The aviation giant Airbus has leased a massive office space in Bengaluru for its operations. The 10-year lease deal amounts to billions of rupees, making it one of the most expensive office rentals in India and even surpassing tech giant Apple in this aspect. This move marks a significant expansion for Airbus, which plans to establish a Global Capacity Center (GCC) in the city.
Airbus has leased 6.5 lakh square feet of office space in Bengaluru. The company will pay Rs 500 crore in rent over 10 years, equating to around Rs 4.17 crore per month. The facility will include innovation centers and other advanced amenities to drive technology development for its aircraft.
Apple recently opened its first retail store in Mumbai’s Jio World Drive Mall, spanning 20,000 square feet across three floors, at a monthly rent of Rs 42 lakh. Similarly, its Delhi store, covering 8,400 square feet, costs Rs 40 lakh per month in rent. While Apple’s per-square-foot rental costs are higher, Airbus’ total rental outlay far exceeds that of the tech giant.
The leased space will host Airbus’ Global Capacity Center (GCC), focusing on developing cutting-edge aviation technologies and supporting global operations, including aircraft and defense project advancements. Its strengthening Airbus’ engineering and innovation capabilities in India.
The lease agreement also includes provisions for a 15% rent hike every three years. Also an optional 5-year extension, potentially making it a 15-year deal.
India is not new territory for Airbus, which already has a strong presence in commercial aviation, with partnerships with airlines like IndiGo and Air India, which have placed orders for over 1,000 aircraft. It also operates in defense and aerospace manufacturing, in collaboration with companies like Tata Advanced Systems and HAL and an engineering center in Bengaluru that supports global operations.
