GIFT City's office market is in its busiest phase yet. Reports published on 21 October 2026 say commercial office space in GIFT City is at nearly 100% occupancy, with plans to add about 3 million sq ft more. For companies looking for office space in GIFT City, and for families and investors watching Gandhinagar grow, this is welcome news.
As an authorised channel partner for builders across Ahmedabad, Gandhinagar and GIFT City, our team at Vital Space follows these trends closely. In this guide, we explain what is driving demand, what rents look like, how the two zones work and what it all means for anyone buying a home nearby.
In this article
• Why demand for office space in GIFT City is rising
• GIFT City office rent: SEZ vs DTA
• The 20-year GIFT City tax holiday explained
• What is coming next for GIFT City
• What this means for homebuyers and investors
• FAQs
Why demand for office space in GIFT City is rising?
The International Financial Services Centre (IFSC) is the main engine. Finance Ministry data reported in August 2026 shows 1,193 registrations at GIFT IFSC by 31 March 2026, up from 110 in March 2021. Of these, 652 entities were actively operating, including 37 banking units, 217 fund management entities and 70 insurance entities.
Large corporate occupiers are adding to that base. A January 2026 report noted strong office leasing in GIFT City during 2025:
• Cognizant leased over 1 lakh sq ft.
• Oracle and Federal Bank each leased about 30,000 sq ft.
• Tata Electronics and InterGlobe Aviation Financial Services IFSC also took space.
By October 2026, office occupancy was reported at nearly 100%, with banking and fintech firms as the core occupiers. In simple terms, ready office floors in GIFT City are hard to find today, which is why new supply is a priority.
GIFT City office rent: SEZ vs DTA
GIFT City is divided into two zones, and the zone affects both who can lease there and what they pay.
• SEZ (Special Economic Zone): About 261 acres. This is where the IFSC sits, so banks, fund managers, insurers and other IFSC-registered entities operate here.
• DTA (Domestic Tariff Area): About 625 acres. This is the non-SEZ part of GIFT City, used for businesses serving the domestic market, along with homes, schools and other social infrastructure.
Here is a simple example. A fund manager that wants IFSC registration and its tax benefits needs space in the SEZ. A technology or services company working mainly with Indian clients can choose the DTA instead.
Average monthly rents reported in January 2026:
Location | Monthly rent (₹ per sq ft) |
GIFT City DTA | 95 to 116 |
GIFT City SEZ | 126 to 137 |
Mumbai BKC, for comparison | 450 to 475 |
The same report said average rents across GIFT City rose about 10% after the 2025 leasing surge, and the October 2026 update also mentioned rents rising about 10% over the last 18 months. Actual rent for a specific office depends on the building, floor, fit-out and lease length, so treat these as broad guides.
The 20-year GIFT City tax holiday explained
In the Budget 2026-27, presented on 1 February 2026, the Centre doubled the tax holiday for businesses in GIFT City IFSC.
• Before: IFSC units and offshore banking units received a 100% tax exemption for 10 years within a 15-year block.
• Now: IFSC units can claim the holiday for 20 consecutive years out of 25, and offshore banking units for 20 consecutive years.
• After the holiday: Business income is taxed at 15%, according to the Business Standard report.
• Effective from: 1 April 2026.
Why does this matter for real estate? A longer tax window gives banks and fund houses the confidence to plan for the long term. That usually means longer office leases, more hiring and more professionals looking for homes close to work.
What is coming next for GIFT City?
The October 2026 update outlines several next steps:
• About 3 million sq ft of new office space planned by March.
• A push to attract Global Capability Centres (GCCs) and semiconductor research facilities, with talks with Micron reported as part of building an R&D ecosystem.
• Land earmarked for schools, hotels and serviced apartments by fiscal year 2027.
The bigger picture is the master plan. GIFT City is planned for 62 million sq ft of built-up area, split into 67% commercial, 22% residential and 11% community space. The January 2026 report noted that about half of this planned area had been allotted, with 25 buildings completed and 37 under construction.
Commercial property in GIFT City: a long-term market
If you are thinking of buying commercial property in GIFT City as an investment, take a long view. In the January 2026 report, Anand Pandit, Chairman and Managing Director of Sri Lotus Developers and Realty, described GIFT City as “not a market for quick returns” and said developers need a longer-term outlook than in established metros. We share that practical view. Before choosing a property for investment, compare the building, tenant demand, lease terms and associated costs. Rental income and capital values depend on these factors, and no return is guaranteed.
What this means for homebuyers and investors
More offices bring more professionals, and many of them want to live close to work. That supports housing demand inside GIFT City and in nearby parts of Gandhinagar. Professionals planning to live closer to their workplace can explore available flats in GIFT City to compare residential options, prices and amenities.
If you are… | What to consider |
Working in GIFT City | A home inside or near GIFT City can save daily travel time |
Relocating with family | Check upcoming schools and social infrastructure in the DTA |
A rental investor | Look at distance to office towers and tenant profile |
An NRI buyer | Confirm GujRERA details and loan eligibility before booking |
Our team can share current residential options in GIFT City, with floor plans, possession dates and RERA details, so you can compare them side by side.
FAQs
What is the rent for office space in GIFT City?
As reported in January 2026, average monthly rents were about ₹95 to ₹116 per sq ft in the DTA and ₹126 to ₹137 per sq ft in the SEZ. Actual rent depends on the building, floor and fit-out.
What is the difference between SEZ and DTA in GIFT City?
The SEZ houses the IFSC, where banks, fund managers and other IFSC-registered entities operate. The DTA is the non-SEZ part of GIFT City, used by businesses serving the domestic market and for homes and social infrastructure.
How long is the GIFT City tax holiday now?
From 1 April 2026, IFSC units can claim a tax holiday for 20 consecutive years out of 25, up from 10 years within 15.
Can I buy a flat in GIFT City if I work there?
Yes. Several residential projects are under construction in GIFT City. Check each project's GujRERA registration, possession date and full cost sheet before booking.
Final word
Near-full occupancy, new supply on the way and a longer tax holiday all point to steady growth in demand for office space in GIFT City. For homebuyers and long-term investors, this growth is a good reason to study the market closely and choose carefully.
Looking for verified options in GIFT City? Call or WhatsApp Vijay at +91 99984 70000 or visit vitalspace.in.
Disclaimer
This article is for general information only. While we try to keep it accurate, we cannot guarantee that all information is 100% complete or correct. Some content has been prepared with the help of AI tools and publicly available sources, and project details may change without notice. Please verify all information yourself, including on the GujRERA website and with the developer, before making any property-related decision. RERA: AG/GJ/AHMEDABAD/AHMEDABAD CITY/AUDA/AA00842/160429R2