Mercedes-Benz R&D renews lease for 5 years in Bengaluru at Rs 2.5 cr per month rent

Representative image.

The world’s largest luxury car maker, Mercedes-Benz Research and Development India Private Limited, has renewed its lease for seven floors spread across two office wings in Bengaluru for five years at a monthly rent of Rs 2.5 crore, documents accessed by Propstack showed.

The automobile major has renewed its lease for commercial space totalling 5.42 lakh square feet in the Embassy Crest building in Whitefield, spread across the ground, first, second, third, fourth, fifth, and sixth floors.

The lease started on May 1, 2023. The company has paid a security deposit of Rs 48 crore, it showed.

The company has leased the built-to-suit commercial premises located in the A and B wings of the building, which consist of ground plus six floors. The premises are to be utilised for research and development (R&D), IT, and other incidental or related purposes, the document showed.

The agreement comes with an escalation clause of 5 percent per annum, the documents showed.

Emails have been sent to Mercedes and Embassy for comments.

The Indian office supply completions across the top seven cities in India will touch 165 million square feet (msf) between 2023 and 2025. Bengaluru will lead the supply with 29 percent of the total area, according to a report by real estate consultant CBRE.