WeWork India leases 1.25 lakh sq ft office space in Mumbai ...

    WeWork India leases 1.25 lakh sq ft office space in Mumbai

    New York-headquartered collaborative work-space major WeWork’s India arm has picked up nearly 1.25 lakh sq ft of office space spread over four floors on lease in Oberoi Realty’s commercial complex Commerz II in Goregaon suburb of Mumbai. The company will be paying rentals of ₹130 per sq ft a month, taking the total annual rentals to over ₹19.50 crore. The total tenure of the lease is 10 years with 15% rental escalation every three years.

    Co-working space provider We-Work is betting big on India and has leased two buildings in Bengaluru and Mumbai with a total space of 3.3 lakh sq ft. This includes a 1.9 lakh sq ft standalone building owned by Enam Securities Group in Mumbai’s commercial business district Bandra Kurla Complex. In addition to this, the company launched a 1.05 lakh sq ft facility at Bristol Chowk in Gurugram on Wednesday. This was WeWork’s sixth facility in India after three locations in Bengaluru and two in Mumbai.

    With the launch of WeWork Bristol Chowk, the company will provide space for more than 7,000 members across India.

    An email query sent to WeWork India remained unanswered till the time of going to press. Vikas Oberoi, chairman, Oberoi Realty, declined to comment on the story.

    In one of the biggest front office transactions in 2017, consumer durable major Samsung Electronics India had leased 1.10 lakh sq ft of office space in the same complex, while Teva Pharmaceutical Industries had leased 1.25 lakh sq ft of office space here in September 2016.

    Co-working, or collaborative offices, is a relatively new concept in India. It involves various individuals, or start-ups, sharing a common workplace environment. It is steadily gaining momentum across prime Indian property markets due to relatively cheaper costs and flexibility. According to several estimates, co-working spaces witnessed nearly a million sq ft absorption last year across India.

    Several benefits, including flexible working options at affordable rents, networking opportunities and shared amenities are seen prompting startups and smaller outfits to operate out of co-working set-ups.

    Lots of investments are being made into co-working space and several startups are looking to expand their alliance with builders to increase their presence.

    Info- etrealty