The India arm of global investment banking giant Goldman Sachs has secured nearly 74,000 sq ft of prime office space in Mumbai's upscale Worli locality, signing a 10-year lease for two floors in the commercial tower Ascentia, developed by K Raheja Corp. The financial institution will pay approximately Rs.3 billion in total rent over the initial lease period.
The agreement includes a 4.75% annual rent escalation and provides an option to extend the lease for an additional 10 years in two terms of five years each. The lease is set to commence in August 2024 with a 48-month lock-in period, while fit-out work is scheduled to last until September 2025.
This move by Goldman Sachs comes as the Worli area experiences a surge in office space demand, driven by infrastructure improvements such as the Mumbai Trans-Harbour Link (MTHL) and the expanding metro network. These projects are enhancing the area's accessibility and attracting multinationals looking for high-end office space with modern amenities.
Goldman Sachs has been operating in India since the 1980s, establishing a significant presence with its Mumbai office in 2006 and more recently opening technology hubs in Bengaluru (2004) and Hyderabad (2021). With over 8,500 professionals in these locations, they represent the firm’s second-largest global presence.
India’s office sector has shown remarkable resilience despite global economic challenges. The country recorded its best-ever first half of the year, with 33.5 million sq ft of gross office leasing, a 29% increase from the previous year, demonstrating continued confidence in India's commercial real estate market.