Airbus has secured over 650,000 sq ft of office space in Bengaluru's Whitefield area through a 10-year lease agreement to establish its global capability centre (GCC). The space, located in Titanium Tech Park, will support Airbus's worldwide innovation and technology initiatives. The deal includes an option to expand by an additional 150,000 sq ft after a year, potentially increasing the total leased space to 800,000 sq ft. This move is part of Airbus's growing presence in India, which also extends to aviation, defence, and manufacturing sectors.
Airbus, a leading global aerospace and defence company, has secured over 650,000 sq ft of office space in Whitefield, Bengaluru, on a long-term lease of 10 years. The new office, located in Titanium Tech Park, will house Airbus's global capability centre (GCC), focusing on innovation and technology development. According to sources familiar with the deal, the company will pay over INR 500 crore in rent over the lease period.
The lease also includes an option for future scalability, allowing Airbus to expand by an additional 150,000 sq ft after one year, increasing the total leased area to 800,000 sq ft. Furthermore, the agreement has a provision to extend the lease by another five years, extending the deal to 15 years in total. Sources indicated that the lease deed has already been signed and that the rental payments will increase once the additional space is added. The fit-out work is set to begin soon. In addition to these terms, the lease includes a provision for rent escalation of 15% every three years.
Airbus has established a significant presence in India, particularly in commercial aviation, defence, and aerospace manufacturing. The company operates an engineering centre in Bengaluru and collaborates with Indian suppliers like Tata Advanced Systems and HAL for aircraft and component production. As the world's fastest-growing civil aviation market, India is home to major Airbus customers, including IndiGo and Air India, which have placed orders for over 1,000 aircraft. Airbus is also collaborating with India on defence projects, such as the C295 aircraft, with the first 'Make in India' C295 set to roll out from its Vadodara facility by September 2026.
India's office property market has seen significant growth, driven by demand from global capability centres (GCCs) and flexible office spaces. The government is actively working on introducing new policies that provide additional incentives for GCCs, particularly to encourage expansion into smaller towns and cities. This effort includes creating dedicated office zones in areas with space constraints to support large-scale operations.
With continued demand from sectors like technology and manufacturing, the office market in India is poised for further growth in the coming years. As global companies continue to prioritise India for real estate investments and the domestic economy remains strong, the demand for office space is expected to accelerate, providing a solid foundation for long-term market expansion.
Airbus's latest office lease in Bengaluru highlights the company's growing commitment to expanding its presence in India. The new global capability centre will play a key role in supporting the company's worldwide operations, while the office market in India continues to thrive, driven by strong demand from global corporates and GCCs. The government's efforts to develop policies that support this growth could further boost the sector, ensuring that India remains an attractive destination for international businesses in the coming years.
Advertisement
Facebook
Whatsapp
