Amazon India Renews its Office Lease in Global Infocity Perungudi, Chennai

Corporate leasing in India looking good as Amazon renews its lease in Chennai in 2023

Amazon Development Centre India has renewed its lease for a Chennai office facility of approximately 50,000 square feet. The company has signed a 36-month lease with developer Airoli ITP Development for properties in Global Infocity in Perungudi, Chennai, according to a lease record shared by Propstack, a data analytics company.

Amazon has been renewing its office leases in a number of locations. 

All four renewals totaling 500,000 square feet were registered in May 2023.

The renewal follows the recent signing of two larger contracts by Amazon. The American company renewed a 650,000-square-foot office space on Bengaluru's outer ring road for its development centre operations. 

In addition, Amazon has acquired approximately 600,000 square feet in Gurgaon and 800,000 square feet in Hyderabad for web services, development centres, vendor services, and transportation services, respectively.

The most recent transaction represents the largest office lease renewal in India in 2023, as companies adopt a cautious expansion strategy and embrace more flexible office spaces.

Despite recent global headwinds that may have been somewhat worrisome, a preliminary observation indicates that India's office markets continue to exhibit strong leasing activity as of the first quarter of 2023.