Deutsche Bank’s CRE team has renegotiated its lease rental for its corporate front office of 90,000 sqft at a premium grade A commercial building in Bandra-Kurla Complex (BKC) by 15% from INR 306 per sqft per month to INR 265 per sqft per month. Deutsche Bank executed an addendum agreement on March 31, 2017. Deutsche Bank’s previous agreement commenced in year 2012 at initial rent of INR 278 per sqft per month with lock-in period until March 2018. The current rental was INR 306 per sqft (post its first escalation of 10%). Although the contracted rental has been reduced by 15%, the lock-in period has been extended until March 2022 from the existing lock-in period until March 2018 benefiting for the Landlord in terms of assured tenancy by Grade A occupier.
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Continue reading “Commercial Office market continues to remain an “Occupier Market” as occupiers renegotiate rentals downwards. Deutsche Bank generates Annual Savings of INR 5 crore in rentals by renegotiating its current lease downwards in BKC…”