UK-based banking and insurance company NatWest Group has leased 3.7 lakh sq ft of office space, spread across 11 floors, in Bengaluru's Bagmane Constellation Business Park for 10 years. Industry sources peg the average rent at the building at about Rs 1.5-1.8 crore per month.
Sources told Moneycontrol that NatWest plans to triple its engineering workforce in Bengaluru once the office space becomes operational by April 2025. The leasing follows last year's announcement to recruit 3,000 new software engineers in India by 2026.
Currently, the company has office spaces in Bengaluru, Chennai and Gurugram with a workforce of about 17,000 employees. The new location will serve as a hub for technology solutions and cutting-edge developments, NatWest Group said.
Bengaluru is a key strategic location for NatWest Group in India, alongside Gurugram and Chennai.
The company said the expansion strengthens its presence in India, which has the second-largest employee base outside of UK. Sources added that the company has also started a wealth franchisee from India, with plans for major expansion going ahead.
"Strengthening our global operations further positions us at the forefront of innovation as we continue to prioritise improving the customer and colleague experience,” Scott Marcar, Group Chief Information Officer, NatWest Group said.
Leasing by Major MNCs in Bengaluru
Texas Instrument Pvt Ltd, a semiconductor manufacturer in Bengaluru leased 2.23 lakh sq ft of office space at Bagmane Tech Park for Rs 1.4 crore monthly rent, Moneycontrol reported in January. The lease tenure is five years and the rental period starts from January 1, 2024.
And last year, Google leased out over 29 lakh sq ft of space in Bengaluru through six separate deals with a monthly rent in the range of Rs 58-230 per sq ft. Of the six transactions, five have been signed between Google India and Google Connect Services on the one hand, and Bagmane Developers on the other, and one with managed workplace provider Table Space.
However, Chennai surged ahead of Bengaluru and Hyderabad in terms of office space leased by offshore multinational companies in 2023, Moneycontrol reported in April.
MNCs have leased 7 million square feet of office space in Chennai in CY23, compared with 6.1 million sq. ft in Hyderabad and 5.6 million sq. ft in Bengaluru. Experts said high rental rates and issues such as congestion led overseas MNCs to look at emerging markets such as Chennai.
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