Smartworks expands in Gurugram with Rs 94 crore office lease ahead of IPO

IPO-bound co-working firm Smartworks leases 4.7 lakh sqft with DLF in Gurugram for Rs 94 crore annual rent.

Smartworks, the IPO-bound managed workspace provider, has leased approximately 4.7 lakh square feet of office space in the DLF Commercial Building at DLF City-V in Gurugram for an annual rent of Rs 94 crore, according to documents accessed by real estate data analytics firm Propstack. With this deal, the company has expanded its footprint in Gurugram to over one million square feet.

This marks Smartworks’ fourth managed campus in Gurugram, in addition to its existing campuses at Golf View Corporate Towers on Golf Course Road, RK 4 Square in Cyber City, and ASF Insignia at Vatsal Valley.

The lease, registered on December 3, 2024, is for a tenure of six years. It commenced on November 1, 2024, with rent payments starting from March 2025. According to the documents, Smartworks has agreed to pay Rs 165 per square foot, along with a six-month security deposit of Rs 47.3 crore. The monthly rent is Rs 7.89 crore, which translates to an annual rent of Rs 94.68 crore. The rent will escalate by 9 percent after three years, and the deal includes 794 parking spaces.

The new managed campus will span five floors along Golf Course Road and is expected to become operational by February 2025.

Also Read: Keppel-backed Smartworks Coworking Spaces plans IPO, files DRHP with SEBI

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Neetish Sarda, Founder of Smartworks, said the expansion reflects the growing demand for fully managed and serviced campuses. “This expansion aligns with our commitment to empowering enterprises by providing tailored office solutions in large campus settings, equipped with a range of amenities to cater to the evolving needs of modern workspaces. Our focus is to enhance productivity and support growth in a professional and dynamic work environment,” he said.

There has been no response from DLF on the development. This story will be updated if a response is received.

As of August 14, 2024, the date of filing its draft red herring prospectus, Smartworks had a total super built-up area of 9.12 million square feet across 45 centres in 13 cities. The company, backed by global asset manager Keppel, filed its preliminary papers with the Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO).

The IPO comprises a fresh issuance of equity shares worth Rs 550 crore and an offer-for-sale of 67.59 lakh equity shares by existing shareholders. Smartworks received SEBI’s approval in December 2024 to launch the IPO.