India’s largest office space deal has just been concluded in Thane. Software major Tata Consultancy Services recently signed on the dotted line to pick up 19 lakh square feet for its biggest office under one roof at Hiranandani Estate in Thane.
Once delivered, TCS will be able to accommodate 30,000 of its employees in this office.
Hiranandani Constructions hopes to deliver the office in the next yearand-a-half.
TCS and Hiranandani have signed a 15-year contract with the option of a reset clause every three years. The monthly lease rental for the space is between Rs 50 and Rs 55 per sq ft and that the annual lease rental for the property will be in the range of Rs 120 crore to Rs 130 crore.
While confirming the deal to Mumbai Mirror, Niranjan Hiranandani said that it will boost job generation in Thane – direct and auxiliary — which has been on the downswing after industries shut down in Thane. “We have given 19 lakh sq feet to the TCS on long lease for setting up a single beam IT park. This will be the largest one in the country owned by a single company. Nearly 25,000 people in Thane will get jobs. A lot of people in Thane lost jobs when industries closed down. These 25,000 jobs are much more than the jobs lost during closure of industries. Work has already started and it will take nearly one and a half years to complete it. We will provide the best architecture here,” he said.
Confirming the reports Thane Municipal Comissioner Sanjeev Jaiswal said, “It is a matter of pride that the TCS campus is coming to Thane. This one is going to be a grand project and we are working towards it.”
Pauroos Karkaria of TCS did not respond to calls from this newspaper.
The Thane lease will help India’s largest software services exporter to consolidate its growth plans. The revenues of TCS stood at Rs 24,220 crore in 2015 and the company has a headcount of 3.2 lakh. During the announcement of the company’s annual results last year, N. Chandrasekaran, MD & CEO of TCS had said: “We have laid a strong foundation for growth in 2015-16.”
TCS has 19 offices in Mumbai and the surrounding areas, including its headquarters, and 10 delivery centres in Mumbai and Thane.
The lease deal also signals a revival in the commercial real estate market in Mumbai, which had turned sluggish of late.