IT services provider LTI Mindtree has leased 5.85 lakh square feet of office space in the suburb of Manapakkam in Chennai for a starting monthly rent of ₹3.98 crore, according to registration documents accessed through real estate data analytics platform Propstack.
The total construction area of 585,000 square feet is spread over 13 floors, including the ground floor, in Tower 1 of the L&T Innovation Campus on Mount Poonamallee Road.
Read also: Axis-Tishman Speyer’s commercial real estate fund acquires 1.5-acre site in Chennai Fintech City
The five-year lease includes a monthly starting rent of ₹3.98 crore or 68 per square foot. The terms of the deal include a 12% rent increase to ₹76 per square foot starting February 1, 2027, the documents show.
The lease was signed on February 1, 2024 in Chennai and named Larsen & Toubro Limited as the landlord. It includes a lock-in period of three years ending on January 31, 2027.
Read also: Ashiana Housing and Arihant Foundation build senior homes in Chennai with an investment of ₹225 million
The expensive deal includes an option to extend the lease for another ten years, according to the documents. A deposit of six months’ rent or ₹Rs 23.89 crore was paid under the agreement.
According to the land registration documents, the deal also includes parking for 750 four-wheelers and 1,586 two-wheelers. Operational and maintenance charges of ₹12 per square foot per month, subject to change upon notice from the landlord.
Queries have been sent by HT.com to both LTI Mindtree and Larsen & Toubro. The article will be updated once a response is received.
Real Estate Market in Chennai
Chennai is one of the three largest residential and commercial real estate markets in South India and one of the six largest markets in the country.
Earlier this week, Axis Commercial Real Estate Fund – a partnership between Axis Asset Management Company Limited (Axis AMC) and real estate developer Tishman Speyer – announced the acquisition of a 1.5-acre land plot in Chennai’s Fintech City.
Read also: The average time to completion of real estate projects is lowest in Chennai, Hyderabad and Bengaluru
Commenting on the acquisition, Parvesh Sharma, Managing Director and Country Head for India at Tishman Speyer, said: “Chennai has emerged as an attractive location for multinational companies, including our clients in the BFSI segment.”
Real estate company Ashiana Housing and Arihant Foundation & Housing have also joined hands to develop a senior living project in Chennai with an investment of ₹225 Crores.
