Deloitte, one of the world’s leading professional services firms, has secured 175,000 square feet of office space in the soon-to-be-completed Prestige Trade Tower near Delhi airport. This move marks a significant milestone for the Bengaluru-headquartered Prestige Group, which is making its commercial debut in Delhi.

Prestige Group’s venture in Delhi stems from a 2019 joint venture with DB Realty to develop a hospitality-led mixed-use project on 7.7 acres of prime land in Aerocity. The project includes a mix of hotel rooms, office spaces, and a convention centre, with Deloitte’s lease a major development highlight.

“The buildings in Aerocity are in great demand due to proximity to the airport. While Bharti has developed phase-1 and phase-2 of Aerocity, some of the hotel plots also have scope for office development. This was one such plot where Prestige is developing around 700,000 sq ft of office space,” said an insider aware of the project.

This deal is part of a broader trend in the National Capital Region (NCR), which recorded a gross leasing volume of 3.01 million square feet in the April-June quarter, matching the previous quarter’s volume but showing a 16% dip from the same period last year, according to Cushman & Wakefield. Despite this, fresh space take-up accounted for 77% of the deals, with pre-commitments remaining 23%.

Deloitte’s lease is a pre-commitment, as the building is still under construction. This aligns with the firm’s recent strategic moves to expand its footprint. Last year, Deloitte signed deals with Prestige Group and Salarpuria to acquire three office spaces totalling 1 million square feet in Bengaluru.

The Prestige Trade Tower development in Aerocity will eventually feature a 2 million-square-foot project with 932 hotel rooms, 645,000 square feet of office space, and a 200,000-square-foot convention centre. This expansive project is set to elevate the business landscape in Aerocity, catering to the growing demand for premium office spaces near the airport.

The NCR region saw a nearly 2% quarter-on-quarter rent increase during June, reflecting robust leasing activity. The annual rental growth averaged 4% during the same period. However, with a significant influx of new supply, rental rates are anticipated to remain stable through the rest of 2024, even as certain submarkets experience elevated vacancy rates.

Deloitte and Prestige Group have not publicly commented on the deal. However, this strategic lease underscores Deloitte’s commitment to expanding its operations in key Indian markets while highlighting Prestige Group’s ambition to establish a strong commercial presence in Delhi.

This significant development in Aerocity and the sustained demand for office spaces in the NCR signals a vibrant future for regional commercial real estate. The project’s strategic location and comprehensive amenities are poised to attract more high-profile tenants, reinforcing Aerocity’s reputation as a premier business hub.