Bank of America India Leases ₹236 Cr Mumbai Office Space
Overview
BA Continuum India, Bank of America's captive arm, secures a long-term lease for over 1.11 lakh sq ft in Mumbai's Powai. The deal, worth over ₹236 crore, signals strong confidence in India's commercial real estate growth and reaffirms the country's position as a strategic business hub amid global uncertainty.
Stocks Mentioned
BofA Arm Secures Major Mumbai Office Lease
BA Continuum India, the captive services arm of global financial giant Bank of America, has inked a significant long-term lease agreement for prime office space in Mumbai's bustling Powai district. The deal involves over 1.11 lakh square feet within the recently developed Chalet Hotels commercial tower.
Financial Commitment Exceeds ₹236 Crore
The lease commitment spans approximately 10 years and nine months, with a total rental payout expected to surpass ₹236 crore. Monthly rentals will commence at ₹1.43 crore, equating to roughly ₹129 per square foot. This agreement includes a structured rental escalation clause, with a 15% increase planned for October 1, 2027, and every three years thereafter.
Strategic Location and Market Confidence
The transaction also encompasses a security deposit of ₹8.59 crore and provision for 112 car parking slots. BA Continuum India will bear common area maintenance charges of ₹20 per square foot monthly. The lock-in period for the lease stands at three years, underscoring a strong commitment to the location.
India's Office Market Momentum
This substantial lease by Bank of America's India arm is a strong indicator of the sustained growth momentum in India's office market. Key cities have consistently set new peaks for leasing volumes, with global firms accounting for a significant share, reaffirming India's position as a strategic business hub amidst global uncertainties.
Powai: A Prime Commercial Hub
Powai has solidified its status as a key suburban office market in Mumbai. Its appeal is driven by proximity to residential catchments, the availability of Grade A office buildings, and excellent connectivity. The micro-market continues to attract global capability centers, technology firms, and financial services companies seeking premium workspaces.
