IBM India leases 2.83 lakh sq ft of office space in Bengaluru for ₹343 crore over 10 years

Bengaluru real estate: IBM India Pvt Ltd has signed a 10-year lease for office space across the ground and first to third floors at Bagmane Tech Park

IBM India Private Limited has strengthened its presence in Bengaluru by signing a fresh 10-year lease for 2.83 lakh sq ft of office space, with the total rental outlay estimated at ₹343 crore, according to documents accessed by Propstack.

IBM India Private Limited has inked a fresh 10-year lease for 2.83 lakh sq ft of office space, with the total rental outlay estimated at ₹343 crore, according to documents accessed by Propstack. (Photo for representational purposes only)

The company has leased space across the ground and first to third floors of Bagmane Solarium City – Radon in Bengaluru. The lease commenced on February 5, 2026, the documents showed.

Akruthi Infra-Build Developers Private Limited owns the property. IBM will pay a monthly rent of ₹2.49 crore, at a rate of ₹88 per sq ft, with a 15% escalation every three years. The company has paid a security deposit of ₹14.96 crore, the documents showed.

In addition to the rent, IBM will pay fit-out rent of ₹2.98 crore per month for five years, until March 2031. The total fit-out rent over this period will amount to approximately ₹179 crore, according to the documents.

While the Lease Deed was formally executed on May 29, 2026, the registration took place on October 1, 2026, the documents showed.

IBM could not be reached for comment.

Raja Seetharaman, co-founder of Propstack, said the transaction underscores the continued appetite among large technology companies for high-grade, scalable institutional office spaces in Bengaluru.

“A long-term commitment of this scale, coupled with developer-backed fitted infrastructure, highlights two key trends: occupiers are prioritising Grade-A assets, and Bengaluru remains the indispensable anchor for global tech R&D and core operations,” he said.

A recent report by Colliers India showed that office leasing increased 7% quarter-on-quarter from 17.4 msf in the previous quarter, as Bengaluru continued to lead Indian office demand. Leasing in the city stood at 5.2 msf in Q3, up 11% year-on-year.

IBM’s other office leasing deals

Earlier this year, IBM India leased 2.3 lakh sq ft of office space in Gurugram for a total rental outlay of ₹180 crore over 10 years, according to documents accessed by Propstack.

The technology major leased space on floors 7 to 12 of Tower 4 at Intellion Park in Sector 59. The lease was signed with Mikado Realtors Private Limited, a Tata Group company and part of Tata Realty and Infrastructure Ltd, as the landlord, the documents showed.

In 2024, IBM India leased 8.3 lakh sq ft of office space in Bengaluru for 10 years at a starting monthly rent of ₹140 per sq ft, according to property registration documents accessed through Propstack.

The same year, IBM entered into a deal with real estate developer Midas Projects for 1.06 lakh sq ft of office space spread across two floors at Divyasree Orion, a 26-acre campus in Hyderabad’s Gachibowli area.

Since entering India in 1951, IBM has expanded its presence across multiple cities, including Bengaluru, Hyderabad, Gurugram, Mumbai and Kolkata.