Tata Consultancy Services (TCS) has leased 1.4 million square feet of office space in Electronic City, Bengaluru, for a period of 15 years. The company will pay a monthly rent of ₹9.31 crore and a security deposit of ₹112 crore. The deal will be implemented in two phases starting from 2026 and is considered one of the largest office deals in recent years.
TCS: Tata Consultancy Services has signed a 15-year lease for a total of 1.4 million square feet of office space in Towers 5A and 5B of 360 Business Park, located in Electronic City, Bengaluru. The deal will be implemented in two phases, with the first phase commencing on April 1, 2026, and the second phase on August 1, 2026. The company will pay a monthly rent of approximately ₹9.31 crore at a rate of ₹66.5 per square foot, along with a security deposit of ₹112 crore. This is considered one of the largest office deals in recent years.
Office Space in 360 Business Park
TCS has leased office space in Towers 5A and 5B of 360 Business Park located in Electronic City. Tower 5A includes 6.8 lakh square feet and Tower 5B includes 7.2 lakh square feet of space. The entire property is owned by Labzone Electronics City Private Limited. Under the agreement, TCS will be authorized to use a total of 1.4 million square feet of office space.
15-Year Lease, Launch in Two Phases
This lease is fixed for 15 years. Work will commence in two phases. The first phase will involve the use of the ground floor through the seventh floor, starting on April 1, 2026. The second phase will begin on August 1, 2026, and will include space from the eighth floor through the 13th floor.
Rent and Security Deposit
TCS will pay approximately ₹9.31 crore per month for this office space at a rate of ₹66.5 per square foot. In addition, the company will have to deposit a security deposit of ₹112 crore. According to a report in the Times of India, the rent will increase by 12 percent every three years during the lease. The company's total expenditure over the entire 15-year lease period is estimated to be approximately ₹2,130 crore.
Features of the Office Building
This building in 360 Business Park includes three basements, a ground floor, and 13 stories. It has a modern infrastructure designed to meet the needs of large-scale IT companies. The southern IT corridor of Bengaluru already has a continuous demand for large and contiguous office spaces among major companies.
Other Major Acquisitions and Investments by TCS
In addition to this lease deal in Bengaluru, TCS has made several other major investments recently. According to a report by the Economic Times, the company has purchased 1.4 to 1.6 million square feet of space from Sattva-Darshi Southern India Happy Homes for ₹2,250 crore. Furthermore, 3.2 million square feet of land has been purchased from TRIL for ₹1,625 crore. Approximately 25,000 new seats will be added when these projects are launched.
Rapid Expansion in Smaller Cities
TCS's focus is not limited to just the large cities. The company has also expanded rapidly in smaller cities. TCS has recently leased office space in Coimbatore and Hyderabad. In Visakhapatnam, TCS has leased 21.6 acres of land from the state government for a period of 99 years.
TCS's Presence in Other Cities
TCS has purchased 37 acres of land from Kinfra Electronics Manufacturing Cluster in Kochi for ₹690 crore. Similarly, the company is expanding on a large scale in Kolkata. A new office campus is being developed on 30 acres of land in Sanchita Park and the Bengal Silicon Valley Hub campus. This project will add 16,500 seats.
Bengaluru's IT sector has always been a preferred choice for companies. The infrastructure, talent pool, and better connectivity attract companies here. This is the reason why major companies like TCS are continuously implementing their expansion plans here.
