Hyderabad is moving beyond its previous status as a low-cost provider of IT services and is opening up new opportunities in the urban economy by establishing GCCs. Previously, companies considered Hyderabad mainly for cost-saving purposes, but now they are also attracted to Hyderabad for its ability to provide high-quality services and to create a high-quality lifestyle.
The GCCs represent a major driver for change in Hyderabad’s real estate market, forming the basis for the development of New Hyderabad (located near Rajiv Gandhi International Airport) and surrounding areas. Hyderabad has witnessed an extraordinary increase in the creation of global capability centres (GCCs). Over the past 3 years, Hyderabad has hosted approximately 40-46% of the newly created GCC (GreenField/Capture) locations in India. Today, there are approximately 360 GCCs located in Hyderabad with more than 310,000 qualified employees working at these GCCs, including engineers and technologists in various fields such as AI, cyber security, research & development (R&D), bio-sciences, and financial technology. As a result of rapid job growth in terms of high-value, high-paying white-collar jobs, the quantity and nature of the workforce have changed dramatically, and the reality of what is expected of a skilled employee in the future has changed significantly regarding the amount of pay they will receive.
Commercial real estate is seeing a similar response. Demand for Class A office space has dramatically increased with a 100 per cent increase in absorption over the last year, as global companies look for flexible floor space, environmentally sustainable (ESG) buildings, and technology-stemmable workspaces. The next generation of office-oriented properties is currently under development and construction, with estimates indicating a total delivery of 200 million square feet of new office space between today and 2030. This pivot of development includes areas such as HITEC City, Gachibowli, the Financial District, and Outer Ring Road, positioning Hyderabad as one of Asia’s most ready-for-the-future office markets. However, the story is not strictly only about office space.
Demand for residential space is “pre-immunizing”. In November 2025, residential registrations increased by 25 per cent year-over-year, reflecting a significant jump in registration activity. There has also been an explosion of high-end residential sales (greater than ₹1 crore), $111,400, which now account for significantly more transaction value than ever before. There are incredible opportunities within micro-markets such as Kokapet, Tellapur, and Narsingi; buyers are requesting larger unit sizes and health-orientated developments and mixed-use communities over isolated buildings. The changing income profile and increased aspirations in Hyderabad’s workforce are redefining residential demand.
This geographic transformation is moving forward through the largest local government reorganisation in the history of India: the incorporation of over 27 urban local governments surrounding the city of Hyderabad into the Greater Hyderabad Municipal Corporation (GHMC), increasing their area from approximately 650 square kilometres to over 2000+ square kilometres, making it one of the largest municipal corporations in India by area. This increase in area is not just an administrative exercise for the GHMC; it will open up thousands of acres of land on the outskirts of the city for development and create opportunities for new planned infrastructure, logistics centres, data centres, and communities on these large tracts of land. Thus, demand for these fringe communities should rise, as many will quickly become beacons for new residents. There are also several ongoing infrastructure projects that will help sustain momentum in the development of these areas. The extensions to the Metro System, the recent opening of new radial connectors, and the Outer Ring Road will continue to connect new micro-markets to the rest of the city. The single-window approvals provided by the Telangana government, digitised land records, and investor-friendly policies are allowing real estate developers to turn projects around with a far faster execution time and a high degree of predictability; this predictability is valuable in the eyes of foreign investors and is a significant advantage in their favour.
A quieter revolution is taking place within both proptech and lifestyle design. Because of this, buyers now expect a property to include features such as green certification, smart home systems, an emphasis on health in the floor plan and walking distance to retail. In response, developers are now focusing on creating townships that prioritise health and wellness by providing integrated amenities and sustainability. This shift indicates that Hyderabad has moved from solely chasing high-volume development to developing the quality of urban living through wellness and green initiatives.
What will happen next in Hyderabad? Assuming that, as a result of ongoing expansion and development of the GCC, job opportunities will exceed pay rates more than those being developed today, and that the alignment of support services such as infrastructure and governance will continue to prosper, Hyderabad’s real estate market will likely support equilibrium between premium urban cores and emerging suburban development markets. Hyderabad faces the greatest challenge: can it continue to grow without compromising sustainability? Ultimately, sustainability can be defined by the balance between density, civic services, and green planning; achieving this balance is the key to long-term viability.
In summary, it is not a coincidence that Hyderabad is growing! The city’s growth is the result of gathering capabilities with civic clarity, and the visible proof of this is the property market.
