How is Gurugram's workspace being remodeled by a large office lease?

[Ashish jain]

In one of the notable transactions in Gurugram's commercial realty space, managed workspace provider Smartworks has acquired a large lease deal, marking the city's changing office space dynamics. The firm has rented around 480,000 square feet in DLF Commercial Building Block-3, located in DLF City-Phase 5, at an annual rental of ₹94.68 crore for six years.

This huge lease includes six floors, including the ground floor, and grants Smartworks 794 car parking slots. The deal specifies a monthly rent of ₹7.89 crore, or ₹165 per square foot, with a rent escalation of 9% to be held in November 2027.

This expansion is Smartworks' fourth managed campus in Gurugram, joining other locations at Golf View Corporate Towers (Golf Course Road), RK 4 Square (Cyber City), and ASF Insignia (Vatsal Valley). The new facility is expected to be operational by February 2025, demonstrating the company's focus on meeting the increasing demand for fully managed and serviced office spaces.

Neetish Sarda, the founder of Smartworks, pointed out that this growth is in line with the company's vision to empower businesses by providing customized office solutions in big campus environments. These campuses are fitted with a variety of amenities and services that cater to the changing needs of contemporary workplaces.

Over the last few months, Smartworks has been aggressively scaling up its presence. In August 2024, the company leased around 613,000 square feet of office space in Pune for nearly ₹50 crore per annum as annual rent. Smartworks also leased 450,000 square feet and 100,000 square feet of office space in Gurugram, marking its strategic expansion in prime markets.

This strategic rent not only bolsters Smartworks foothold in the shared workspace industry but also represents a larger trend within Gurugram's commercial property market. The city's stature as a hub for contemporary workplaces continues to strengthen, drawing sizeable investments and transforming its commercial landscape.