August 2025: In a landmark development in the city’s commercial real estate sector, Tata Consultancy Services (TCS) has secured a 15-year lease for 1.4 million square feet of office space at the 360 Business Park, situated in Bengaluru’s Electronics City. The deal, valued at ₹2,130 crore, stands as one of the largest office leasing transactions in recent years.
The leased space spans two under-construction towers, designated as 5A and 5B, developed by Labzone Electronics City Pvt Ltd. Tower 5A will offer 680,000 square feet, while Tower 5B will provide 720,000 square feet of Grade-A office space. Under the lease agreement, TCS will pay a monthly rent of ₹9.31 crore, translating to ₹66.5 per square foot, with a 12% rental escalation every three years. A security deposit of ₹112 crore has been placed to secure the lease.
Delivery of the office space will occur in two phases. Phase I, encompassing the ground plus seven floors, is scheduled for occupancy on April 1, 2026. Phase II, covering the eighth to thirteenth floors, is expected to commence on August 1, 2026. Upon completion, the towers will collectively provide over 1.4 million square feet of modern workspace, significantly expanding TCS’s presence in Bengaluru’s prominent IT corridor.
Industry experts note that the transaction reflects strong demand for premium office space in Bengaluru, particularly in the Electronic City cluster. Despite the emergence of hybrid work models and workforce adjustments across the IT sector, TCS’s long-term commitment underscores confidence in the city’s commercial real estate market. Analysts believe this deal is a positive indicator of continued growth and stability within Bengaluru’s office space segment.
The lease also forms part of TCS’s broader nationwide expansion strategy. The company has allocated over ₹4,500 crore for the development of new campuses, leasing office spaces, and upgrading infrastructure across several key cities, including Kolkata, Hyderabad, Kochi, Coimbatore, and Visakhapatnam. In Bengaluru alone, TCS has recently acquired additional office space totaling over 4.5 million square feet from multiple developers, adding seating capacity for approximately 25,000 employees.
With this new commitment at 360 Business Park, TCS reinforces its position as one of India’s leading IT firms while contributing to Bengaluru’s emergence as a global technology and commercial hub. Observers highlight that such large-scale long-term leases not only signal confidence in the company’s growth trajectory but also reflect optimism in India’s broader economic environment.
This monumental lease deal by TCS is poised to leave a lasting impact on Bengaluru’s commercial property landscape, marking a milestone for both the city’s real estate market and the IT giant’s strategic expansion plans.
