Amazon Development Centre (India) has leased 1.94 lakh sq ft of IT Park space for five years in Kharadi, Pune, from KRC Infrastructure and Projects Pvt Ltd at a rent of Rs 1.45 crore per month, documents accessed by Propstack showed.
The company has leased four out of the 13 floors in the building ― the first, second, third and fourth floors, and 205 car parks, the document showed.
The IT Park is being developed by Gera Developments Pvt Ltd.
The total chargeable area is 1.94 lakh sq ft and the lease term is five years. The lease commencement date is July 1, 2022 and the rent commencement date is February 16, 2023.
The lease document was registered on January 13, 2023, the lease document showed.
Amazon Development Centre (India) has the option to renew the lease for one additional term of five years on the same terms and conditions as contained in the deed, subject to escalation of rent, the documents showed.
The rent payable is Rs 75 per sq ft on the chargeable area for the initial 36 months. Thereafter, the rent will escalate by 15 percent over the last payable rent, the documents showed.
Neither Amazon Development Centre (India) nor the lessor KRC Infrastructure & Project Pvt. Ltd, offered any comments on the development.
“Amazon has multiple entities operating in India, including Amazon Cloud Services, Amazon Seller Services, Amazon Fulfilment Services, and Amazon Development Centre. ADC develops technology products including their award-winning text-to-speech that is part of voice user interface of mobile devices. Their IVONA software includes a wide range of technology solutions for business, telecommunications, mobile and home use with new offerings constantly being developed. In many ways this expansion shows Amazon’s long-term intent in India and will result in significant number of new roles in an otherwise challenging macro business environment,” said Raja Seetharaman, Co-founder of Propstack.
In September 2022, Amazon Data Services had taken on rent 4,51,037.54 sq ft of office space in Thane, Mumbai, at a rent of Rs 74.91 crore per year.
The lease was for a period of 29 years. The monthly rent works out to be Rs 6.24 crore. The rent will increase by 3 percent every 12 months for the first 36 months, and 3.5 percent every 12 months for the last 144 months, the agreement to sub-lease registered on September 24, 2022, showed.
In June 2022, Amazon Data Services Pvt Ltd had leased 2.39 lakh sq ft of freehold industrial land space from L&T in Powai in Mumbai for 21 years and six months. The rent is Rs 3.57 crore per month. The total built-up area is 2.39 lakh sq ft and the security deposit paid by the company is Rs 99 crore, the documents showed.
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