
The report highlighted that leasing momentum accelerated in the second half of 2025. Office leasing in the region reached 5.3 million square metres (57 million sq ft) during H2 2025, representing a 19% increase compared with the first half of the year.
Arpit Mehrotra, Managing Director of Office Services at Colliers India, stated that demand across key Asia Pacific office markets had remained resilient despite geopolitical uncertainties. He noted that strong domestic economic growth in major economies, contained inflation and a relatively accommodative interest rate environment had supported both leasing activity and investment in the office sector.
Mehrotra added that demand and supply are expected to remain robust during the first half of 2026, supported by steady occupier expansion and an increasing preference for high-quality office spaces designed to meet evolving workplace requirements. As vacancy levels tighten in prime business districts and supply remains uneven across cities, occupiers are likely to become more selective and strategic in their leasing decisions.
India continued to play a dominant role in the regional office market. According to the report, the country accounted for nearly 68% of total leasing activity across the 11 Asia Pacific markets during 2025. India also contributed around 55% of the total new office supply delivered across these markets.
Vimal Nadar, National Director and Head of Research at Colliers India, stated that India's office sector had firmly established itself as a major demand centre within the Asia Pacific region. He noted that the country also recorded the strongest growth in office investments during 2025, highlighting its scale and resilience as a commercial real estate market.
Nadar added that steady economic growth, a diversified occupier base and the continued expansion of Global Capability Centres (GCCs) have been key drivers of office demand in India. These factors are expected to support sustained leasing activity and maintain the country's position as a preferred destination for long-term office investments.
Institutional investments in the Asia Pacific office sector also recorded strong growth during the year. Total investments in the segment rose 21% year-on-year to USD 58.6 billion in 2025, reflecting sustained investor confidence in the region's commercial real estate market.
The report noted that the Asia Pacific office sector is entering a new phase in 2026 where occupier strategies are becoming increasingly focused on quality and location rather than simply expanding overall space requirements.
Mike Davis, Managing Director of Occupier Services for Asia Pacific at Colliers, stated that office market momentum across the region remains steady. He observed that companies are becoming more deliberate about how, where and when they secure office space, with businesses increasingly recalibrating their workplace portfolios to prioritise efficiency and long-term operational needs.
As competition intensifies for prime assets and vacancy levels tighten in key office markets, the report expects rental growth to accelerate across several Asia Pacific cities during the first half of 2026.
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