Software company SAP India Pvt Ltd has renewed the lease for its nearly 100,000 sq ft office at VatikaTowers on Golf Course Road in Gurgaon, said two people familiar with the development.
SAP has been with VatikaTowers for more than 14 years and has extended the lease for another nine years.
Ritu Gupta, the head leasing company, Vatika Ltd. “We can confirm that the company has extended the lease, this was possible as the project meets the tenant’s requirements for a campus-style development with all the amenities and excellent standards maintenance in the main business district of Gurgaon “.
According to experts, the momentum in office space rentals has picked up and companies are no longer downsizing or leaving premium spaces, which was a trend after the Covid-induced shut down in March 2020.
Apple India recently renewed leases for its roughly 16,000-square-foot office at the Bandra-Kurla Business Complex (BKC) in Mumbai for five years at higher rents.
“Term renewals accounted for a solid 35% of the total lease during the quarter, indicating strong occupant confidence in the ‘office model’ despite operating in a hybrid model for the past 15 months,” said Cushman and Wakefield report.
Term renewals and prior commitments highlighted the office rental activity in Delhi – NCR.
Of the four agreements that were carried out in the second quarter of 2021, two of them were renewed by term, while the other two were pre-commitments.
Samsung recently leased 370,000 square feet of office space at Candor TechSpace SEZ, part of the Brookfield REIT portfolio, in one of NCR’s largest offerings in recent years.
NCR reported 123% year-on-year growth in office rentals in the third quarter of 2021 and 93% growth compared to the 2019 quarterly average.