According to industry estimates, SCO projects are thriving across the region, with many already operational in Gurugram, Noida, Greater Noida and Faridabad. Gurugram, in particular, has seen significant expansion, dedicating 71.6 acres of land to SCO development over the past two years.

From Grade-A office spaces and shop-cum-office (SCO) complexes to Grade-A malls and high-street retail formats, the National Capital Region (NCR) is witnessing rising rental yields and strong capital appreciation, making it the preferred choice for both domestic and global investors. This evolution is being propelled by a combination of planned infrastructure upgrades, robust leasing activity, growing institutional interest and the emergence of dynamic new micro-markets. A joint study by industry and trade advocacy group FICCI and real estate consultancy Colliers showed that India's commercial office market achieved “record-breaking” absorption of 66.4 million square feet (msf) in 2024 and projected the market to touch 65-70 msf demand in 2025. Separately, a report by Colliers for the first quarter of 2025 said the office leasing activity across the top seven markets during the three-month period stood at 15.9 msf, rising by 15 percent annually. New supply remained steady at 9.9 msf during the quarter. Delhi-NCR saw its highest quarterly leasing in the last 10 quarters at 3.3 msf and the region also witnessed 2.7 msf in new supply in Q1 2025. The report highlighted that average rentals increased by 8 percent during the quarter while vacancy dropped by 120 basis points on an annual basis across top micro-markets.

Robust Office Leasing Fuelling SCOs & High-Street Retail

Robust Office Leasing Fuelling SCOs & High-Street Retail Pankaj Jain, founder and chairman and managing director (CMD) of developer SPJ Group, said that investors and end users are increasingly drawn to mixed-use projects like SCO formats and high-street retail, recognising their versatility for a wide array of businesses. “Over the past two to three years, the popularity of these commercial real estate segments has surged, placing them at the forefront of new development. While such development has seen a significant spike across NCR, markets like Dwarka Expressway and New Gurugram have seen healthy traction. Besides, we are noticing an interesting trend of domestic and global investors exploring potential and new opportunities in markets like Old Gurgaon which holds immense growth for organised and high-end mixed-use developments,”he said. According to industry estimates, SCO projects are thriving across Delhi-NCR, with many already operational in Gurugram, Noida, Greater Noida and Faridabad. Gurugram, in particular, has seen significant expansion, dedicating 71.6 acres of land to SCO development over the past two years. Prakash Mehta, CMD of realty firm Ocus Group, said that the SCO segment is growing robustly, expanding at an annual rate of 30-40 percent in different parts of Gurugram.