IDFC First Bank Leases Prime Office Space in Oberoi Commerz III, Goregaon East, Mumbai

IDFC First Bank Leases Premium Office Space in Goregaon Mumbai: IDFC First Bank has signed a long-term lease for an expansive office space spanning four floors in the prestigious Oberoi Commerz III tower, located in the western suburb of Goregaon, Mumbai. The lease agreement, set for over five years, will see the bank paying a total of ₹170 crore in rent.

Strategic Location and Rental Details

The office space, covering nearly 165,000 sq ft in the Oberoi Garden City development, is leased at ₹233 per sq ft per month. The agreement includes a rental escalation clause, increasing rents by 15% after 36 months from the commencement date.

Lease Commencement and Lock-in Period

The lease will start in January 2025, with a lock-in period of three years. The fit-out period is scheduled to begin on July 15, 2024, and will last for five months. Additionally, the bank will incur common area maintenance charges of ₹41.23 lakh per month, bringing the total expenditure for this office space to over ₹171 crore over the lease term, including the rental escalation.

Amenities and Registration

The lease, registered on July 9, also provides IDFC First Bank with exclusive access to 164 car parking slots within the tower.

Impressive Growth and Expansion

IDFC First Bank has reported a substantial 36% year-on-year increase in total deposits, reaching ₹2,09,666 crore, with customer deposits growing by 37.8% to ₹2,04,572 crore as of June end. The bank also opened 11 new branches in the last quarter, bringing its total branch count to 955.

Oberoi Garden City

A Premium Mixed-Use Development Oberoi Garden City, an 80-acre premium mixed-use development in Goregaon, is located adjacent to a metro station, making it a prime location for businesses. Oberoi Commerz III, a 2.9-million-sq-ft commercial tower, already houses prominent tenants, including global investment bank Morgan Stanley.

Robust Indian Office Market

Amid Global Challenges Despite global economic uncertainties, the Indian office sector has demonstrated remarkable resilience and growth. The office market surged to its best-ever first half, with gross leasing of 33.5 million sq ft, a 29% increase from the previous year, surpassing the first-half record of 30.71 million sq ft set in 2019.

This growth in office leasing highlights the confidence in India’s commercial real estate market and its capacity to attract significant investments. The trend is expected to continue, driven by strong demand from various sectors and favorable market conditions.