Nykaa, the widely known name for Falguni Nayar-promoted FSN E-Commerce Ventures, has leased two office spaces spread across 55,146 sq ft at Lower Parel in Mumbai for around Rs 70 lakh a month for five years, documents accessed by CRE Matrix, a real estate data analytics firm, show.
These floors have been leased from Marathon Realty Private Limited.
The second and third floors of Marathon Chambers A, an IT/ITeS Park located at Lower Parel has been leased for Rs 41.15 lakh per month. A security deposit of Rs 1.02 crore has been paid for it. The total area leased is 23,927 sq ft. It comes with 16 car parking slots, the Leave and Licence agreement document showed.
The lease has been signed for 60 months and comes with a rent escalation clause of 15 percent at the end of 36 months.
The two documents were registered on August 25.
The company has also leased the 27th floor located in the A Wing of the IT/ITES Park, Marathon Futurex in Mafatlal Mill Compound, Lower Parel from Marathon Realty Private Limited
The total area is 10,539 sq ft.
The starting monthly rent is Rs 27.82 lakh per month. This floor comes with eight car parking slots, the documents showed.
The total carpet area for both transactions is 34,467 sqft and the chargeable area is 55,146 sq ft.
There was no response from Nykaa’s legal team or from Marathon Realty Private Limited.
Nykaa Retail recently raised funds through an IPO of around Rs 5,350 crore. The IPO was subscribed 82 times and was a phenomenal success. "The funds raised by the company were aimed at meeting capital expenditure requirements and expanding operations in the growing markets," said Bappaditya Basu, Chief Business Officer, ANAROCK Commercial.
The e-commerce business in India has been booming for the past few years and the recent pandemic-led lockdowns accelerated the online shopping demand. Companies like Nykaa Retail stand to benefit from this, and to support expanding operations and cater to the rising demand, office spaces are extremely critical, he observed.
Commenting on Nykaa Retail's latest lease at Lower Parel, Basu said the deal’s rental works out to be around Rs 125 per sq ft per month. "This looks to be an excellent deal, and in fact, maybe at a slight discount for the location. Lower Parel is one of the prime office destinations of Mumbai and has good road and rail access for employees to commute," he added.
In February this year, the company had leased 27,000 sq ft of office space at Prabhadevi in south Mumbai for at least Rs 65 lakh a month for five years. Nykaa e-Retail had leased Unit A on the sixth floor in Cynergy IT Park, Appasaheb Marathe Marg, Prabhadevi. The monthly rent for the first three years was Rs 65,92,104 and will increase to Rs 75,80,920 in the fourth and fifth years.
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