Tata Consultancy Services (TCS) has signed one of the largest commercial real estate leases in Bengaluru, securing 1.4 million sq ft of office space at 360 Business Park in Electronic City for ₹2,130 crore over a 15-year period, according to documents sourced from Propstack. The deal includes 6.8 lakh sq ft in Tower 5A and 7.2 lakh sq ft in Tower 5B, with a monthly rental of ₹9.31 crore at ₹66.5 per sq ft. TCS has also deposited ₹112 crore as security. The lease, signed with developer Labzone Electronics City Pvt Ltd, includes a 12% rent escalation every three years.
This comes amidst a resurgence in third-party IT services, which saw a 189% jump in leasing activity in H1 2025, driven by large-scale deals, according to Knight Frank India. The lease will start in two phases: Phase 1 begins April 1, 2026, and Phase 2 starts August 1, 2026.
Despite recent plans by TCS to reduce its workforce by 2% in FY26—around 12,000 jobs—experts note this could impact Bengaluru’s overheated property market. Earlier, TCS also leased significant office spaces in Chennai and Hyderabad, reflecting ongoing expansion despite restructuring.