Market Intelligence · Pune Commercial Hub · 2025

Pune Commercial Real Estate Market Report 2025

Annual market intelligence report on Pune commercial real estate. Office absorption, rental trends, area performance, investment yields and market outlook for 2025–2026.

📅 Published: January 2025🔄 Updated: June 2025📊 Data source: Pune Commercial Hub market research

Executive Summary

Pune commercial real estate market demonstrated strong resilience in 2024-25, with office absorption reaching an estimated 8-10 million sq ft annually. Demand continues to be driven primarily by IT, ITES and financial services sectors, with emerging demand from GCCs (Global Capability Centres) and co-working operators.

West Pune — particularly Hinjewadi, Baner, Balewadi and Wakad — maintained its position as the dominant commercial corridor, driven by sustained IT and ITES sector demand and consistent infrastructure investment along this stretch.

Key Market Metrics 2025

8–10M sqft

Annual Absorption

▲ Growing

12–18%

Grade-A Vacancy

▼ Declining

5–8% pa

Average Rental Growth

▲ Stable

65–70%

IT Sector Share

→ Stable

20–25%

GCC Demand Share

▲ Rising fast

6–8M sqft

New Supply 2025

→ Moderate

Area Performance Scorecard

Area

Office Rent

Vacancy

Yield

Rating

Baner

₹55–110

12%

6–8%

⭐⭐⭐⭐⭐

Hinjewadi

₹45–95

15%

6–9%

⭐⭐⭐⭐

Balewadi

₹50–100

14%

6–8%

⭐⭐⭐⭐

Wakad

₹40–80

18%

6–7%

⭐⭐⭐

Market Outlook 2025–2026

🟢

GCC Expansion

Global Capability Centres are increasingly choosing Pune for India operations. This demand segment is expected to absorb 2-3 million sq ft annually in 2025-26, with Hinjewadi and Baner as preferred locations.

🟢

Metro Impact

Pune Metro Phase 2 covering Hinjewadi and key commercial zones is expected to significantly boost commercial values along the metro corridor. Properties within 500m of metro stations may see 15-20% appreciation post-connectivity.

🟡

Supply Pressure

Significant new supply expected in 2025-26 may moderate rental growth in some micro-markets. Quality differentiation between Grade-A and B properties will increase. Prime location Grade-A assets should maintain strong absorption.

🟢

Investment Activity

Pre-leased commercial assets continue to attract strong investor interest given 6-9% yields vs 2-3% from residential. REIT listing activity in India is driving institutional interest in quality commercial assets.

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