Artificial Intelligence Adoption Surges Across Corporate Real Estate in India, Says JLL Report

Artificial Intelligence has rapidly shifted from being a futuristic concept to an immediate operational priority for Corporate Real Estate teams in India, according to a new report released on Wednesday.

Data compiled by JLL shows that 91 percent of companies are currently piloting AI across office and workplace use cases. This marks a sharp rise from less than 5 percent in 2023, reflecting a dramatic acceleration in enterprise-level experimentation and adoption.

AI Becomes Core to Cost Reduction and Space Optimization​

The report highlights that Indian companies are increasingly deploying AI tools to reduce operating costs and enhance space utilization. With hybrid work models reshaping workplace strategies, businesses are focusing on smarter office planning and efficiency-driven real estate decisions.

Ajit Kumar, Managing Director Work Dynamics Accounts West Asia at JLL, stated that AI adoption in India has increased 18 times in just two years. However, he cautioned that the next critical phase involves delivering measurable savings and tangible performance improvements.

He emphasized that organizations that define clear performance targets, enhance data quality, and modernize outdated systems are more likely to succeed. Companies that fail to establish structured implementation frameworks may struggle to convert pilot projects into real business value.

Scaling AI Remains a Challenge for CRE Teams​

While AI pilots are widespread, the transition from experimentation to full-scale operational integration remains complex. The study indicates that systematic and enterprise-wide AI integration is still evolving.

Many firms continue to test isolated use cases rather than adopting coordinated, long-term digital transformation strategies. This fragmented approach is slowing measurable impact across corporate real estate functions.

The urgency is intensifying as global corporations reassess their India office strategies and hybrid workforce policies. Cost optimization through data-driven space management has emerged as a board-level priority, with 93 percent of senior executives ranking it as a key business objective.

Real Estate Leadership Aligning with Technology Functions​

The report projects a structural shift in reporting lines within organizations. By 2030, approximately 33 percent of workplace real estate heads are expected to report directly to Chief Technology Officers, compared to 16 percent currently.

This transition signals a broader evolution in how companies view corporate offices. Workspaces are increasingly being managed as technology-enabled platforms rather than static physical assets.

Infrastructure Gaps and Talent Shortages Slow AI Expansion​

Despite strong momentum, significant barriers remain. The study found that 57 percent of organizations lack a clearly defined AI strategy, resulting in scattered pilot initiatives instead of structured execution plans.

Talent constraints are also affecting progress. Nearly 29 percent of companies face shortages in technology strategy expertise, delaying implementation and scaling efforts.

Dr. Samantak Das, Chief Economist and Head of Research and REIS India at JLL, noted that several organizations are attempting to run advanced AI systems on outdated and disconnected technology platforms.

To address this, 93 percent of companies are allocating budgets to upgrade legacy systems. Of these, 58 percent are treating infrastructure modernization as a strategic priority, underlining the growing recognition that digital readiness is foundational to AI success.

AI in Corporate Real Estate: From Pilot Phase to Strategic Imperative​

The findings underscore a decisive shift in India’s corporate real estate landscape. AI is no longer an experimental initiative but a central component of cost management, space optimization, and long-term workplace strategy.

However, the report makes clear that while adoption is accelerating, scalable implementation, data readiness, infrastructure modernization, and talent development will determine which organizations successfully convert AI ambition into measurable performance gains.