Elon Musk’s Tesla has made a significant move in India’s luxury automotive market by leasing a 4,000 sq ft showroom in Mumbai’s Bandra Kurla Complex (BKC), one of the country’s most expensive commercial districts. The lease deal, valued at ₹23.38 crore for five years, was finalised with Univco Properties LLP, according to property registration documents accessed by CRE Matrix.

The new showroom is located in Maker Maxity on North Avenue, a prime commercial hub in BKC. The lease agreement, registered on February 27, 2025, officially commenced on February 16, 2025. Tesla has secured the space and two parking spots, with the per sq ft rent calculated at ₹881. The company benefits from a rent-free period until March 31, with rental payments beginning in April 2025 and continuing until February 2030.

According to the agreement, the monthly rent starts at ₹35.26 lakh in the first year, rising to ₹37.02 lakh in the second year, ₹38.88 lakh in the third year, ₹40.82 lakh in the fourth year, and ₹42.86 lakh in the fifth year. The security deposit for the lease is ₹2.11 crore, and the contract includes a 5% annual rent escalation clause.

While Tesla India Motors and Energy Pvt Ltd has not officially commented on the deal, the lease underscores the electric vehicle (EV) giant’s commitment to expanding its footprint in India’s high-end auto market. BKC is already home to global brands such as Apple, Netflix, Facebook, and Amazon, and financial institutions like the National Stock Exchange and Standard Chartered Bank, making it a strategic location for Tesla’s presence.

BKC is not just a corporate hub but a powerhouse of business and governance, housing major coworking spaces like WeWork, tech firms like CISCO, and key government offices, including the Reserve Bank of India and the US Consulate. The area continues to be the preferred choice for Fortune 500 companies seeking premium office and retail spaces.

Recently, Google India Private Limited and Google Cloud India Private Limited renewed their office leases in BKC for a five-year term valued at ₹304 crore. The district’s prime real estate appeal and global corporate presence reinforce its status as India’s premier business destination.

Tesla’s entry into BKC with a flagship showroom signals a strategic push into the Indian market, aligning with the company’s long-term vision for growth in the country’s evolving EV landscape.