Bengaluru Records Three Mega Office Lease Agreements

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    Three major commercial real estate deals have been finalized in Bengaluru, with Amazon, Synopsys, and Honeywell renewing or securing substantial office spaces, according to property documents obtained through Propstack, a real estate data analytics platform.

    Amazon Development Centre India Private Limited renewed its lease for a 6.76 lakh square feet office space in the Taurus 3 facility of Constellation Business Park, agreeing to a five-year term with an initial monthly rent of ₹4.92 crore, as published by the Hindustan Times.

    The lease was registered on Oct. 18, 2024, with Bagmane Developers Private Limited and individual B.N. Neetish Purushottama listed as lessors. Amazon paid a ₹1.11 crore stamp duty and a ₹56.04 lakh registration fee as part of the transaction.

    Key details in the lease include a 15% rent escalation every three years, beginning on July 1, 2024, though the lease term officially began on June 1, 2024. The leased space spans 10 floors and includes parking for 940 vehicles. Amazon also retains the option to extend the lease for another five years.

    Honeywell Technology Solutions Lab Private Limited has renewed its lease for 5.9 lakh square feet of office space across Blocks 3A, 3B, and 3C in RMZ Ecoworld, located in East Bengaluru. The lease spans five years, effective Aug. 26, 2024, and was registered on Sept. 30, 2024. Arliga Ecoworld Infrastructure Private Limited serves as the lessor.

    The monthly rent starts at ₹2.41 crore, with a 10% rent increase scheduled after 24 months. Honeywell provided a security deposit of ₹19.82 crore and paid a registration fee of ₹28.82 lakh. The deal includes parking for 787 cars. The lease renewal follows the previous term’s expiration on Aug. 25, 2024.

    Synopsys India Private Limited signed a new seven-year lease for 4.3 lakh square feet of office space in Bagmane Capital Troy, with the lease term starting on April 24, 2024. The agreement was registered on Sept. 30, 2024, listing Bagmane Developers Private Limited and others as lessors. Synopsys will pay a starting rent of ₹4.19 crore per month, with a 15% rent escalation after three years. The security deposit totaled ₹25.18 crore, and registration fees amounted to ₹54.56 lakh.

    The leased space covers eight floors and provides 504 parking slots. Synopsys has a five-year lock-in period and can renew the lease for an additional three-year term.

    A recent CBRE report found that Bengaluru leads India’s office leasing market, accounting for 30% of total office space absorption from January to September 2024, with 16.4 million square feet leased. In the third quarter, Bengaluru recorded office leasing of 7.1 million square feet, doubling the 3.4 million square feet leased during the same period last year.

    CBRE anticipates Bengaluru’s office stock to reach 330-340 million square feet by 2030. As of June 2024, the city’s office stock was 223 million square feet, more than doubling from 100 million square feet in 2013, maintaining its lead among India’s major cities.

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