WeWork India renews its lease for 1.4 lakh sq ft in Mumbai’s Nesco IT Park at ₹2.25 crore monthly. The five-year deal includes escalating rent rates. This move follows recent expansions in Noida and Bengaluru, highlighting the rising demand for flexible workspaces across India’s major cities.
WeWork India has renewed its lease for 1.4 lakh sq ft of office space in Mumbai, with a monthly rental fee of ₹2.25 crore, per property registration documents accessed via Propstack. This space, which spans five floors and includes parking for 104 cars, is located in Tower 4 of Nesco IT Park in Goregaon East.
“NESCO IT Park has been a strategic partner in our growth story in the West region. We have had a longstanding and productive collaboration with them in Mumbai, and we look forward to continuing it with this renewed lease agreement,” said Arnav S Gusain, Chief of Supply, WeWork India.
Details of the Lease Agreement
The renewed lease, which starts on August 1, 2024, has a first-year rental fee totaling ₹27 crore at a rate of ₹162 per square foot. The terms include a 12% rent escalation, bringing the rate to ₹181 per square foot in August 2025 and ₹203 per square foot in August 2028. The lease was registered on July 16, with Mumbai-headquartered Nesco Limited named the licensor and a stamp duty of ₹37.93 lakh.
“As we further expand our presence across the country, we will continue to engage in many more fruitful deals with our existing and other leading developers in India,” Gusain added.
WeWork India’s Expansion
This lease renewal follows WeWork India’s announcement on July 25 that it has taken up two new office spaces totaling 1.4 lakh square feet across Noida and Bengaluru. “There is a clear demand for flexible workspaces that offer a dynamic work environment for enterprises, professionals, freelancers, and startups to connect and collaborate,”
Gusain said in a statement.
WeWork India, operated by the Bengaluru-headquartered Embassy Group, has expanded significantly since it entered into India in 2017. The company now manages over 8 million square feet across 57 locations in eight cities.
The Growing Flexible Office Segment in India
India’s flexible office space segment has seen a consistent upward trajectory, especially following the COVID-19 pandemic. The segment’s fundamental advantages, such as flexibility and affordable pricing, drive this growth. According to a June 2024 report by Colliers, the flexible office space segment across the top six cities in India registered its highest-ever quarterly demand in the April-June period at 2.6 million square feet.
In the current fiscal quarter, several large and emerging co-working players, including Gurugram-based Incuspaze and Synq.Work, has announced multiple deals and expansion plans, reflecting the continuous growth of this segment.
WeWork India’s strategic lease renewals and expansions underscore the robust demand for flexible workspaces in India, catering to a diverse range of enterprises and professionals.
